British Gas owner Centrica to cut 700 UK jobs this year
Centrica, the owner of British Gas, will make a further 700 staff redundant from its UK offices this summer.
This comes as part of a cut of 4,000 jobs in total, which is intended to help with challenges the energy market are currently facing.
The energy firm reduced its workforce by 2,200 jobs last year and announced plans to cut another 500 in April.
The change is intended to manage the impact of both falling customer numbers and a government cap on standard energy tariffs.
A spokesperson for Centrica said, “This difficult decision was made because we need to respond to the growing challenges we face. The energy market is going through continued rapid change, competition is fierce, our energy customers are leaving us and we’re operating under a price cap.
“Over the next 45 days, as part of a full consultation process, we will discuss the proposals and seek the views of employees and their representatives.”
Last year, British Gas lost 742,000 customers, with the company explaining that the government’s price cap would result in a £300 million impact on its full year results.
The energy firm reduced its workforce by 2,200 jobs last year and announced plans to cut another 500 in April (Photo: Shutterstock)
Growing in North America
Despite job cuts, Centrica has revealed plans to grow in the US, with a £29 million takeover of energy service firm SmartWatt.
Justin Bowden, the GMB union’s national secretary, said, “Centrica’s still falling share price tells you everything you need to know about the state of the company and how it has been run over the past few years.
“British Gas cannot just cut its way out of a crisis, largely of its own making, simply by slashing jobs and trying to offshore.
“There has to be investment, innovation and a proper plan and vision for the future that reverses customer losses, produces growth and puts right some deep-seated cultural issues.”
This article was originally published on our sister site, Yorkshire Evening Post.