Centrica faces heat over profit leap

The announcement of bumper earnings of 554m – 46 per cent more than it made in 2008 – comes only weeks after hefty winter fuel bills dropped on to millions of doormats across the country.

Industry watchdog Ofgem said energy firms have boosted their profit margins by 30 for each typical dual fuel customer in the past three months as wholesale energy costs fall.

Union bosses are urging the Government to step in to ensure prices are brought down.

Gary Smith, national officer at the GMB union, said: "Buying cheap and selling dear will always add up to high profits in a natural monopoly. No great managerial elan or skills are needed.

"It is long overdue that the Government should step in and take control of the energy sector and put in place proper plans for secure supplies at reasonable prices as happens in the rest of Europe."

Centrica is expected to raise its dividend, bringing total payouts for the year to around 650m, and also argue profits were abnormally low in 2008.