360 jobs are expected to go from the loft and cavity wall insulation business. A further 90 jobs are likely to go at British Gas Business.
The group currently employs around 33,000 people and these job losses will be the first of 6,000 likely to be made. With 2,000 new hires also expected, the overall headcount reduction will be around 4,000.
Centrica energy and supply services chief executive Mark Hodges said: “British Gas is well positioned to grow, but we must ensure that our costs allow us to be competitive for our customers.
“I recognise that this will be difficult news for the employees who may be affected. However I believe today’s announcement is in the best long-term interests of the business.
“Our priority is to support all those potentially impacted, and to ensure a fair and transparent consultation process.”
The job cuts come after a few days after Centrica chief executive Iain Conn announced a management reshuffle at the company.
General secretary for Unison, Dave Prentis, said: “It is disappointing that British Gas are cutting yet more jobs around the country.
“This comes at a very uncertain time for those working for the company. It is important that the business now continues to engage fully with the unions to try to cushion the blow of this sad news.”