Watchdog’s profit claims inflated, says Centrica

Sam Laidlaw said Centrica would make far less profit per household than claimed, while green levies will keep power prices high next year
Sam Laidlaw said Centrica would make far less profit per household than claimed, while green levies will keep power prices high next year
CHRISTOPHER FURLONG/GETTY IMAGES

The owner of British Gas has attacked the energy industry regulator for making “false” accusations of profiteering in an escalating rift over the size of household bills for electricity and gas.

Centrica yesterday revealed a 40 per cent slump in half-year profits, partly due to mild winter weather, and insisted that its profits for the year would be less than half the £106-per-home cited as an industry average by Ofgem this week.

Sam Laidlaw, the veteran chief executive of Centrica, who leaves at the end of the year, said that Ofgem’s methodology has “deficiencies” and did not reflect energy suppliers’ true costs. “The Ofgem analysis is theoretical analysis,” he said. “What we are publishing today is the actual facts. Profits are lower and will be