Great Britain has one of the largest and most competitive wholesale gas hubs in the world and British retail gas prices are amongst the lowest in Europe. We benefit from highly diverse and flexible sources of gas supply, including storage, indigenous production, six international gas pipelines with Norway, Belgium and the Netherlands and three liquefied natural gas terminals.
In addition, increased competition in the retail gas market means that households now having a choice of around 55 companies supplying gas. Smaller suppliers are continuing to grow their market share and now have just over 18% of the domestic retail gas market. Nevertheless the Government considers that domestic standard variable tariff customers are being charged unjustifiably high prices – as confirmed by the Competition and Markets Authority investigation into the energy market.
In addition Ofgem has said it will consider extending the price cap in place for customers on pre-payment meters to more vulnerable customers.