Energy experts have sounded the alarm over the UK’s heavy dependence on imports, cautioning that this leaves the nation vulnerable to price volatility.
Analysis conducted by the International Monetary Fund (IMF) last year revealed that the energy crisis had a more severe impact on UK household budgets than any other country in Western Europe.
Analysts suggest closing several gas storage facilities in 2017 exacerbates the current crisis.
Although plans are in place to reopen some of them, the UK currently possesses only a few days’ worth of gas storage, while countries like Germany and the Netherlands have enough reserves to meet months of demand.
Later this week, the Henry Jackson Society, a leading think tank, will also call on the Chancellor to be prepared to offer additional support, particularly in the form of subsidies targeted at individuals with lower incomes.
The think tank’s upcoming report will highlight the expected challenges of the winter in 2023/24, potentially surpassing the difficulties faced in previous winters.
Meanwhile, Labour has criticised the loss of storage facilities, estimating a cost of £1.7 billion to the nation.
Shadow Chancellor Rachel Reeves stated, “Yet another failure on energy security hasn’t just left families paying more, it’s left us exposed and reliant on others.”
