UK homes face strong new shocks with retail prices expected to hit £ 2,400 this year

Millions of British households are facing a sharp rise in electricity and gas prices this coming winter, with recent estimates showing that electricity prices should double to £ 2,400 a year from October.

A survey conducted by an electronic consultant at EnAppSys of the Financial Times shows that the world is coming precious metals it is expected to last a long time as ordinary gas prices continue to trade in history.

The price target, introduced in 2019 to protect the debt of nearly 15 million households who do not opt ​​for affordable purchases, is already set to rise by 50 percent in April to £ 2,000 a year from £ 1,277, depending on the average. to use.

Ofgem, the electronics market leader, sets the cap volume twice a year with the next change after April in October. Based on recent market prices, EnAppSys estimates that by the end of this year the cap could hit between £ 2,300 and £ 2,400, unless government and regulators step in to solve problems for consumers.

The price of subsequent oil contractors in 2022 has risen sharply in the past two months, meaning that electricity prices will remain high until next year.

The decline in natural gas from Russia to Western Europe contributed to rising electricity prices last summer and squeezing intensified in January.

Earlier this week, the head of the International Energy Agency criticized Moscow shaking gas in Europe to be used as a catalyst for a standoff between Nato and Moscow in Ukraine. The market has also done what is expected to be approved by Nord Stream 2 the pipeline to Germany – which Russia says is growing in Europe – has been delayed.

“EnAppSys is right, this is not just a small problem,” said Philippe Commaret, customer service manager at EDF Energy, Britain’s fourth energy retailer. “Temporary customer support remains important this winter and the slope climb expected in April, but the need for change does not end there.”

Economists have warned of the financial crisis ahead of April when rising electricity bills will be accompanied by rising national insurance and tax rates and rising inflation over the next decade.

Ministers have been evaluating interventions including a 5 percent reduction in the added tax on electricity bills, government-sponsored loans to retailers to reduce customer debt and more support for vulnerable families. The reduction of the so-called “green” taxes on electricity, which provide funding for energy efficiency projects, is also being considered.

Ofgem is expected to set the April price on 7 February.

EnAppSys analysis is consistent with comparisons of other power vendors that have secretly shared with FT. A source for major companies stated that, depending on future electricity prices, the upcoming winter cap could reach $ 2,600.

Phil Hewitt, co-founder of EnAppSys, warned that the price-fixing period used since October is still “six months in full swing” and prices could fall during this period.

But he added that even if higher gas prices stabilized or declined, they “could still be higher than in the past”, meaning that domestic mortgage would still be “higher” than consumer spending.

The charity Age UK warned Thursday that the rise in electricity prices could pose a “serious threat” to the elderly and said many are already putting their health at risk. distributing their heat.

Peter Smith of the National Energy Action Oil Poverty Alleviation Center said a study by EnAppSys stated that “without any coercive and deliberate action. [by government] disasters caused by cold houses may be the norm for years to come ”.

Dale Vince, co-founder of Green Energy Supplier Ecotricity, on Friday called for an inquiry into the causes of energy prices, which lead to inconsistencies in operations and safety concerns.

“The root of the problem needs to be explored, so that we can learn from the mistakes and help rebuild the electricity market to protect ourselves from future threats,” he said.

Source link

Leave a Reply

Your email address will not be published.