High electricity prices cry a scandal

Care England, the largest and most diverse representative body for independent providers of adult social care in England, is dismayed by the UK Government and OFGEMs failings to oversee the actions of the National Grid and its approach to electricity generation.

Professor Martin Green OBE said:
“This report presents a national scandal that has impacted all sectors as well as all UK households. For the National Grid to be exporting electricity generated by coal, the costliest and most environmentally harmful source, whilst generating billions, rather than ensuring prices are kept as low as possible for UK consumers, is outrageous to the extreme. The adult social care sector is bearing the brunt of this storm, with care providers suffering from increases in their energy costs of over 600%, with no support from Government. Unlike other businesses, care providers cannot reduce opening hours, turn off the lights, or switch off the heating or cooling, they house and care for some of society’s most vulnerable and we are already seeing 45% of providers considering exiting the market due to the current financial unsustainability in the sector.”

Focus Energy Services, a respected partner of Care England, revealed that throughout May – August 2022, the UK unnecessarily burnt coal to produce electricity, whilst exporting electricity to France. Exporting electricity has led to double the costs of electricity for consumers in the UK, and the National Grid recently warned that the energy crisis could last up to three years.

Earlier this week Care England wrote to the new Prime Minister with a blueprint of practical solutions that the Government must implement to provide some energy stability to the care sector, including:

• The introduction of a per-bed energy price cap equivalent to the proposed domestic energy price cap or the reimbursement of providers for the increased energy costs incurred by other means.
• The extension of the £400 energy rebate to vulnerable people in care and supported housing, introducing parity in the way they are treated compared with those living in their own homes.
• The removal of VAT and the Green Levy on energy bills.

Professor Green continues:
“The care sector potentially faces the grimmest Winter in years, which is damning for any Government. Enough is enough. Despite this scandal, Care England is here to offer advice and work collaboratively with Government. With a new Prime Minister in place, the longevity of a sustainable energy supply and social care sector can now be addressed against the manifesto promise to ‘fix social care’.”