British Gas annouce massive profits

24 February 2011


Congratulations to British Gas, on the day that they announce a rise in profits during 2010 of a whopping 24% to £742 million, just two months after hiking up their domestic energy prices by 7% - that’s some sensational work and no mistake.

British Gas blamed that recent price rise on the rise in wholesale costs, but made most of their money during the big freeze at the beginning of 2010. The company didn’t attract a huge amount of new customers, with an increase of just 1.7% in their customer base, but every single customer did their bit to work towards such a phenomenal annual profit. Parent company Centrica achieved pre-tax operating profits of £2.4 billion, up an amazing 29%.

It’s astonishing stuff, and we suggest that British Gas customers celebrate by opening the windows and turning all the heating right up today. Those who are struggling to pay their bills should try and resist the urge to stick their heads in the gas oven.

TOPICS:   Utilities   High Street News


  • The B.
    I can't believe people still use BG, I don't know anyone who does, perhaps it's pensioners?
  • GasandAir
    Three cheers for OFGEM! The toothless energy regulator has once again proved it's worth and saved consumers from another wholesale fleecing. Or not.
  • Mark C.
    @Bob - Oddly enough, there's a lot of truth in that. British Gas run most (if not all) of the token meters in my area, which are generally in rented and older houses, so it's mostly older people, students, immigrant workers, house sharers and those who have historically had problems paying their bills. Charmingly enough, the cost of using a token meter is also far higher than having a monthly bill, just to make sure they're squeezing the last few pips out of their poorest customers.
  • Anonymous C.
    Hmmm... going by customer numbers of BG (12.2million @ 10/1/10, plus the 1.7% gives 12.4million) that makes an average profit per customer of £59.84 per year, or about a fiver per customer per month. The average annual British Gas bill is £1097. This suggests two things: 1) They're not exactly profiteering since only 5% of an average bill is pure profit. 2) They're rubbish at actually administering those customers because that's a crap margin!
  • Skymarshall
    British raping bastards would be a more appropriate name, I feel.
  • Nob
    We're with BG. I swapped back to them. They were actually cheaper than the competition, after taking into account cashback. Will ditch them at the end of contract and take someone else's cashback. Although "competition" is a bit of a joke, it is more like a cartel.
  • Stu_
    @Bob I'm forced to use BG by an unlawful line in my rental contract which I've queried before. However, I'm also very happy with the house, the rent is lower than it should be and if I legally challenged it, chances are my contract won't be renewed next year so sometimes you have to bite the bullet. My Landlords apparently believe that they have to be with British Gas because they have a 5* contract with them for appliances......

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