The new rates will come into effect on December 18th and the firm estimates it will reduce prices by an average of £22 per year.
Phil Bentley, managing director of British Gas, said the company was "committed to passing on savings to our customers".
He added that he was hopeful that similar price reductions could be made available to all customers in the Spring, dependent on the continued fall of wholesale gas prices.
Mr Bentley stated: "We are always trying to bring down our costs and have a dedicated team who focus solely on improving the service we give our pre-payment customers."
Scottish & Southern Energy announced earlier this month that it was pledging to cut energy bills for its domestic customers in the new year.
The company said is was "optimistic" about being able to pass on wholesale falls in energy market prices.
Click here to run an energy price comparison, and see if you could be paying less for your gas and electricity.