UK Outlines Support Plan For Businesses, Households Facing Rising Energy Bills

MOSCOW (UrduPoint News / Sputnik - 21st September, 2022) The United Kingdom outlined a plan to support businesses, households and public sector organizations amid rising electricity prices and bills, the government said on Wednesday.

"Through a new government Energy Bill Relief Scheme, the government will provide a discount on wholesale gas and electricity prices for all non-domestic customers (including all UK businesses, the voluntary sector like charities and the public sector such as schools and hospitals) whose current gas and electricity prices have been significantly inflated in light of global energy prices," the government said in a statement.

The support program will run from October 1 to March 31 next year. In addition, the government has set a price cap on wholesale electricity and gas prices of 211 Pounds ($240) per megawatt-hour (MWh) and 75 pounds per MWh respectively.

This figure is almost 50% less than wholesale prices expected this winter.

On September 8, UK Prime Minister Liz Truss announced a new energy price guarantee that freezes average energy bills at 2,500 pounds per year for the next two years.

The start of hostilities in Ukraine in February exacerbated the energy crisis unfolding in Europe over the past year. Disruptions in logistical and financial operations due to the conflict and Western sanctions against Russia have undermined supply chains and led to a spike in energy prices worldwide. Rising cost of living in the UK has hit households and businesses.