British Gas as responded to comments about wholesale energy saying that "when our costs fall, our prices do too".
The wholesale cost of energy is now less than half the bill which partly explains why the wholesale price can fall, but overall prices don’t.
Most suppliers buy their energy in advance, up to three years in some cases, to ensure security of supply and smooth out price volatility.
When our costs fall, our prices do too.
In December, the government’s restructure of the energy efficiency scheme ECO, resulted in British Gas being the first supplier to introduce a £42 price cut for all our customers, including those on fixed deals - the only supplier to do so.
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