Energy bills crisis needs solving now

THE Government is to give every household in the UK £400 to help with the cost of living, and rising prices of gas and electricity in particular.

This is only a short-term measure to help with this year’s price increases, and we are told that we haven’t seen anything yet, and there are much higher price increases to come.

Whilst this help from the Government is very welcome, it is only like sticking a plaster on the wound and it does nothing to cure the problem.

Presumably next year, and perhaps the following years, we will receive more handouts from the Government, costing the Government even more.

If you look online, there were 28.3 million households in the UK in June this year, so multiply this by the £400 each will receive, means it will cost the Government £11,320 million for this year alone.

Again, online, there are 37 energy companies, whose main purpose is to make a profit and will be the main recipients of all this Government money, as well as being encouraged to increase their prices even more in future knowing that their customers are receiving help.

Would this huge sum of £11,320 million not be better spent on a permanent solution to the problem at source?

It could be calculated how much extra the energy companies are having to pay for the gas and electricity and this amount given to help them meet the cost, ensuring at the same time that the costs to their customers are reasonable and no excessive profits are being made by the company.

There would also be big savings in administering this scheme, as it would be easier to make payments to 37 energy companies than it would be to the 28.3 million households.

This does nothing to address the big rises in petrol and diesel fuel that causes increased prices of every essential item that we need, food, clothing, and transport to get to work.

The same could be done for the big oil companies who supply our filling stations, making it easier for the transport companies who supply our essentials, and keep prices down to us, the consumers.

Overall this might be cheaper and a more permanent solution than just giving each household extra money each year.

Patrick Collins By email