Britain’s Chancellor of the Exchequer Jeremy Hunt speaking on a BBC political show, March 12, 2023 (BBC/AFP/Archives/Jeff OVERS)
The British government announced on Wednesday morning the extension for three months of an energy price cap for households which should have increased on April 1, a few hours before the presentation of its spring budget in Parliament.
The energy price guarantee, which caps bills at 2,500 pounds per year for an average household, “will be maintained at the same level for another three months in April, May and June”, announced the Treasury in a press release, quantifying this measure to 4 billion pounds.
In the midst of the cost of living crisis in the country, boosted in particular by soaring energy prices, pressure had been mounting for weeks to encourage Jeremy Hunt to maintain this aid to households. The annual bill for an average household would otherwise have risen to £3,000.
The British will however see the payment of another aid of 400 pounds in total per household stop in April, the payment of which was made directly via their energy supplier, had been staggered between October and March.
Gas prices on wholesale markets, which had soared in the wake of the war in Ukraine, have since fallen sharply, which “should translate into lower household energy bills from July” , adds the government in its press release.
During a demonstration by young doctors in London on March 13, 2023 (AFP/Archives/Niklas HALLE’N)
Since the fall, energy prices have already fallen by 50%, the executive says, cutting by two-thirds the borrowing needed to fund energy support from April.
The announcement of the extension of the ceiling on energy bills “is part of the budget” which will be unveiled from around 12.30 p.m. to British MPs by Finance Minister Jeremy Hunt, who has promised a plan to “halve inflation, make grow the economy and reduce the debt”.
In addition to the announcements to meet the pressing demands of the British in the face of inflation of more than 10% which is eating away at their purchasing power, London wants to encourage thousands of Britons to return to the job market in the face of the shortages of workers which weigh on the economy.
In the middle of a day of massive strikes in transport, health or education, the question of salary increases for civil servants could also be included in the budget.
© 2023 AFP
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