British Gas plc was formerly the monopoly

Monopoly

A monopoly exists when a specific person or enterprise is the only supplier of a particular commodity...

 gas supplier and is a private sector in the United Kingdom

United Kingdom

The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...

.

History

In the early 1900s the gas market in the United Kingdom was mainly run by county councils and small private firms. At this time the use of an inflammable gas (often known as "Town Gas") piped to houses as a fuel

Fuel

Fuel is any material that stores energy that can later be extracted to perform mechanical work in a controlled manner. Most fuels used by humans undergo combustion, a redox reaction in which a combustible substance releases energy after it ignites and reacts with the oxygen in the air...

 was still being marketed to consumers, by such means as the National Gas Congress and Exhibition (1913)

National Gas Congress and Exhibition (1913)

The National Gas Congress and Exhibition was held in the International Exhibition Halls, Shepherd's Bush, London from 1 October to 1 November 1913....

. The gas used in the 19th and early 20th centuries was Coal gas

Coal gas

Coal gas is a flammable gaseous fuel made by the destructive distillation of coal containing a variety of calorific gases including hydrogen, carbon monoxide, methane and volatile hydrocarbons together with small quantities of non-calorific gases such as carbon dioxide and nitrogen...

 but in the period 1967-1977 British domestic coal gas supplies were replaced by Natural gas

Natural gas

Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...

.

In 1948 Clement Attlee

Clement Attlee

Clement Richard Attlee, 1st Earl Attlee, KG, OM, CH, PC, FRS was a British Labour politician who served as the Prime Minister of the United Kingdom from 1945 to 1951, and as the Leader of the Labour Party from 1935 to 1955...

's Labour

Labour Party (UK)

The Labour Party is a centre-left democratic socialist party in the United Kingdom. It surpassed the Liberal Party in general elections during the early 1920s, forming minority governments under Ramsay MacDonald in 1924 and 1929-1931. The party was in a wartime coalition from 1940 to 1945, after...

 government reshaped the gas industry, bringing in The Gas Act 1948. The act nationalised the UK gas industry and 1062 privately owned and municipal gas companies were merged into twelve Area Gas Boards each a separate body with its own management structure. Each Area Board was divided into geographical groups or divisions which were often further divided into smaller districts. These boards simply became known as the "Gas Board", a term people still use when referring to British Gas.

