As reported by the National Statistics Agency (ONS) In the UK, prices soared in July to 10.1% year-to-date, the highest level in 40 years. The rise in food has been the largest contribution to the rise in the annual inflation rate between June and July.
In that framework, Citi analysts said this week that British inflation will reach 18% in early 2023, its highest rate since 1976, despite the fact that the Bank of England has already raised rates six times since December.
At the same time, specialists assure that the British government has taken less measures than most other European countries to protect households from the rise in energy prices and that it is also suffering from the inflationary heat of the labor market in the style of United States, the situation is even more dramatic.
dramatic winter
Half of British households will face a “dramatic and catastrophic winter”if the Government does not intervene to alleviate the excessive increase in gas and electricity bills for their homes, according to an executive in the sector.
Many Britons will either not be able to afford enough energy services to meet their needs this winter or will have to spend too much of their income on those services, a situation known in Europe as “energy poverty”.
In this sense, the managing director in the United Kingdom of EDF Energy, Philippe Commaret, He told ITV and BBC television that he is “very concerned” about customers and said the level of support the government has provided on this is not enough.
“We are faced with more than half of UK households experiencing energy poverty by January,” he said.
It is estimated that energy price cap to be raised from £1,971 ($2,322.72) to 4,567 ($5,381.98) in January and 5,816 pounds in April ($6,853.87).
The experts predicted that the average bill for January 2023 alone reaches £500 ($589), which means the cost of heating and electricity for a home will have more than tripled since last winter.
Commaret clarified that the British will have to invest more than 10% of their disposable income to pay their energy bills.
He also said his company is launching a campaign to help customers reduce bills with energy-saving measures and offer more support, but the scale of the problem means more state intervention is needed.
No financial assistance
However, the government ruled out immediate additional aid. From Prime Minister Boris Johnson’s cabinet they assured that any important financial decision will be postponed until the new prime minister takes office on September 5, after the internal election between Liz Truss or the former Finance Minister, Rishi Sunak.
Nevertheless, Sunak warned today that freezing the maximum price of energy at the current level would require too many loans from the Governmentrejecting the claims of the opposition parties and some companies, who have asked for a rescue of 100,000 million pounds sterling.
Meanwhile, Britons who are already feeling the pinch have shown their discontent on social media and fear they will have to choose between heating up or eating.
Kiara Dolan, a single mother of a six-year-old boy, told ITV News that the impending increase in the price of her energy bill has her “stressed”.
“It’s going to get to the point where everyone will be in debt, even people who are working,” he said.
“The people of this country must deal with all of this or it will be the ruin of us. It is all absolutely shocking and nothing is being done,” another woman told the network.
“The only ones who will be able to pay to heat up and eat will be the rich! The rest of us will have to choose what is more important!”, another user expressed.
Source: Ambito
David William is a talented author who has made a name for himself in the world of writing. He is a professional author who writes on a wide range of topics, from general interest to opinion news. David is currently working as a writer at 24 hours worlds where he brings his unique perspective and in-depth research to his articles, making them both informative and engaging.
