Britons warned energy bills could jump another 40% in October
May 25, 2022, 7:31 am

Britons warned energy bills could jump another 40% in October

Image: Pixabay

The UK energy regulator warned on Tuesday (May 24) that household energy bills in Britain look set to surge by another 40% in October. This will deepen a cost-of-living crisis that is piling pressure on the government to do more to help the poorest.

Ofgem said its price cap on the most-widely used tariffs could reach 2,800 pounds ($3,499) when it is next reviewed in October.

That would be up 42% from the current 1,971 pound cap announced in April, which was itself a more than 50% rise on the previous level.

Ofgem Chief Executive Officer Jonathan Brearley told a parliamentary committee: "We are only part-way through the price cap window but we are expecting a price cap in October in the region of 2,800 pounds."

Everyday life in London city, UK (Photo: Pixabay)

If confirmed, the cap would be higher than forecasts from Cornwall Insight, which had previously showed analysts expected it to rise to an average of 2,595 pounds a year.

The increase would add to stresses Britons are already feeling from a spike in the cost of most essentials from food to fuel, ramping up the pressure on Prime Minister Boris Johnson's government

Boris Johnson: No option is off the table to tackle cost of living

Rachel Reeves, the opposition Labour Party's finance spokesperson, said: "This will cause enormous worry for families already facing soaring bills. We need an emergency budget now, with a windfall tax on oil and gas producer profits to lower bills."

Business minister Kwasi Kwarteng said he did not think a windfall tax was necessarily the right thing to do, but he was "very confident" there would more government intervention to help consumers before October.

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Global gas prices soared last year when reopening of world economies from pandemic lockdowns caused demand to return sharply and supply could not keep up, while the war in Ukraine has pushed up prices further in 2022.

Brearley said: "The price changes in the gas market are genuinely a once in a generation event - not seen since the oil crisis in the 1970s."

Source: Ise

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BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).

Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.