Winter blues come early as gas bills set to increase 7 per cent

EIGHT million British Gas customers will face higher utility bills from next month as the energy supplier confirmed a hike in tariffs.

Household bills for gas and electricity will increase by an average of 7 per cent from 10 December .

The company said rising wholesale prices had forced it to lift the bills, but vowed not to apply the increase to the company's 300,000 most vulnerable customers, such as the poorest pensioners.

The move follows a price lift by utility giant Scottish & Southern at the end of last month. SSE said it would put up its gas bills by 9 per cent from 1 December.

The National Pensioners Convention (NPC) urged the government to explain what they intended to do with the winter fuel allowance next year in light of the announcement by British Gas.

Dot Gibson, NPC general secretary, said: "The government must tell pensioners as a matter of urgency whether they will be getting their winter fuel allowance next year at the current rate, or whether, as we suspect, ministers intend to reduce the under 80s payment by 50 and the over 80s payment by 100."

Yesterday's announcement means an average British Gas customer's dual-fuel bill will rise annually to 1,239 from 1,157.

Customers identified as vulnerable will see bills held until April, the firm added.

Adam Scorer, director at Consumer Focus, said: "Winter is going to seem that much colder and budgets are going to be that much tighter after this announcement."