British Gas has revealed plans to move into the telecoms market.

With electricity suppliers already supplying gas and vice versa, British Gas has announced its latest move to beat the competition.

As well as home telephone services, mobile and internet packages will be available.

Ian El-Mokadem, director of marketing and strategy at British Gas, said: "Nearly eight million households in the UK don't realise they have a choice of phone supplier and millions more are not benefiting from the savings on offer.

"British Gas' arrival in the home phone market means competition and customer choice begins here.

"With British Gas the savings will be straightforward - at least a third off your BT standard calls, no matter what time of day or night you call."

Switching to British Gas will be very easy with customers keeping their own phone, phone lines and phone number, a company spokesman said.

The company is investing £150 million in the new business and will be recruiting 800 staff.