Millions face being priced out of heating their homes this winter after money-raking British Gas announced a 10.4 per cent electricity rise and 8.4 per cent increase for gas yesterday.

The Centrica-owned energy profiteer said average customer dual-fuel bills will rise by £123 to £1,444 a year after the price increases, which take effect on November 23.

Energy executives had promised in May to use a profit windfall of £356 million to keep prices down. But the pledge proved to be empty words with the company blaming government energy intiatives, rising wholesale energy prices and National Grid costs for the increases.