Winter Fuel Bills Lower Than 2009 for British Gas Customers

LONDON, April 29, 2010 - Customers of British Gas, the UK's leading energy (
www.britishgas.co.uk/products-and-services/energy.html) supplier, paid
less for their winter fuel this year compared to the winter of 2008/9,
despite this being one of the coldest winters of recent decades.

Bills have been reduced as a result of customers acting on the energy
efficiency tips from the supplier and through the impact of British Gas'
energy price cuts.

The findings contradict recent reports of the wider trend that energy
customers in general have faced an increase in their fuel costs in the first
quarter of 2010 compared with the same period last year (source:
energyhelpline.com, 15 April 2010).

British Gas, which provides gas and electricity (
www.britishgas.co.uk/products-and-services/energy/dual-fuel.html) to
more than 10 million households, has analysed the fuel bills of its customers
for the first three months of 2010, and has discovered they are, on average,
GBP373, which is GBP8 less than bills during the same period last year.

British Gas believes the increased gas consumption during the cold snap
has been more than off-set by the overall reductions in energy use, as a
result of the help it has given its customers with energy efficiency
measures. It also believes the lower fuel bills are the result of its price
cuts - including the 7% reduction in gas prices (
www.britishgas.co.uk/products-and-services/energy/gas.html) on 4
February this year.

Unveiling the analysis, British Gas' Managing Director, Phil Bentley,
said:

"We are absolutely focussed on helping our customers use less energy and
cut their fuel bills. This extensive analysis of all our customers' winter
bills shows that, despite the increased gas use during the severe cold snap,
we are succeeding in making overall reductions in the use of gas and
electricity, against the reported trend in the UK. This is great news for the
environment and household budgets."

Over the last year, British Gas customers have also benefited from some
of the lowest energy prices in Britain. The company cut prices twice last
year, by 10% on gas and electricity, and was the only major energy supplier
to make a gas price cut this winter with a further average 7% reduction in
gas prices in February. British Gas remains on average the cheapest major
supplier of standard electricity and dual fuel throughout Britain.

British Gas Media Relations, +44(0)845-072-8002

British Gas Media Relations, +44(0)845-072-8002