“skyrocketing price of gas” spells disaster – where is the windfall tax?

Responding to today’s announcement by the energy regulator Ofgem that the energy price cap will rise by £693 to £1,971 per year from April this year, Connor Schwartz, climate lead at Friends of the Earth, said:

“The skyrocketing price of gas will now push people into precarious financial positions, and spells disaster for those already struggling to meet the rising cost of heating their home. The government must announce sufficient support for anyone already finding it hard, or who are at imminent risk, from these hikes.

“This is on the same day that Shell’s highest quarterly profits in eight years is announced. Fossil fuel companies are raking it in while people are choosing between food and heating, so the question again has to be asked: why isn’t there a windfall tax on these companies?

“We need to address the root cause and that means ending the cause of the crisis: reliance on gas. Make no mistake, this will be a year-on-year problem unless the government is radical now. The best time to invest in renewables and roll out a huge home insulation programme was 20 years ago, the government didn’t do it then, the next best time is right now.”