8 September 2022
If you are covering the measures put forward by Liz Truss to tackle the energy bill crisis, please see the following comment from Tom Gilbey, equity research analyst at Quilter Cheviot says:
"The cap is welcomed as it will help families stay warm this winter while the package of measures announced for businesses will be a lifeline to thousands of companies who were previously not subject to the price cap and were facing huge rises in bills from next month.
"Whilst it is positive that help is being given, it is unclear who is going to have to pay for this bill which might cost up to £150bn. It appears to be a good deal for energy generators who stand to benefit from this crisis and are able to lock in these higher profits with the British public potentially shouldering the cost.
"Considering Truss won her bid to be prime minister on the notion that she wants to lower taxes, it is unclear how this will be squared away considering the debt already taken on during the pandemic. Whether this proves to be popular among an increasingly exacerbated and sceptical general public is yet to be seen.
"While there have been rumours of a public information campaign to help reduce energy usage neither the package of measures for businesses nor homes directly address the fact that we must be looking to reduce energy consumption. Not enough has been done to alleviate the demand and usage of gas. This could be a good opportunity to group together as a nation and make fundamental changes to our behaviours to help us get through this crisis."
