British Gas cuts could start price war

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Households should think about switching gas and electricity supplier following the announcement that one of the big six firms is to slash prices, according to Consumer Focus.

The group said the claim made by British Gas that it will be cutting the price of gas for the average customer by seven per cent may prompt other suppliers to do the same.

Audrey Gallacher, of Consumer Focus, said: "People should use the British Gas cut as a trigger to check they're getting the best possible deal - thinking about switching, making sure they're on the right tariff and getting the right advice on energy efficiency."

She added that "companies should have passed on wholesale price cuts before winter" to give the highest benefits to customers.

Under proposals from British Gas, customers could see their bills drop by an average of £55 per year. The company claims that price reductions over the past few months have seen bills decrease by £187.

Richard Eden, from energy price comparison website, also added that consumers should be checking for online tariffs.

These tariffs are generally far more competitive than the standard tariffs even with the price cuts. Customers could save up to 25 per cent on their bills, depending on region.

Click here to run an energy price comparison, and see if you could be paying less for your gas and electricity.

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