British Gas owner Centrica has announced it is to raise gas prices by 35% and electricity prices by 9%.
The UK's biggest domestic energy supplier said that the price hikes would take place with immediate effect.
It blamed "soaring wholesale energy prices", but added that standard tariff prices would not rise again in 2008.
The move comes just a few days after rival EDF Energy put up gas prices by 22% and electricity prices by 17%, with other MPs set to question energy bosses ...
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Dual fuel
Centrica said the average dual fuel bill would go up by 25%. This is the second increase this year, after a 15% rise in bills in January.
"We very much regret that we have had to make this decision at a time when many household budgets are already under pressure," said British Gas managing director Phil Bentley.
"The simple fact though is that we have entered an era of unprecedented high world energy prices."
A report prepared for Centrica earlier this month warned that annual average gas bills could rise from Ј600 to more than Ј1,000 early in the next decade.
(BBC)
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