British Gas 'to increase prices'

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British Gas is set to increase its prices as its owner Centrica attempts to tackle recent losses, according to reports.

The Financial Mail has claimed that the energy supplier could introduce a rise of over 30 per cent, in a move which will see the average household bill reach around £1,300 a year.

It is thought that Centrica will soon announce a fall in profits for the six months to June, which is expected to be used as a reason behind the new increases.

According to the paper, the price rise will come at the end of August, although a final decision has not yet been taken on when it will actually be introduced.

Earlier this month, the Times also reported that British Gas was gearing up to increase the cost of its energy.

According to that newspaper, the rise will be a minimum of 15 per cent, while other suppliers will follow suit soon afterwards.

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