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| Version 2 | Version 3 |
|---|---|
| British Gas in 10% gas price cut | British Gas in 10% gas price cut |
| (30 minutes later) | |
| British Gas has announced it will reduce its standard tariff gas prices by 10% from 19 February. | British Gas has announced it will reduce its standard tariff gas prices by 10% from 19 February. |
| It said the move would benefit more than 7.5 million homes and cut £84 from the average annual gas bill. | It said the move would benefit more than 7.5 million homes and cut £84 from the average annual gas bill. |
| British Gas said it was the first UK major energy supplier to announce such a cut since 2007. Rivals are expected to follow suit. | British Gas said it was the first UK major energy supplier to announce such a cut since 2007. Rivals are expected to follow suit. |
| In July 2008, British Gas raised its gas prices by a record 35%, while other firms lifted prices by more than 20%. | In July 2008, British Gas raised its gas prices by a record 35%, while other firms lifted prices by more than 20%. |
| Wholesale falls | |
| British Gas, which is part of the Centrica group, trades as Scottish Gas in Scotland. | British Gas, which is part of the Centrica group, trades as Scottish Gas in Scotland. |
| At the end of last year the "big six" energy companies were urged to pass on lower wholesale gas prices. | At the end of last year the "big six" energy companies were urged to pass on lower wholesale gas prices. |
| It's going to give some customers a bit of respite at a time of year when they are are going to be spending significant amount on heating their homes Tim WolfendenUSwitch.com | |
| The cost of wholesale gas is linked to the price of oil, which has fallen significantly from the peak it reached in summer 2008. | The cost of wholesale gas is linked to the price of oil, which has fallen significantly from the peak it reached in summer 2008. |
| At the beginning of January, Scottish Power, one of the major suppliers, said it was relaunching one of its fixed-price gas products with a reduction of 10%. | At the beginning of January, Scottish Power, one of the major suppliers, said it was relaunching one of its fixed-price gas products with a reduction of 10%. |
| The average UK household energy bill is £1,293, some 42% higher than the same time last year. | The average UK household energy bill is £1,293, some 42% higher than the same time last year. |
| Better deal? | |
| The move was a "positive first step" towards lower prices, said Tim Wolfenden, head of home services at price comparison website USwitch.com. | |
| "It's going to give some customers a bit of respite at a time of year when they are going to be spending significant amount on heating their homes," he said. | |
| "But by only cutting gas prices and leaving electricity alone, British Gas are being cautious and waiting to see where wholesale prices are going." | |
| Other firms were likely to cut prices fairly swiftly, Mr Wolfenden added. | |
| And he urged people to see whether they could get a better deal on their energy bills - especially if they had never swapped supplier before. |