The world has changed on energy prices, so our policy response must also change. That is what every politician should understand after the confirmation that typical bills are heading for £3,600 in October and £5,000-plus in January. Whatever they thought they came into politics for, whatever pet projects or prejudices they have, must be set aside. Their task is to avert the winter of discontent ahead.
Gas prices are shooting up just as we need it to keep our homes warm: half of annual gas consumption happens between January and March. The result will be average winter bills of £500 a month, three times those of last year. Monthly energy costs will peak at more than £700 in January. Anyone who thinks low- and middle-income Britain can afford this hasn’t noticed the living standards stagnation of the last 15 years that has left low-income households spending 59% of their budgets on essentials (up from 52% in 2006).
