Millions of homeowners will be forced to pay hundreds more to heat and light their homes after British Gas announced massive gas price hikes of 35 per cent.
Electricity prices will also rise nine per cent, meaning the average dual fuel bill will increase by a massive £262 per year.
The hikes are to come into effect immediately and are the second increase by the company this year. They come days after power giant EDF said it was increasing prices by 22 per cent and electricity by 17 per cent.
All the other main suppliers such as Southern Electric, Eon and npower are expected to follow suit shortly.
Consumer groups said it could push average fuel prices to more than
1,500 a year by Christmas.
Tim Wolfenden, head of home services at eSwitch, said today’s increases had
taken him by surprise, adding: 'It is
drastic news for a huge number of consumers.
'These are the highest rises we
have seen in gas prices in years, if not
ever. We could see prices going up for
the next five years.'
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