The managing director of British Gas has announced the company will aim to regain trust in the consumer through two types of fixed and variable tariff as the power suppliers aim to increase simplicity following Ofgem’s recent market review.
Phil Bentley, Managing Director of British Gas said: “It’s time for change. It’s clear that the energy industry is facing a crisis of trust and we have all got to work much harder rebuild public confidence.Customers have given us a very clear message; they want simple tariffs, transparent bills and a fair deal on energy.”
Speaking on BBC’s Newsnight programme, Mr Bentley defended accusations from Jeremy Paxman that British Gas hadn’t acted out of consideration for the consumer but had in fact been making huge profits. Mr Bentley said: “5% is what we believe is right for the level of investment we’re having to make.”
The British Gas MD said that the reason energy bills didn’t drop in line with wholesale costs wasn’t because of Big Six greed: “It is a partial picture because it doesn’t include all the other things that are in your bill: the cost of green energy- how much is that in your bill? It’ll be £50 next year, that’s a policy decision; transporting it through the grid, the cost of that is going up… the wholesale cost of gas is not the only part of the bill.”