Millions of British families will face serious physical and financial costs if the government does not take effective measures to prevent an “energy catastrophe”. This conclusion was reached by economists of the analytical center Resolution Foundation.
According to analysts, the UK will face an inevitable surge in electricity prices this winter. In such circumstances, the British authorities must take drastic steps, including freezing prices, imposing solidarity taxes and lowering social tariffs for the population.
Another option would be to refund 1p on all income tax rates. Without these measures, annual household spending will rise by £2,000 or more in 2023, with monthly payments peaking as early as January at £613.
On August 25, the consulting company Baringa Partners reported that the 2022 energy crisis could have more serious consequences for the UK than the financial crash of 2008. Experts predicted that the upcoming winter electricity price increase will be three times higher than a year earlier. This can lead to a reduction in the consumer budget.