energy news

British Gas profits soar


13th November, 2009

British Gas is on course for soaring returns from its 15 million household energy customers this winter, with profits expected to rise by 43 per cent to £541m, its owner Centrica told investors yesterday. It said Britain's biggest energy supplier was trading "above expectations" despite a 7 per cent fall in demand due to the recession and increased energy efficiency. In a note to investors, stockbroker Charles Stanley praised BG's residential supply business, saying its margins "came in at a very healthy 6.8 per cent (top end of target range)", adding it expected the returns to be maintained until its annual results in February. Consumer groups were less impressed, complaining that energy companies appeared to be profiteering from high prices, amid steep falls in wholesale costs for gas and electricity



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