Rachel has welcomed new Government support for businesses and public sector organisations in Redditch who are facing rising energy bills.
Through the new Energy Bill Relief Scheme, the Government will provide a discount on wholesale gas and electricity prices for businesses, charities and the public sector, such as schools and hospitals, whose current gas and electricity prices have been significantly inflated in light of global energy prices.
This support will be equivalent to the Energy Price Guarantee put in place for households, under which a typical household will pay on average £2,500 a year on their energy bill for the next two years from 1 October.
It will apply to fixed contracts agreed on or after 1 April 2022, as well as to deemed, variable and flexible tariffs and contracts. It will apply to energy usage from 1 October 2022 to 31 March 2023, running for an initial 6 month period for all non-domestic energy users. The savings will be first seen in October bills, which are typically received in November.
As with the Energy Price Guarantee for households, customers do not need to take action or apply to the scheme to access the support. Support (in the form of a p/kWh discount) will automatically be applied to bills.
“I meet regularly with local businesses and I’m well aware of the huge pressures they are facing with their energy bills. Schools and hospitals are in the same position, which is why I welcome the immediate action the Government has taken to support them over the winter.
“As we are doing for households, our new scheme will keep their energy bills down from October, providing certainty and peace of mind.
“The action the Government is taking will protect jobs and livelihoods here in Redditch.”