Displaying items by tag: energy costs

The amount suppliers charge for energy was cut by Ofgem to £3,280 as wholesale prices fell. But bills will still rise in April as government help eases. Ofgem's announcement does not affect each household’s payment for energy units but it reduces costs that the government faces. Average household bills will rise from £2,100 to £3,000 annually in April because government help (Energy Price Guarantee) becomes less generous and a £400 winter discount on bills ends. The TUC’s general secretary said, ‘Energy bills are out of control. The government must cancel April's hike. As costs of wholesale gas plummet, ministers have no excuse for not stepping in.’ Under the government guarantee, a household using a typical amount of gas and electricity in England, Wales and Scotland is paying £2,500 a year. Without state support, that annual bill would have been £4,279 since January.

Gareth Stace, the director general of UK Steel, said that now was ‘not the time’ for Mr Johnson to go on holiday in Spain. He told him to ‘bang ministerial heads together’ after a row broke out between different departments as to how to resolve the energy crisis and stop factories having to cease production. The business secretary was accused of making misleading claims about offering energy bailouts to factories struggling with soaring costs. Mr Stace said the Government should ‘shield’ the steel industry from soaring energy costs in the short-term, or risk ‘a bigger bill for the taxpayer’. He said that the industry was not seeking subsidies, but an end to ‘policy costs’ to cover the transition towards renewables which have been ‘piled on - making them uncompetitive’. See also