Rishi Sunak kiboshed an attempt by Boris Johnson to use the spring statement to unveil measures aimed at lowering energy bills, the prime minister has reportedly told allies.
Mr Johnson wanted to use this week’s fiscal announcement to set out a plan to limit the rise in gas and electricity costs for millions, according to unnamed “friends” quoted by The Daily Telegraph.
Under the prime minister’s supposed energy plan, ministers would have guaranteed prices beyond October, when the next energy price cap is set.
The proposal would have been universal, meaning all households would have benefited regardless of their financial situation.
However the chancellor reportedly blocked the plan and it did not feature in Wednesday’s statement.
The claims were denied by both No 10 and No 11 on Friday.
A spokesman told the Telegraph: “We recognise the pressures people are facing with the cost of living, which is why we announced last month £9.1bn to support the majority of households with their energy bills.
“The energy price cap continues to insulate millions from volatile global gas prices.”
Prime Minister Boris Johnson congratulates Chancellor of the Exchequer Rishi Sunak
Next month Ofgem’s pricecap will increase by 54 per cent, adding hundreds of pounds to the average bill. Experts fear another review of the price cap in the autumn will see bills surge even higher.
Mr Sunak has himself suggested the government could intervene on energy bills before the autumn, if by the end of the summer it appears they will rise in October.
Asked if the government would take action in that case, he told BBC Radio 4’s Today programme: “Yes, of course we’ll have to see where we are by the autumn and it’s right for people to recognise that they are protected between now and the autumn because of the price cap.”
People struggling to pay their energy bills were hoping for new support from Mr Sunak, but there was little for them in the spring statement, say critics of the government
Pressed on whether that meant yes, he will intervene before October, Mr Sunak said: “I always keep everything under review, and the government, as it’s shown over the past two years, is always responsive to what’s happening.
“But I would say with energy prices, you know, they are very volatile, and I don’t think you, I or anyone else has any certainty about what will happen in October right now.”
