Business energy prices to be cut by half expected levels from 1 October
A huge government support package has been unveiled to help all UK businesses tackle rising energy costs this winter. The scheme will fix gas and electricity prices for companies for six months from 1 October.
The Energy Bills Relief Scheme will be reviewed after three months, with the view to extending further support for “vulnerable businesses.” It is not currently known what sectors come under the category.
For all non-domestic energy customers, wholesale prices are expected to be fixed at at £211 per MWh for electricity, and £75 per MWh for gas.
This applies to fixed contracts agreed on or after 1 April 2022, as well as to deemed, variable and flexible tariffs and contracts. The discount will automatically be applied to bills, with savings seen from October but received from November.
The support will apply to all UK businesses in England, Scotland and Wales. A similar scheme, will be unrelieved in Northern Ireland.
Prime Minister Liz Truss said: “I understand the huge pressure businesses, charities and public sector organisations are facing with their energy bills, which is why we are taking immediate action to support them over the winter and protect jobs and livelihoods.”
Find out more about the Energy Bills Relief Scheme >
Get more business news here >