Finance minister Jeremy Hunt announced Wednesday that he would extend the Energy Price Guarantee — which limits the average annual energy bill to £2,500 — until the end of June. Prime Minister Rishi Sunak said in a statement: “We know people are worried about their bills rising in April, so to give people some peace of mind, we’re keeping the Energy Price Guarantee at its current level until the summer when gas prices are expected to fall.
The extra subsidies were due to run out at the end of March despite a significant fall in wholesale gas prices in recent months. The contradiction led to calls for the government to extend the EPG. Wholesale European gas futures prices, which UK prices are linked to, have tumbled 87% since late August to reach €43 per megawatt hour, according to data from the Intercontinental Exchange.
Who said that bills are set to rise despite a recent plunge in wholesale natural gas prices? Why does the government need to fix the price of a commodity when the market price is going down?
Didn't some bank just shut down in UK