Commenting on the Government’s Energy Cap statement, Ian Gadsby, managing director of Salford-based business energy experts Ylem Energy said: “We welcome the fact the prime minister has recognised the energy challenge businesses face, however the six-month guarantee does little to address the likely long-term increase in energy prices.
The government is effectively sending a dangerous message to businesses, telling them they have six month’s protection. However, businesses will still be paying high prices on the cap – much more than historic levels. Despite the cap we estimate the cost of business energy to reach, at best, between 30p-40p/kWh under the proposed scheme, a price rise many will struggle to cope with.
It’s encouraging that the government has acknowledged the vital role of businesses generating their own energy and the need to reduce consumption. However, a six-month window is not enough time for large energy users to implement a direct energy generation solution. I fear that unless support is extended to two years in-line with the consumer support package, UK businesses will face another energy price cliff edge at the end of February.”
