Responding to the Prime Minister’s plan to tackle the energy crisis, announced in the House of Commons today, Iain Wright, Managing Director, Reputation and Influence, ICAEW, said:
“The Prime Minister’s energy plan is welcome news for households across the country and should significantly reduce the threat of widespread fuel poverty this winter.
“However, businesses will need to know soon what happens when the support offered to them by the government ends in six months. Otherwise, they face a cliff edge which can only mean price increases and real threats of company failures - feeding inflation, harming the economy and hurting consumers.
“In the Chancellor’s mini-budget later this month he must also set out how this package of measures will be paid for. Markets will be keen to learn what this means for a credible tax and spend plan, otherwise confidence in the UK internationally diminishes and the cost of selling gilts for the government on the international market increases, causing further strain on public finances.”