As the UK braces for what experts are calling an “inevitable” energy crisis this winter, members of the Energy Security and Net Zero Committee have implored the government to provide immediate support to households grappling with financial pressures exacerbated by rising energy costs.
Despite a drop in wholesale market prices, many families across the country are expected to pay the same or even more for energy this winter compared to the previous year. The Energy Security and Net Zero Committee has deemed this situation untenable and is urging the government to act swiftly.
The committee’s recommendations include ensuring that families who did not benefit from last year’s £400 assistance receive that financial relief promptly. Additionally, they propose an extension of the Warm Home Discount, a scheme that reduces winter bills by £150 for eligible individuals. To preemptively assist households before the onset of cold weather, the government should also allocate funds.
Committee Chair Angus Brendan MacNeil expressed concern for vulnerable citizens, stating, “The nights are now drawing in, and many of our most vulnerable people will be haunted by harrowing memories of the relentless sacrifices they were forced into last year. In fact, one in four carry energy debts from last winter. With the challenge this winter threatening to be even worse, an announcement of support from the government is long overdue.”
While wholesale energy market prices have substantially decreased since the previous year, the absence of government subsidies and an increase in standing charges – fixed daily fees for energy use – have led to the expectation that energy bills will remain high for many households this winter.
MPs on the committee have called for the elimination of these standing charges, advocating for a system where customers pay only for the energy they consume, akin to purchasing petrol.
Mr. MacNeil emphasised the urgency of the situation, asserting, “The mechanisms to provide assistance are already in place – the government and energy firms must now get on and act to reassure struggling households that they are not being left to fend for themselves.”
A Department for Energy Security and Net Zero spokesperson highlighted the Energy Price Guarantee, which caps energy costs per unit, will remain in effect until April next year. Additionally, they emphasised the availability of targeted support through the Warm Home Discount, benefiting approximately 3 million of the most vulnerable households.
The spokesperson also mentioned the recently launched £1 billion Great British Insulation Scheme, aimed at helping over 300,000 families reduce energy bills and heat their homes. They noted that the government would introduce Awaab’s Law, setting time limits on social landlords to make necessary repairs to ensure safe and decent housing conditions for renters.
As winter approaches, the call for immediate support for households under financial strain due to rising energy costs grows more urgent, with MPs and advocacy groups alike pressing for swift government action to mitigate the looming crisis.’
