Centrica, the owner of British Gas, plans to reduce its call-centre workforce by 1,300 roles over two years, with 800 additional cuts following 500 announced previously. Chief executive Chris O’Shea said the reductions reflect customers’ growing use of digital services rather than AI directly replacing staff, arguing that many customers prefer chatbots and online channels. The move is significant because it illustrates how major utilities are reshaping customer service operations around digital tools while reducing traditional jobs.

O’Shea said more than 90% of customers now initially use digital channels and customer calls have fallen by 20%; roles in six UK cities are expected to fall by 14%, through unfilled vacancies and redundancies. Centrica’s retail profits rose from £338m to £346m in the first half of the year despite British Gas’s domestic customer base falling from 7.5 million to 7.45 million. The company attributed this to higher margins on fixed-price tariffs, while it also faces up to £112m in compensation over the forced installation of prepayment meters.