Energy crisis: UK launches 'bold' £22bn plan as quarter of UK households face fuel poverty

THE UK is launching a “bold” action plan to end the energy crisis, as a new report reveals that a quarter of households are struggling with energy bills.

Martin Lewis explains inflation and energy bills

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New analysis from Friends of the Earth has claimed that the energy crisis is hitting UK households hard, with one in four living in fuel poverty. On April 1st, energy regulator Ofgem raised the price cap by 54 percent, bringing annual household energy bills to £1,971. This is putting pressure on many lower-income households, as they begin to spend a larger portion of their earnings on electricity and gas bills. 

In an effort to tackle this fossil fuel energy crisis that was created by a post-pandemic recovery boom and worsened by Russia’s invasion of Ukraine, the UK has launched a number of different schemes that could help households save on their energy bills.

Speaking to Express.co.uk, Energy Minister Greg Hands highlighted the ways the UK Government was tackling the energy crisis.

He said: “We also recognise that tackling supply alone is not enough, which is why we are taking strong measures to reduce the British public’s demand for expensive gas, including providing £6.6billion in funding for energy efficiency measures like home insulation.

The MP for Chelsea and Fulham also mentioned the Government’s £5,000 Boiler Upgrade Scheme, which would subsidies energy-efficient electric heat pumps to replace traditional gas boilers.

H Energy crisis: UK launches 'bold' £22bn plan as quarter of UK households face fuel poverty

Energy crisis: UK launches ‘bold’ £22bn plan as quarter of UK households face fuel poverty (Image: Getty)

1 in 4 UK households face fuel poverty, report claims

1 in 4 UK households face fuel poverty, report claims (Image: Getty)

He continued: “However, while we are taking bold action to enhance our energy security for the future, we recognise that households are facing pressures with the cost of living of now, which is why we have a £22bn package of support.

“This includes a £150 council tax rebate this month, and a £200 energy bill discount from October to cut energy bills quickly for the majority of households.

“Importantly, our Energy Price Cap remains in place which continues to insulate families from even higher global gas prices.

 “As ever, our priority is protecting the British public, so we will do everything we can to support them and our energy needs from today right through to the future.”

READ MORE: EU humiliated: Two furious nations break ranks to counter Putin

Ofgem raised the price cap to £1971

Ofgem raised the price cap to £1971 (Image: Express)

While the Government is touting these new relief measures, a growing number of critics are calling for the UK to impose an emergency windfall tax on the record profits made by energy corporations as energy bills for consumers continue to climb.

Connor Schwartz from Friends of the Earth said: “These super-profits really need to be put in context.

“The context of sky-high oil and gas prices which, as well as generating these mega-profits for multinational corporations are causing misery and hardship to people across the country faced with soaring energy bills.”

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UK energy minister Greg Hands

UK energy minister Greg Hands (Image: Mateusz Wlodarczyk/NurPhoto via Getty Images)

Energy companies like have reported record profits in the past year

Energy companies like have reported record profits in the past year (Image: Artur Widak/NurPhoto via Getty Images)

“Since the energy prices have gone up earlier this year, it’s been estimated that one in four households are now living in fuel poverty, struggling to cover their basic necessities.”

The statistics suggested by Mr Schwartz have emerged from an analysis of Government data on fuel poverty.

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