Search: British Gas utility bills increase
Millions of British Gas customers are facing higher utility bills after the company said it is putting up the price of both gas and electricity.
Gas prices will rise by an average of 18% and electricity bills by an average of 16%.
The increases, which will come into effect from August 18, will see the average dual fuel energy bill rise by £190 a year. British Gas said it had raised its prices in response to a 30% hike in wholesale prices since last winter.
It is the second of the "big six" companies to put up prices after Scottish Power announced a 19% hike in gas prices and 10% hike in electricity last month.
Other companies are expected to follow.
The change in prices will directly affect nine million customers while a further million have fixed prices and will not be immediately impacted.
British Gas last hiked its prices in December when household bills increased by an average of 7%, adding £1.50 to the average weekly dual fuel bill.
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Managing director Phil Bentley, said: "We know there is never a good time to raise prices but we are buying in a global energy market and have to pay the market rate. Rising wholesale costs is an issue facing all energy suppliers. Our advice to customers is to wait and see what happens in the energy retail market before making any decisions about switching supplier."
The company said it "cannot continue to make a loss on the energy it sells" and it needs to make a profit to invest in future energy sources. It offered numerous ways for its customers to keep their prices down, including fixing their bills or improving insulation in their homes and energy monitors.
British Gas said some bills could increase by as much as 24% depending on how customers pay their bills and where they live. The minimum increase will be 12%.
