Centrica gets breathing space as May regulation plan in doubt

British utilities dipped on stock markets earlier this year after the UK's Conservative government pledged to cap household energy prices. The energy suppliers might now get a respite after Thursday's election casts doubts on the plans.

Photo: ritzau/AP/Frank Augstein

Britain's biggest utilities may get a respite from the regular attacks they've suffered from both left and right of the political specter after Prime Minister Theresa May's Conservative Party failed to secure a majority in Thursday's election, throwing her plan to cap household energy prices into doubt.

May's gamble to call an early election backfired, casting uncertainty over the government's make-up. Conservative plans to cap household energy bills may be relaxed, which would be a boon for the utilities, said Elchin Mammadov, an analyst for Bloomberg Intelligence in London. Centrica Plc rose the most in three weeks, while SSE had its biggest gain in a month.

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