British Gas owner announces 1,300 workers job cuts

Tense workplace conversation over redundancy

Tense workplace conversation over redundancy

Tense workplace conversation over redundancy

A meaningful new redundancy development has emerged for UK workers after Centrica, the owner of British Gas, announced plans to remove approximately 1,300 roles as part of a technology-led restructuring programme.

The reductions include around 500 positions in customer operations, alongside approximately 800 additional roles across support, offshore and back-office functions. The changes are expected to affect workers connected to operations in locations including Glasgow, Edinburgh, Cardiff, Leicester, Stockport and Leeds. Some positions may disappear through natural staff turnover, but the programme also involves selected redundancies.

Centrica has said the restructuring reflects a major change in customer behaviour. The company reports that more than 90% of customers now use digital services and that telephone contact has fallen by around 20%. Management maintains that the transformation is being driven by customer demand rather than artificial intelligence alone, although increased technology and automation are central to the wider operational changes.

Why this matters to UK workers

This is a significant development because it demonstrates how rapidly digital services are changing employment in customer support, administration and back-office operations.

Workers in telephone-based and routine administrative roles may face increasing pressure as employers move customers towards online accounts, automated systems and digital assistance. The impact is unlikely to remain limited to the energy sector, with similar changes already occurring across banking, insurance, retail, telecommunications and public services.

The announcement is especially notable because Centrica reported adjusted first-half core profit of approximately £737 million, although this represented an 18% decline compared with the previous corresponding period.

For affected workers, the immediate priorities should include obtaining clear written information about the proposed changes, understanding whether a role is genuinely at risk, reviewing any consultation documents and considering suitable alternative employment opportunities within the organisation.

Wider labour market warning

The job reductions reinforce the mixed picture identified in the latest UK labour market data. Employment has shown a modest quarterly improvement and average earnings remain slightly ahead of inflation, but vacancies have continued to decline. The Office for National Statistics estimated 712,000 vacancies between April and June 2026, down by 7,000 from the previous quarter.

This suggests that workers affected by large redundancy programmes may face greater competition when seeking equivalent positions, particularly in customer service, administration and entry-level office roles.

The Workers Union view

The Workers Union recognises that businesses must respond to changing technology and customer expectations. However, major operational changes should not leave workers carrying a disproportionate share of the consequences.

Employees affected by digital restructuring deserve transparent communication, meaningful consultation, fair selection procedures and proper consideration for redeployment or retraining.

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