British Gas owner Centrica has been given “stable outlook” ratings by two major credit rating agencies.

The company, which has a significant presence in Barrow, retained its Baa1 (stable outlook) rating from Moody’s in March, and was downgraded from BBB+ (negative outlook) to BBB (stable outlook) by agency Standard and Poor’s.

The change in rating by Standard and Poor’s follows a three-year period of Centrica being on a negative outlook.

In response to the outcome of the annual ratings, Centrica said in a statement published on the London Stock Exchange website: “As part of its financial framework, the company targets strong investment grade credit ratings. 

“Centrica will be able to operate effectively at the revised rating, with the near-term impact expected to be limited to posting a small amount of additional collateral, in the form of letters of credit, on some commodity procurement and trading positions.”

Centrica is bracing itself for a hit in profits in 2019 after regulator Ofgem introduced a rise in energy price caps.

Publishing its financial figures for 2018 last, the company said it expects a one-off £70 million hit in the first period of the cap alone.

The warning came after the company reported a 12 per cent rise to £1.39 billion in adjusted operating profits and a six per cent rise in revenue to £29.7 billion.

In Cumbria, Centrica operates gas terminals situated between Roose and Rampside near Barrow and has operations in Morecambe Bay.

It also operates a 49-megawatt battery storage facility, built on the site of the former gas-fired Roosecote power station in Rampside Road, which is able to come online in less than a second to meet fluctuations in demand and is able to hold enough power to provide energy for around 50,000 homes.

Another battery storage facility has been mooted as one of the possible uses for the neighbouring redundant South Morecambe Terminal.

Earlier this year Spirit Energy announced plans for the £15 million demolition of the terminal, which Furness Economic Development Forum programme manager Stuart Klosinski said will create a site “as significant as Moorside”.

The 204-hectare site is the same size as Moorside, which was set for a new nuclear power station until the backers of developers NuGen pulled the plug on the £15 billion project last year.