British Gas managing director Phil Bentley has said rising costs that are largely outside the company's control but which make up most tariffs, were to blame for the announced 6 percent price hike.
Britain's North Sea gas supplies are running out, and British Gas has to pay the going rate for gas in a competitive global marketplace.
Furthermore, the investment needed to maintain and upgrade the national grid to deliver energy to our customers' homes, and the costs of the Government's policies for a clean, energy-efficient Britain, are all going up.
The Chancellor has urged energy companies to reconsider their price hikes, in an interview with ITV News.
Households across Britain could be plunged into a "long, cold winter" after two major energy suppliers increased their prices today.
British Gas has confirmed they are putting their energy prices up for this winter by an average of six percent.