£146m Energy Price bombshell
£146m Energy Price bombshell

Sheffield Heeley MP Louise Haigh today demanded action to tackle the energy price crisis facing families, as new research showed the scale of the bombshell facing Sheffielders.

New analysis by the Heeley MP estimated that the cost to Sheffield households from April onwards when the energy price cap is lifted could reach a staggering £146 million.

Earlier this month, Labour forced a vote in the House of Commons compelling the government to take action to tackle the energy price crisis. The government voted against taking action and supporting some of the most vulnerable in our society.

Labour has set out plans to bring in fully funded measures now to tackle the shock facing families. They would scrap VAT off home energy bills for a whole year – alongside focused and targeted support through increasing and expanding the Warm Homes Discount to 9.3 million people.

A windfall tax on the near-record income of North Sea oil and gas producers would help fund Labour’s package saving most households around £200 or more.

Angie, who lives in the Sheffield Heeley constituency has shared her story with Louise, Angie said:

“I run my own business and live with my partner, who has been a teacher for the past 30 years, in a two-bed bungalow, I’m really worried about my energy prices and how much they are going to rise by. We’re middle earners and the impending price rise is causing us so much worry.

“Our energy bills will rise from £160 per month to £460 a month. I’ve worked hard all my life and this price rise will mean; we have to work every hour just to keep our heads above water.

“I really feel for those who are less fortunate than we are, those who are on minimum wage or benefits and pensioners – who really will have to make the decision about whether to feed themselves or heat their homes. This isn’t right, it’s stripping away our basic needs of shelter and warmth.”

Louise Haigh MP said:

“Unfortunately, Angie’s story is not the only one I have heard in the past few months. Many constituents have been in touch with me to ask for help and guidance and to simply voice their disgust in how this government are refusing to support people through this energy crisis.

“Tory Ministers must be on another planet if they think people in Sheffield can afford this energy price bombshell. People across our city are worried sick about how they will cover the bills, and the Tories are asleep at the wheel.

“Labour will stand up for the millions of families across the country, with a package that won’t just help the average household with around £200 off bills, but also targeted and focused support for those who need it most – including low earners, pensioners and the squeezed middle – with up to £600 in total off their bills.

“Sheffield is paying the price for a government that is staggeringly out of touch.”

  • Analysis by Sheffield Heeley MP estimates that in total Sheffielders are facing a £146,294,400 rise in energy bills when the price cap is lifted in April.
  • In February, Ofgem will announce the new price cap for April 2022 onwards. According to energy sector specialist Cornwall Insights, bills could rise by 46%, from £1,277 a year under the current price cap to £1,865 a year. This is an average of £588 per household per annum.
  • There are 248,800 households in Sheffield according to ONS population estimates, with an increase of £588 per household per annum come April, Sheffielders will face an estimated £135,197,664 rise in energy bills in total.
  • For further information on Labour’s policy proposal to tackle the energy price crisis, see attached policy briefing on Labour’s plan to tackle energy bills.
  • Oil and Gas Companies operating in the North Sea to cash in on near-record income, Sky News, Friday 7th January.


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