Rising oil prices are causing a ‘national crisis’ in the UK, electricity companies warn

Strategic “Stratospheric” prices for natural gas and energy threaten a “national crisis” in Britain, energy companies warn, while increasing pressure on UK officials to protect consumers and retailers from being shaken from commercial markets.

London – list of Good Energy, EDF and trade body Energy UK it has been recent companies to urge the government to take immediate action Wednesday, just one day after UK oil prices rose 450p per therm. Prices dropped to 417p but remain at an unprecedented rate.

“This is a national problem. Oil and fuel prices have skyrocketed in the past three weeks, creating a difficult environment for every business, “said Nigel Pocklington, Good Energy’s chief executive, a renewable energy provider. his company is worth £ 3m.

EDF Energy, Britain’s fourth-largest retailer, warned that things were now “difficult” because it urged the government to “take action now to help consumers of electricity”.

Emma Pinchbeck, head of Energy UK, told the Financial Times that Britain is now facing a “market crisis”.

“Some European financial institutions have already responded to the crisis, but in the UK, the electronics sector is still questioning whether the Chancellor is aware that the upwards of 50 percent debt in the new year will be difficult for ordinary people, businesses, and the economy,” he added.

Researchers have warned that the continued instability in the electronics market in recent weeks could boost household spending in Britain by more than $ 700. £ 2,000 a year from April, when the price of electricity in the country will be adjusted again.

Investec, the investment bank, has calculated that this could add 1.8 percent to inflation in April.

Officials in the UK are thought to be considering a number of options available to families to address the problem of high-bill jumping.

This includes finding ways to spread long-term inflation; possible to cut 5 percent value-added tax on electricity costs; and the expansion of the Hot Housing Removal Scheme, which supports 2.7m high-risk households.

However, no decisions have been made, another official said.

Regulator Ofgem announced the April rate in February. But the EDF warned that it would not be possible to end the increase in the bill.

“By October tomorrow the hat could be over £ 2,000,” said Philippe Commaret, customer service manager at EDF Energy.

Gas has also risen in Europe, and prices have risen by 70 percent in the past two weeks due to cold weather, nuclear disarmament in France and a slight drop in emissions. Russian seller Gazprom. It closed at a record price of € 181 per hour per megawatt Tuesday, raising the price of electricity for companies and increasing inflation.

Meanwhile, 26 British electricity suppliers have suffered a setback since the beginning of August as rising prices have shown a negative impact on many corporate businesses. Industrial authorities have warned that even the most successful corporations are now in a shambles.

“[Tuesday, when UK gas prices hit 450p/therm] It was very difficult, “said one company official.

Various advertisers listed the various options available.

This includes the sudden rise in the price index before his next change in April for companies to be able to provide cash to customers sooner; go on VAT is expected to fall on electricity bills for high-risk households; and moving taxes on domestic energy loans that pay for policies such as supporting the growth of renewable energy to ordinary tax.