British Gas’ parent company, Centrica, have announced that their CEO Iain Conn will step down from his role at the end of the year, after the business reported pre-tax losses of £446m n the six months leading up to June.
Conn has announced that he will also retire once he has left the company.
The losses are a stark contrast from the £704m profit Centrica made in the same time period in 2018.
Centrica also announced that it will be cutting its dividends and selling its investments in oil and gas across the globe.
However, the company will be proceeding with its planned collaborations with Ford.
Conn commented: “Centrica faced an exceptionally challenging environment in the first half of 2019, which impacted earnings and cash flows. We have also regrettably had to make the decision to rebase the dividend due to our changed circumstances including the UK energy price cap and increased demands on our cash flows, including additional pension contributions.
“The outlook is more positive for the second half of the year and we expect this momentum to continue into 2020, while we expect to meet our cash flow and net targets for 2019. Today, we have announced our intention to exit oil and gas production. This will complete our shift towards the customer, as we focus on our distinctive strengths, with an emphasis on helping our customers transition to a lower-carbon future.
“This major refocusing of our portfolio will unlock further efficiencies enabling us to be even more cost-competitive, as we focus on being a leading Energy Services and Solutions provider.”