Gas Area Boards

No. on map Name of Area Board Coverage of area 1 Scottish Gas Board Scottish Gas Board The Scottish Gas Board was a state-owned utility providing gas for light and heat to industries and homes in Scotland. The Board was established on 1 May 1949, and dissolved in 1973 when it became a Region of the British Gas Corporation....   Scotland Scotland Scotland is a country that is part of the United Kingdom. Occupying the northern third of the island of Great Britain, it shares a border with England to the south and is bounded by the North Sea to the east, the Atlantic Ocean to the north and west, and the North Channel and Irish Sea to the... 2 Northern Gas Board Durham County Durham County Durham is a ceremonial county and unitary district in north east England. The county town is Durham. The largest settlement in the ceremonial county is the town of Darlington... , Northumberland Northumberland Northumberland is the northernmost ceremonial county and a unitary district in North East England. For Eurostat purposes Northumberland is a NUTS 3 region and is one of three boroughs or unitary districts that comprise the "Northumberland and Tyne and Wear" NUTS 2 region...  and parts of Cumberland Cumberland Cumberland is a historic county of North West England, on the border with Scotland, from the 12th century until 1974. It formed an administrative county from 1889 to 1974 and now forms part of Cumbria.... , Westmorland Westmorland Westmorland is an area of North West England and one of the 39 historic counties of England. It formed an administrative county from 1889 to 1974, after which the entirety of the county was absorbed into the new county of Cumbria.-Early history:...  and the North Riding of Yorkshire North Riding of Yorkshire The North Riding of Yorkshire was one of the three historic subdivisions of the English county of Yorkshire, alongside the East and West Ridings. From the Restoration it was used as a Lieutenancy area. The three ridings were treated as three counties for many purposes, such as having separate... 3 North-Western Gas Board Lancashire Lancashire Lancashire is a non-metropolitan county of historic origin in the North West of England. It takes its name from the city of Lancaster, and is sometimes known as the County of Lancaster. Although Lancaster is still considered to be the county town, Lancashire County Council is based in Preston...  and parts of Cheshire Cheshire Cheshire is a ceremonial county in North West England. Cheshire's county town is the city of Chester, although its largest town is Warrington. Other major towns include Widnes, Congleton, Crewe, Ellesmere Port, Runcorn, Macclesfield, Winsford, Northwich, and Wilmslow... , Cumberland Cumberland Cumberland is a historic county of North West England, on the border with Scotland, from the 12th century until 1974. It formed an administrative county from 1889 to 1974 and now forms part of Cumbria.... , Derbyshire Derbyshire Derbyshire is a county in the East Midlands of England. A substantial portion of the Peak District National Park lies within Derbyshire. The northern part of Derbyshire overlaps with the Pennines, a famous chain of hills and mountains. The county contains within its boundary of approx... , Shropshire Shropshire Shropshire is a county in the West Midlands region of England. For Eurostat purposes, the county is a NUTS 3 region and is one of four counties or unitary districts that comprise the "Shropshire and Staffordshire" NUTS 2 region. It borders Wales to the west... , Westmorland Westmorland Westmorland is an area of North West England and one of the 39 historic counties of England. It formed an administrative county from 1889 to 1974, after which the entirety of the county was absorbed into the new county of Cumbria.-Early history:...  and the West Riding of Yorkshire West Riding of Yorkshire The West Riding of Yorkshire is one of the three historic subdivisions of Yorkshire, England. From 1889 to 1974 the administrative county, County of York, West Riding , was based closely on the historic boundaries... 4 North-Eastern Gas Board The East Riding of Yorkshire East Riding of Yorkshire The East Riding of Yorkshire, or simply East Yorkshire, is a local government district with unitary authority status, and a ceremonial county of England. For ceremonial purposes the county also includes the city of Kingston upon Hull, which is a separate unitary authority...  and parts of the North North Riding of Yorkshire The North Riding of Yorkshire was one of the three historic subdivisions of the English county of Yorkshire, alongside the East and West Ridings. From the Restoration it was used as a Lieutenancy area. The three ridings were treated as three counties for many purposes, such as having separate...  and West Ridings West Riding of Yorkshire The West Riding of Yorkshire is one of the three historic subdivisions of Yorkshire, England. From 1889 to 1974 the administrative county, County of York, West Riding , was based closely on the historic boundaries...  