By Denis Sheehan MIH, Publisher, H&C News: Government action at height of energy crisis empty.
The scale of the UK’s energy crisis was laid bare this morning by Ofgem’s CEO Jonathan Brearley as he announced lifting the average ‘price cap’ on the annual dual-fuel tariff in England, Scotland and Wales to £3,549, a rise of 80%.
This unprecedented price cap increase will force millions more homes into fuel poverty.
At the same time businesses have no price cap on their energy costs and face this crisis with a government distracted by their own issue of finding a replacement PM.
Energy consultancy Cornwall Insight have estimated that the rises in energy costs for home owners will swell even further in 2023, to £4,649 from January, followed by an eye watering £5,341 from April. Other energy consultants have predicted higher rises in recent days, as wholesale gas prices continue to soar.
In the leadership contest hustings, Rishi Sunak has suggested he would if successful, scrap VAT on energy bills and increase help for households on benefits, but with no further details. Liz Truss has been even more vague through a slogan of assistance “across the board” for companies and households.
So, while the government keep busy supporting Liz or Rishi, your hospitality business will have to wait until 5 September for a new PM to be announced. Then when in office hope that an action plan to help businesses can be formulated and actioned. In the meantime…