British Gas Announced Huge Rise in Profit

British Gas reported a huge rise in first-half profits thanks to falls in wholesale gas prices, Telegraph reported.

Pre-tax profits at parent company Centrica surged to 163;1.5bn pounds from a profit of just 163;68m pounds in the same period in 2006. After tax, the comapny lost 59 million pounds in the first half of 2006.

However, Centrica has warned that gas prices could continue to be volatile and customers should expect them to remain high.

A spokesman said: "Forward prices are at 45p for this coming winter, which is up from 40p as at June this year. If they stay at that level, it will be the second highest on record behind 2005-06."