UK utility British Gas has recorded record profits for the first half of the year. The company made £969m ($1.3bn) over the past six months, up nearly 900% from £98m ($127m) during the same period last year.
The announcement follows a change made by the UK energy regulator, Ofgem, to its price cap. This increased the amount suppliers can claim from household bills to compensate for costs incurred during the pandemic.
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The supplier’s parent company, Centrica, recorded profits of £6.5bn compared with a £1.1bn loss in the same months last year.
“I’m proud of the incredible work our colleagues do every day to help customers struggling with the cost-of-living crisis,” said Centrica’s group chief executive, Chris O’Shea, in a statement. “We are doing more than any other UK energy company – and we will continue to be there when our customers need us.”
Others say Centrica should do more to support those struggling to pay energy bills. Several left-wing UK politicians are calling for public ownership in the face of British Gas’ profits.
“They’re lining their pockets while you pay higher bills. As the world burns and energy bills soar, we need an energy system under public ownership, run for people and planet – not profit,” said Member of Parliament (MP) Richard Burgon in a tweet.
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By GlobalData“We must end this daylight robbery and bring energy into public hands, now,” Nadia Whittome MP also tweeted.
Centrica said it will increase its customer support package to more than £100m and invest in energy transition technologies.
O’Shea was criticised earlier this year for accepting a £4.5m pay packet, including bonus payouts totalling £3.7m, amid an investigation into Centrica’s treatment of vulnerable customers.
British Gas saw profits rise despite a fall in oil and gas prices, which has affected the profits of other energy companies.
The UK Government is also under fire for the cost of energy prices in the country. “The reality is that energy firms are operating on a playing field set by the government,” said the campaign group End Fuel Poverty Coalition in a tweet. “People will rightly ask what this government is doing to fix our broken energy system.”
