Npower announces 5.2% cut to gas prices

UK energy supplier Npower has announced a 5.2% reduction in its gas prices.

In a statement, the company said the reduction would take effect from 28 March and amount to a £32 average annual cut for customers on a standard domestic gas tariff.

Npower said the fall would benefit about 1.2m customers. Speaking to the BBC, Paul Coffey, chief executive of Npower, said, "We have balanced the wholesale price fall against increases in the other costs we are charged."

Npower’s move follows similar announcements by major market rivals. E.On cut its gas prices by 5.1% on 1 February, while Scottish Power will cut its gas tariff by 5.4% on 15 March, and SSE will cut its prices by 5.3% from 29 March.