The UK government has pledged to closely examine “every penny” added to household energy bills, Energy Minister Michael Shanks assured MPs during a committee session on Tuesday. This announcement comes as energy suppliers warn households could face an annual price increase of up to £250 due to escalating tensions and conflict in the Middle East, specifically the war in Iran.
Speaking to the Energy Security and Net Zero Committee, Shanks emphasized the Labour Party government’s readiness to provide financial support wherever necessary. While reaffirming the security of the UK’s energy supplies, he acknowledged the undeniable impact the Middle East conflict has had on energy prices.
Shanks reassured the public about the robustness of the UK’s energy network, noting the diversity of energy sources that continue to operate normally. “Our gas supply comes from various reliable sources, and just yesterday I confirmed with the three LNG terminals that operations remain stable,” he stated. On fuel supplies, he emphasized constant monitoring across the country with no current concerns, encouraging people to continue their normal routines such as refueling vehicles without panic.
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Dhara Vyas, Chief Executive of Energy UK, echoed the cautious outlook, stating it is too soon to gauge the full extent of the conflict’s influence on UK energy bills. However, she highlighted the importance of preparing for any necessary interventions, focusing on cost-effectiveness and directing assistance to the most vulnerable customers. Vyas also stressed the need to identify these customers accurately to ensure both immediate and long-term support in the event of an emergency.