of Yorkshire (including York York York is a walled city, situated at the confluence of the Rivers Ouse and Foss in North Yorkshire, England. The city has a rich heritage and has provided the backdrop to major political events throughout much of its two millennia of existence... ) 5 Wales Gas Board  Wales Wales Wales is a country that is part of the United Kingdom and the island of Great Britain, bordered by England to its east and the Atlantic Ocean and Irish Sea to its west. It has a population of three million, and a total area of 20,779 km²... 6 West Midlands Gas Board Parts of Cheshire Cheshire Cheshire is a ceremonial county in North West England. Cheshire's county town is the city of Chester, although its largest town is Warrington. Other major towns include Widnes, Congleton, Crewe, Ellesmere Port, Runcorn, Macclesfield, Winsford, Northwich, and Wilmslow... , Herefordshire Herefordshire Herefordshire is a historic and ceremonial county in the West Midlands region of England. For Eurostat purposes it is a NUTS 3 region and is one of three counties that comprise the "Herefordshire, Worcestershire and Gloucestershire" NUTS 2 region. It also forms a unitary district known as the... , Leicestershire Leicestershire Leicestershire is a landlocked county in the English Midlands. It takes its name from the heavily populated City of Leicester, traditionally its administrative centre, although the City of Leicester unitary authority is today administered separately from the rest of Leicestershire... , Shropshire Shropshire Shropshire is a county in the West Midlands region of England. For Eurostat purposes, the county is a NUTS 3 region and is one of four counties or unitary districts that comprise the "Shropshire and Staffordshire" NUTS 2 region. It borders Wales to the west... , Staffordshire Staffordshire Staffordshire is a landlocked county in the West Midlands region of England. For Eurostat purposes, the county is a NUTS 3 region and is one of four counties or unitary districts that comprise the "Shropshire and Staffordshire" NUTS 2 region. Part of the National Forest lies within its borders... , Warwickshire Warwickshire Warwickshire is a landlocked non-metropolitan county in the West Midlands region of England. The county town is Warwick, although the largest town is Nuneaton. The county is famous for being the birthplace of William Shakespeare...  (including Birmingham Birmingham Birmingham is a city and metropolitan borough in the West Midlands of England. It is the most populous British city outside the capital London, with a population of 1,036,900 , and lies at the heart of the West Midlands conurbation, the second most populous urban area in the United Kingdom with a... ) and Worcestershire Worcestershire Worcestershire is a non-metropolitan county, established in antiquity, located in the West Midlands region of England. For Eurostat purposes it is a NUTS 3 region and is one of three counties that comprise the "Herefordshire, Worcestershire and Warwickshire" NUTS 2 region... 7 East Midlands Gas Board Lincolnshire Lincolnshire Lincolnshire is a county in the east of England. It borders Norfolk to the south east, Cambridgeshire to the south, Rutland to the south west, Leicestershire and Nottinghamshire to the west, South Yorkshire to the north west, and the East Riding of Yorkshire to the north. It also borders... , Nottinghamshire Nottinghamshire Nottinghamshire is a county in the East Midlands of England, bordering South Yorkshire to the north-west, Lincolnshire to the east, Leicestershire to the south, and Derbyshire to the west... , Rutland Rutland Rutland is a landlocked county in central England, bounded on the west and north by Leicestershire, northeast by Lincolnshire and southeast by Peterborough and Northamptonshire....  and parts of Bedfordshire Bedfordshire Bedfordshire is a ceremonial county of historic origin in England that forms part of the East of England region.It borders Cambridgeshire to the north-east, Northamptonshire to the north, Buckinghamshire to the west and Hertfordshire to the south-east.... , Buckinghamshire Buckinghamshire Buckinghamshire is a ceremonial and non-metropolitan home county in South East England. The county town is Aylesbury, the largest town in the ceremonial county is Milton Keynes and largest town in the non-metropolitan county is High Wycombe.... , Derbyshire Derbyshire Derbyshire is a county in the East Midlands of England. A substantial portion of the Peak District National Park lies within Derbyshire. The northern part of Derbyshire overlaps with the Pennines, a famous chain of hills and mountains. The county contains within its boundary of approx... , Leicestershire Leicestershire Leicestershire is a landlocked county in the English Midlands. It takes its name from the heavily populated City of Leicester, traditionally its administrative centre, although the City of Leicester unitary authority is today administered separately from the rest of Leicestershire... , Northamptonshire Northamptonshire Northamptonshire is a landlocked county in the English East Midlands, with a population of 629,676 as at the 2001 census. It has boundaries with the ceremonial counties of Warwickshire to the west, Leicestershire and Rutland to the north, Cambridgeshire to the east, Bedfordshire to the south-east,... , Staffordshire Staffordshire Staffordshire is a landlocked county in the West Midlands region of England. For Eurostat purposes, the county is a NUTS 3 region and is one of four counties or unitary districts that comprise the "Shropshire and Staffordshire" NUTS 2 region. Part of the National Forest lies within its borders...  