Socialist Worker

Gas bill ‘cut’ is still a rip off

Issue No. 2136

British Gas had the cheek to pretend it was doing customers a favour when it cut gas prices by 10 percent last week.

Yet after a price rise of almost 50 percent over the last year, the “cut” still leaves people struggling to pay bills 40 percent higher than a year ago.

Wholesale gas prices have tumbled by 50 percent since last summer, yet this has not been passed on to customers.

The cut only comes into effect on 19 February – so customers had to pay the higher rate through the cold spells over the past months.

The government estimates that 2.5 million households are in fuel poverty – defined as when more than 10 percent of household income is spent on fuel bills.

Meanwhile Centrica, the company that owns British Gas, announced £992 million in profits in July last year.


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News
Tue 27 Jan 2009, 18:47 GMT
Issue No. 2136
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