The UK energy crisis is leading to more rises in energy bills. According to the Guardian, the UK households will begin the run-up to winter with a 10% increase in energy bills. The industry regulator increased its cap on gas and electricity prices from October. Under the new energy price cap, the average yearly dual-fuel energy bill will rise to £1,717 a year. This figure is up £149 from its current level of £1,568, which has been in place since July.
Ofgem, the energy regulator for Great Britain, sets the price cap every quarter. The cap imposes a maximum on how much suppliers can charge their household customers per unit of gas and electricity.
The UK energy crisis is causing a hard winter
Britons must prepare for a hard winter due to the UK energy crisis. Jonathan Brearley, Ofgem’s chief executive, urged consumers to “shop around” and consider opting for a fixed-rate tariff that could save them money. He added that people struggling to pay bills should ensure they have access to all the benefits they are entitled to. He particularly referred to pension credit. He added that families should contact their energy company for further help and support”.
The regulator announced the price cap weeks after the chancellor set out plans to restrict the winter fuel allowance. The chancellor, Rachel Reeves, said only pensioners on means-tested benefits would qualify this winter. The allowance is worth between £100 and £300. Therefore, fuel poverty campaigners at National Energy Action have warned people of a hard winter. They say the changes can leave hundreds of thousands of pensioners facing significantly higher energy costs over the cold months.
Why are energy prices rising?
Conservatives and the Labour Party are both responsible for the UK energy crisis. As Bionic states, shocks of Russia’s invasion of Ukraine, the closure of Nord Stream 1, and other infrastructure issues have hit the energy market. These events have had a huge effect on prices. Concerning other reasons, Bionic adds that the UK has some of the lowest gas reserves in Europe. This means that there’s almost no way of storing gas to use it when needed. Capacity is equal to approximately 2% of the UK’s annual demand, compared with 25% for other European countries and as much as 37% for the four largest storage holders of Europe.
Insufficient Government support is another reason for the rise of energy prices in the UK. The Government’s £15 billion support package will see families credited with £400 over six months from October. However, this won’t have as big an effect as measures taken in other European countries. For instance, France has capped electricity price increases to 4% until the end of the year.
According to the Guardian, Ofgem says the main reason for the increase is the rise in the international energy market price. It adds that energy prices rise due to heightened political tensions and extreme weather conditions.
UK Governments’ wrong policies are sheer torture
The UK energy crisis is the result of the wrong policies of the UK Governments. As the Foreign Policy states the UK faces a serious economic and social crisis. It adds that the crisis will deepen without big shifts in policy. the UK was a relative growth laggard during the 1970s. However, this was nothing in comparison to today’s present collapse in living standards. Average UK real wages are now lower than 18 years ago, which is unparalleled in the country’s peacetime economic history.
On most measures, the UK has the most limited welfare state of any developed country, including the US. As a result, working households are shouldering more risk than their peers. Along the same line, the Resolution Foundation recently found that today’s young Britons are paying heavy taxes. They face paying much more in tax than they will ever get back in terms of pensions and other benefits.
The UK Government is in an economic crisis
The UK Government has many problems to tackle, including the UK energy crisis. As the Conversation states, the UK is in an economic rut. Many of the things that might get the country out of it require one thing: money. The UK’s largest water company, Thames Water, is in a deep financial hole, with over £18 billion of debt. Moreover, prisons in England and Wales are 99% full. In addition, England’s universities are faced with a precipitous collapse in overseas student numbers and a loss of income. Furthermore, the health service at this time has a budget shortage of £12 billion.
These are only a few instances of crises making life a catastrophe for Britons. This winter Britons are going to suffer from serious problems. Many households are unable to pay their energy bills. An increasing number of Britons will have to skip a meal a day due to the economic crisis the UK Governments have caused.
Britons need to take action
The UK Government is breaching citizens’ rights. Britons have the right to live with welfare. However, they are deprived of this basic right. They have to protest against the Government’s wrong policies. The UK Government is spending too much on war affairs. It is spending too much on the Ukraine war while Britons are living very hard lives due to economic crises. The UK energy crisis, for instance, is partly the result of Ukraine, which the UK Government is expanding with its wrong policies. Besides, the UK Government is financially supporting the Israeli Government in the war against innocent children in Gaza.
The money comes from British taxpayers’ pockets! Britons need to stop the Government’s wrong policies; otherwise, they will have to live even harder lives.