and the West Riding of Yorkshire West Riding of Yorkshire The West Riding of Yorkshire is one of the three historic subdivisions of Yorkshire, England. From 1889 to 1974 the administrative county, County of York, West Riding , was based closely on the historic boundaries... 8 South Western Gas Board Cornwall Cornwall Cornwall is a unitary authority and ceremonial county of England, within the United Kingdom. It is bordered to the north and west by the Celtic Sea, to the south by the English Channel, and to the east by the county of Devon, over the River Tamar. Cornwall has a population of , and covers an area of...  (including the Isles of Scilly Isles of Scilly The Isles of Scilly form an archipelago off the southwestern tip of the Cornish peninsula of Great Britain. The islands have had a unitary authority council since 1890, and are separate from the Cornwall unitary authority, but some services are combined with Cornwall and the islands are still part... ), Gloucestershire Gloucestershire Gloucestershire is a county in South West England. The county comprises part of the Cotswold Hills, part of the flat fertile valley of the River Severn, and the entire Forest of Dean....  and parts of Berkshire Berkshire Berkshire is a historic county in the South of England. It is also often referred to as the Royal County of Berkshire because of the presence of the royal residence of Windsor Castle in the county; this usage, which dates to the 19th century at least, was recognised by the Queen in 1957, and... , Devon Devon Devon is a large county in southwestern England. The county is sometimes referred to as Devonshire, although the term is rarely used inside the county itself as the county has never been officially "shired", it often indicates a traditional or historical context.The county shares borders with... , Herefordshire Herefordshire Herefordshire is a historic and ceremonial county in the West Midlands region of England. For Eurostat purposes it is a NUTS 3 region and is one of three counties that comprise the "Herefordshire, Worcestershire and Gloucestershire" NUTS 2 region. It also forms a unitary district known as the... , Oxfordshire Oxfordshire Oxfordshire is a county in the South East region of England, bordering on Warwickshire and Northamptonshire , Buckinghamshire , Berkshire , Wiltshire and Gloucestershire .... , Somerset Somerset The ceremonial and non-metropolitan county of Somerset in South West England borders Bristol and Gloucestershire to the north, Wiltshire to the east, Dorset to the south-east, and Devon to the south-west. It is partly bounded to the north and west by the Bristol Channel and the estuary of the... , Warwickshire Warwickshire Warwickshire is a landlocked non-metropolitan county in the West Midlands region of England. The county town is Warwick, although the largest town is Nuneaton. The county is famous for being the birthplace of William Shakespeare... , Wiltshire Wiltshire Wiltshire is a ceremonial county in South West England. It is landlocked and borders the counties of Dorset, Somerset, Hampshire, Gloucestershire, Oxfordshire and Berkshire. It contains the unitary authority of Swindon and covers...  and Worcestershire Worcestershire Worcestershire is a non-metropolitan county, established in antiquity, located in the West Midlands region of England. For Eurostat purposes it is a NUTS 3 region and is one of three counties that comprise the "Herefordshire, Worcestershire and Warwickshire" NUTS 2 region... 9 North Thames Gas Board North Thames Gas Board The North Thames Gas Board was a state-owned utility providing gas for light and heat to industries and homes in part of England. The Board's area included parts of the County of London, Berkshire, Buckinghamshire, Essex, Hertfordshire, Middlesex and Surrey... Parts of the administrative County of London County of London The County of London was a county of England from 1889 to 1965, corresponding to the area known today as Inner London. It was created as part of the general introduction of elected county government in England, by way of the Local Government Act 1888. The Act created an administrative County of...  and of Berkshire Berkshire Berkshire is a historic county in the South of England. It is also often referred to as the Royal County of Berkshire because of the presence of the royal residence of Windsor Castle in the county; this usage, which dates