British Gas owner Centrica has confirmed around 1,300 jobs are being cut as it reported lower half-year earnings.
The reduction represents around 14 per cent of the customer operations workforce.
It includes the 500 call centre roles across Glasgow, Edinburgh, Cardiff, Leicester, Stockport and Leeds that Centrica announced last month as part of its “Customer Service Transformation” programme.
The GMB union has claimed those 500 roles are effectively being replaced by artificial intelligence, an allegation the company has rejected.
A further 800 roles are being cut from support functions.
Centrica said the workforce reductions are linked to its technology-led transformation programme, which received £92million of investment during the first half of the year.
The company said average customer contact per account has fallen 20 per cent year on year, with around nine in 10 customer interactions now taking place through digital self-service channels including its website, app, chatbot and WhatsApp.
A Centrica spokesman said last month: “The suggestion these roles are being replaced by AI or new chatbot technology is simply wrong.”
The company said the changes instead reflect shifting customer behaviour, with inbound contact volumes falling by around 31 per cent since 2023.
It added that customers who still need to speak to an adviser, particularly vulnerable people, would continue to receive support.
Charlotte Brumpton-Childs, GMB national secretary, said: “It’s an absolute disgrace British Gas is slashing hundreds of human jobs and giving them to chatbots. These staff are massively overworked and underpaid, yet do their level best to keep customers happy. Now, instead of being rewarded, they’re being replaced by artificial intelligence.”
The union has challenged the company’s assertion that demand for call centre support has fallen, saying its members continue to face heavy workloads.
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