Climate News
Why are UK energy bills so high? Gas takes most of the blame as the Budget offers £100
Expensive gas is behind "nearly 90%" of the rise in UK electricity bills, according to an analysis by Carbon Brief published on 21 October. Gas power stations often set the wholesale price of electricity in Britain, so when gas prices rise, power bills follow, even though a large share of the electricity now comes from cheaper sources such as wind. Carbon Brief followed up with a Q&A on why bills are so high and how they could be brought down.
A week later, Chancellor John Healey used his first Budget to announce £100 for energy bills, alongside a bank tax, BBC News reported. The BBC said he was targeting the cost of living amid global economic turmoil, while opposition parties said he had not been bold enough. Carbon Brief's Budget round-up said Healey had set a "new course on energy" focused on keeping bills low.
How each outlet framed it
- Carbon Brief — the cause: gas prices drive most of the rise in power bills, and the options for cutting them.
- BBC News — the household view: £100 off bills as a cost-of-living measure, and the political reaction.
What we don't know yet: how much of this winter's bills the £100 will cover, which depends on international gas prices, and whether the government will change how electricity prices are set so that gas has less influence on them.