to the 19th century at least, was recognised by the Queen in 1957, and... , Buckinghamshire Buckinghamshire Buckinghamshire is a ceremonial and non-metropolitan home county in South East England. The county town is Aylesbury, the largest town in the ceremonial county is Milton Keynes and largest town in the non-metropolitan county is High Wycombe.... , Essex Essex Essex is a ceremonial and non-metropolitan county in the East region of England, and one of the home counties. It is located to the northeast of Greater London. It borders with Cambridgeshire and Suffolk to the north, Hertfordshire to the west, Kent to the South and London to the south west... , Hertfordshire Hertfordshire Hertfordshire is a ceremonial and non-metropolitan county in the East region of England. The county town is Hertford.The county is one of the Home Counties and lies inland, bordered by Greater London , Buckinghamshire , Bedfordshire , Cambridgeshire and... , Middlesex Middlesex Middlesex is one of the historic counties of England and the second smallest by area. The low-lying county contained the wealthy and politically independent City of London on its southern boundary and was dominated by it from a very early time...  and Surrey Surrey Surrey is a county in the South East of England and is one of the Home Counties. The county borders Greater London, Kent, East Sussex, West Sussex, Hampshire and Berkshire. The historic county town is Guildford. Surrey County Council sits at Kingston upon Thames, although this has been part of... 10 Eastern Gas Board Cambridgeshire Cambridgeshire Cambridgeshire is a county in England, bordering Lincolnshire to the north, Norfolk to the northeast, Suffolk to the east, Essex and Hertfordshire to the south, and Bedfordshire and Northamptonshire to the west... , Huntingdonshire Huntingdonshire Huntingdonshire is a local government district of Cambridgeshire, covering the area around Huntingdon. Traditionally it is a county in its own right... , the Isle of Ely Isle of Ely The Isle of Ely is a historic region around the city of Ely now in Cambridgeshire, England but previously a county in its own right.-Etymology:... , Norfolk Norfolk Norfolk is a low-lying county in the East of England. It has borders with Lincolnshire to the west, Cambridgeshire to the west and southwest and Suffolk to the south. Its northern and eastern boundaries are the North Sea coast and to the north-west the county is bordered by The Wash. The county... , the Soke of Peterborough Soke of Peterborough The Soke of Peterborough is an historic area of England that is traditionally associated with the City and Diocese of Peterborough, but considered part of Northamptonshire... , Suffolk Suffolk Suffolk is a non-metropolitan county of historic origin in East Anglia, England. It has borders with Norfolk to the north, Cambridgeshire to the west and Essex to the south. The North Sea lies to the east...  and parts of Bedfordshire Bedfordshire Bedfordshire is a ceremonial county of historic origin in England that forms part of the East of England region.It borders Cambridgeshire to the north-east, Northamptonshire to the north, Buckinghamshire to the west and Hertfordshire to the south-east.... , Buckinghamshire Buckinghamshire Buckinghamshire is a ceremonial and non-metropolitan home county in South East England. The county town is Aylesbury, the largest town in the ceremonial county is Milton Keynes and largest town in the non-metropolitan county is High Wycombe.... , Essex Essex Essex is a ceremonial and non-metropolitan county in the East region of England, and one of the home counties. It is located to the northeast of Greater London. It borders with Cambridgeshire and Suffolk to the north, Hertfordshire to the west, Kent to the South and London to the south west... , Hertfordshire Hertfordshire Hertfordshire is a ceremonial and non-metropolitan county in the East region of England. The county town is Hertford.The county is one of the Home Counties and lies inland, bordered by Greater London , Buckinghamshire , Bedfordshire , Cambridgeshire and...  and Middlesex Middlesex Middlesex is one of the historic counties of England and the second smallest by area. The low-lying county contained the wealthy and politically independent City of London on its southern boundary and was dominated by it from a very early time... 11 Southern Gas Board Dorset Dorset Dorset , is a county in South West England on the English Channel coast. The county town is Dorchester which is situated in the south. The Hampshire towns of Bournemouth and Christchurch joined the county with the reorganisation of local government in 1974... , Hampshire Hampshire Hampshire is a county on the southern coast of England in the United Kingdom. The county town of Hampshire is Winchester, a historic cathedral city that was once the capital of England. Hampshire is notable for housing the original birthplaces of the Royal Navy, British Army, and Royal Air Force... , the Isle of Wight Isle of Wight The Isle of Wight is a county and the largest island of England, located in the English Channel, on average about 2–4 miles off the south coast of the county of Hampshire, separated from the mainland by a strait called the Solent...  