Is Liz Truss about to announce a two year freeze on energy costs?
Amid strengthening calls to provide a business energy price cap alongside the domestic price cap, to help with the cost of doing business, as well as the cost-of-living crisis, our new Prime Minister is reportedly considering a two year energy bill freeze.
According to the BBC ministers have been consulting with the energy industry to work out the terms of such a freeze.
A Government subsidy is likely to be given to gas suppliers and electricity generators to enable household energy costs to be artificially held at the current price cap.
The Government subsidy would cost £100 billion, a burden ultimately falling back on taxpayers, possibly repaid by keeping the price cap at the current level, when the wholesale prices of energy eventually fall.
Apparently, we can expect a 100 day policy blitz, to begin this afternoon when Ms Truss makes her first speech as Prime Minister and further details of the new energy subsidy plan are expected to be announced on Thursday. It is expected that some relief will be offered to small businesses as well as to households.