UK-Oil
The average energy bill for a British household could soar by up to nearly 50 per cent this year, according to market experts.

Price comparison website uSwitch warned that energy bills could rise by an average of 43 per cent to an unprecedented Pnds 1,327 (Dlrs 2,650) by the end of 2008, if oil and wholesale gas prices continue to soar.

The prediction comes after Centrica, the owner of former state company British Gas hinted further increases were on the way, when saying the wholesale price of gas will be 80 per cent higher this winter than last at 82 pence per therm.

uSwitch said that the best case scenario for consumers would be a 10 per cent, or an average of Pnds 105 price rise this summer, followed by a further 15 per cent hike in January 2009.

This would take the average UK energy bill to Pnds 1,153 by late summer and to Pnds 1,327 at the beginning of next year, a Pnds 415 increase since the start of 2008.

But because of pressure on wholesale prices, the market expert company suggested British Gas may be forced to push both increases through this year. This follows the largest previous spike of 38 per cent in household energy bills in 2006.

Since April the wholesale price of gas, which is linked to the soaring oil rates, has risen 12 per cent, taking the increase for the year so far to 20 per cent.

Before the latest rises, consumers have already faced an average 15 per cent increase in domestic gas and electricity bills imposed by suppliers at the start of this year.

Britain is facing sharp wholesale gas rises at a time the country is forced being to import more from overseas in the face of dwindling North Sea supplies.