and parts of Bedfordshire Bedfordshire Bedfordshire is a ceremonial county of historic origin in England that forms part of the East of England region.It borders Cambridgeshire to the north-east, Northamptonshire to the north, Buckinghamshire to the west and Hertfordshire to the south-east.... , Berkshire Berkshire Berkshire is a historic county in the South of England. It is also often referred to as the Royal County of Berkshire because of the presence of the royal residence of Windsor Castle in the county; this usage, which dates to the 19th century at least, was recognised by the Queen in 1957, and... , Buckinghamshire Buckinghamshire Buckinghamshire is a ceremonial and non-metropolitan home county in South East England. The county town is Aylesbury, the largest town in the ceremonial county is Milton Keynes and largest town in the non-metropolitan county is High Wycombe.... , Devon Devon Devon is a large county in southwestern England. The county is sometimes referred to as Devonshire, although the term is rarely used inside the county itself as the county has never been officially "shired", it often indicates a traditional or historical context.The county shares borders with... , Hertfordshire Hertfordshire Hertfordshire is a ceremonial and non-metropolitan county in the East region of England. The county town is Hertford.The county is one of the Home Counties and lies inland, bordered by Greater London , Buckinghamshire , Bedfordshire , Cambridgeshire and... , Northamptonshire Northamptonshire Northamptonshire is a landlocked county in the English East Midlands, with a population of 629,676 as at the 2001 census. It has boundaries with the ceremonial counties of Warwickshire to the west, Leicestershire and Rutland to the north, Cambridgeshire to the east, Bedfordshire to the south-east,... , Oxfordshire Oxfordshire Oxfordshire is a county in the South East region of England, bordering on Warwickshire and Northamptonshire , Buckinghamshire , Berkshire , Wiltshire and Gloucestershire .... , Somerset Somerset The ceremonial and non-metropolitan county of Somerset in South West England borders Bristol and Gloucestershire to the north, Wiltshire to the east, Dorset to the south-east, and Devon to the south-west. It is partly bounded to the north and west by the Bristol Channel and the estuary of the... , Surrey Surrey Surrey is a county in the South East of England and is one of the Home Counties. The county borders Greater London, Kent, East Sussex, West Sussex, Hampshire and Berkshire. The historic county town is Guildford. Surrey County Council sits at Kingston upon Thames, although this has been part of... , Sussex Sussex Sussex , from the Old English Sūþsēaxe , is an historic county in South East England corresponding roughly in area to the ancient Kingdom of Sussex. It is bounded on the north by Surrey, east by Kent, south by the English Channel, and west by Hampshire, and is divided for local government into West...  and Wiltshire Wiltshire Wiltshire is a ceremonial county in South West England. It is landlocked and borders the counties of Dorset, Somerset, Hampshire, Gloucestershire, Oxfordshire and Berkshire. It contains the unitary authority of Swindon and covers... 12 South Eastern Gas Board Kent Kent Kent is a county in southeast England, and is one of the home counties. It borders East Sussex, Surrey and Greater London and has a defined boundary with Essex in the middle of the Thames Estuary. The ceremonial county boundaries of Kent include the shire county of Kent and the unitary borough of... , and parts of the administrative County of London County of London The County of London was a county of England from 1889 to 1965, corresponding to the area known today as Inner London. It was created as part of the general introduction of elected county government in England, by way of the Local Government Act 1888. The Act created an administrative County of...  and of Middlesex Middlesex Middlesex is one of the historic counties of England and the second smallest by area. The low-lying county contained the wealthy and politically independent City of London on its southern boundary and was dominated by it from a very early time... , Surrey Surrey Surrey is a county in the South East of England and is one of the Home Counties. The county borders Greater London, Kent, East Sussex, West Sussex, Hampshire and Berkshire. The historic county town is Guildford. Surrey County Council sits at Kingston upon Thames, although this has been part of...  and Sussex Sussex Sussex , from the Old English Sūþsēaxe , is an historic county in South East England corresponding roughly in area to the ancient Kingdom of Sussex. It is bounded on the north by Surrey, east by Kent, south by the English Channel, and west by Hampshire, and is divided for local government into West...

