Price cap introduced – London freezes energy prices for companies, schools and clinics – News

  • In the fight against skyrocketing energy costs, the British government now also wants to freeze electricity and gas prices for companies.
  • From October onwards, a price cap will apply for at least six months, announced the Ministry of Economic Affairs in London.
  • The price cap also applies to public institutions such as schools, churches, clinics and charities.

According to this, electricity should then cost 211 pounds (around 232 francs) per megawatt hour (1000 kilowatt hours) and gas 75 pounds (around 83 francs). This is less than half of the currently expected price, it said.

The government had previously announced that it would freeze energy prices for private consumers. An average household would then be expected to pay £2,500 (CHF2,752) for electricity and gas, though that is significantly more than the £1,971 (CHF2,170) currently allowed.

British energy supply to be strengthened

“We are stepping in to stop companies from collapsing, protect jobs and limit inflation,” said Finance Minister Kwasi Kwarteng.

In addition, the energy supply from British sources should be strengthened in order to offer security to the industry, boost growth and be able to make a better offer to consumers. After three months, a review will be carried out to determine whether the program needs to be changed or expanded, or whether it can be terminated.

The BCC Association of Chambers of Commerce welcomed the move in principle. However, despite the help, some companies would face problems, BCC Director General Shevaun Haviland warned. The government must treat these companies preferentially.

The industry association British Beer and Pub Association also called for further support. The government must explain how support will continue after the six months, said association leader Emma McClarkin.

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