UK citizens on benefits may have their energy debt cancelled, should they pay what they can in the meantime. But there’s a catch: everyone else in the country will pay for the relief through higher energy bills. That’s despite the UK energy sector, including corporate suppliers and the privatised network, making half a trillion pounds in profit since 2020.
The energy debt
The energy debt totals £4.4bn, reflecting the difficulties faced by low income people amid grotesque levels of inequality in the UK. According to an Oxfam report from 2023, the richest 1% hold more wealth than 70% of the entire country.
Under the Ofgem plan, £500m could be removed from the energy debt. The total debt rose by £750m from 2024-2025,…