During the 1950s the use of gas increased greatly with British Gas creating high street showrooms to promote the use of gas. By the 1960s the UK was importing 300,000 tons of liquefied natural gas from Africa every year.

Surveys in the North Sea had shown that there were large reserves of natural gas

Natural gas

Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...

 and in 1966 the decision was taken to convert the UK from town gas to natural gas. The next year the first natural gas from the North Sea had arrived and over the next 10 years British Gas carried out a massive conversion programme converting appliances from town gas to natural gas.

Centralisation

In January 1973, British Gas was restructured by the Gas Act 1972 which centralised the company creating the British Gas Corporation and turning the area boards into regions of the new company.

Privatisation

The Conservative Government led by Prime Minister Margaret Thatcher

Margaret Thatcher

Margaret Hilda Thatcher, Baroness Thatcher, was Prime Minister of the United Kingdom from 1979 to 1990...

 introduced the Gas Act 1986 in which led to the privatization of the company, and on 8 December 1986 its shares floated on the London stock market. In the hope of encouraging individuals to become shareholders, the offer was intensely advertised with the "If you see Sid...Tell him!" campaign. The initial public offering of 135p per share valued the company at £9 billion, the highest equity offering ever at the time.

The government created an industry regulator, the Office of Gas Supply (Ofgas), to protect customer needs. It later became part of the Office of Gas and Electricity Markets (Ofgem).

In preparation for the opening of the gas supply markets to competition in 1996, British Gas plc had to go through a major restructuring which separated the company into five divisions.

• Public Gas Supply (Domestic gas supply).
• Contract Trading (Business Supply)
• Transportation and Storage later named Transco (Transporting and storage of gas).
• Service and Installation (Later named Services).
• Retail (Later named Energy Centres).

In June 1991, chairman Robert Evans sparked controversy by accepting a pay rise of 66% - 10 times above the rate of inflation at the time. This took his salary from £222,000 to £370,000, a pay rise which was condemned by the Labour Party

Labour Party (UK)

The Labour Party is a centre-left democratic socialist party in the United Kingdom. It surpassed the Liberal Party in general elections during the early 1920s, forming minority governments under Ramsay MacDonald in 1924 and 1929-1931. The party was in a wartime coalition from 1940 to 1945, after...

 as "sheer unbridled greed". This followed allegations of greed against the organisation a month earlier when it reported a 42% rise in pre-tax profits.

Demerger

Following the restructuring, with shareholder approval, British Gas plc was demerged to form two separate companies on 17 February 1997.

• Centrica plc
  • Took responsibility of the gas supply business and the gas production business of the North and South Morecambe gas fields. Centrica has the rights to the British Gas name inside the UK.

• BG plc included:
  • Took responsibility of Transco the gas transportation business and the international exploration and production business. BG plc went through a financial restructuring in 1999. This resulted in a new parent company being created, BG Group plc, which subsequently demerged into two new business BG Group plc and Lattice Group
    Lattice Group
    Lattice Group plc was a leading British gas transmission business. It was listed on the London Stock Exchange and was a constituent of the FTSE 100 Index.-History:...
    
     plc. Lattice which contained the Transco business then went on to merge with the National Grid Company. BG Group has the rights to the British Gas name outside the UK.

Shareholders received one BG share and one Centrica share for every British Gas share.

See also

• Energy policy of the United Kingdom
  Energy policy of the United Kingdom
  The current energy policy of the United Kingdom is set out in the Energy White Paper of May 2007 and Low Carbon Transition Plan of July 2009, building on previous work including the 2003 Energy White Paper and the Energy Review Report in 2006...
  
  
• Energy use and conservation in the United Kingdom
  Energy use and conservation in the United Kingdom
  Energy use in the United Kingdom stood at 3,894.6 kilogrammes of oil equivalent per capita in 2005 compared to a world average of 1,778.0. In 2008, total energy consumed was 9.85 exajoules - around 2% of the estimated 474 EJ worldwide total...
  
  
• Meter Point Administration Number
  Meter Point Administration Number
  A Meter Point Administration Number, also known as MPAN, Supply Number or S-Number, is a 21-digit reference used in Great Britain to uniquely identify electricity supply points such as individual domestic residences. The gas equivalent is the Meter Point Reference Number...
  
  

External links

• britishgas.co.uk British Gas UK - The official UK British Gas site.
• British Gas Energy Smart - Details of British Gas' "pay as you go" electricity tariff and home energy monitor launched in Winter 2009
• British Gas HomeCare - Information on the British Gas HomeCare scheme.
• National Grid National Gas Archive - Includes contact details for the archives of British Gas and its predecessors, and a history of gas supply in the UK.
• Central heating systems - British Gas is Europe's leading installer of central heating boilers and systems.
• Boiler installation - Offers on new energy-efficient boilers.
• Radiators - British Gas offers a range of designer radiators.
• Energy supplier - British Gas supplies gas and electricity
• Paperless gas bills - Manage your energy bills online at your own convenience.
• Corgi On the 1st of April 2009, the CORGI Gas registration scheme was replaced in Great Britain by the Gas Safe Register.
• British Gas to install two million smart meters and recruiting 2,600 "smart energy experts" by 2012 .
• The Big Generation Green Quiz quiz adventure game created by Playniac as part of British Gas' Generation Green programme.