Iceland hit by £70m bill to run its freezers

ICELAND will be hit hard by soaring energy bills this year because of its huge reliance on freezers.

The frozen goods retailer had a massive £70m energy bill last year, equivalent to around 2pc of its sales. In the first quarter alone its bill jumped by £19m, suggesting it is on course to more than double this year.

Energy prices have spiralled in the wake of Russia’s invasion of Ukraine. And the discount grocer, which has close to 1,000 UK stores, is exposed because a third of its sales are frozen food.

In its most recent annual report, Iceland said the volatile energy market means it will be ‘unable to avoid a temporary reduction in profits’ this year.