The parent firm of British Gas has said profits will be "significantly higher" in its household energy business over the first half of 2023. Energy giant Centrica said the retail division, which includes British Gas, has been boosted by regulatory changes that allowed it to reclaim some losses from selling at capped prices.
It comes after a year which has seen British households swallow sharp increases in their energy bills after the Russian invasion of Ukraine sparked a surge in wholesale gas prices. The Government's current Energy Price Guarantee means annual energy costs have been limited to £2,500 for the average household, but prices are set to fall in July as the cap from energy regulator Ofgem is reduced.
In a trading update ahead of its annual general meeting, Centrica said the first five months of 2023 have been "strong overall" for the company, despite a reduction in wholesale energy prices. It said group adjusted earnings per share are set to be at the "top end" of analyst expectations for the year.
