-
The New "Pandemic" of Energy Bills in the UK

Since 2008, when the people of the UK had their first financial crisis, and after the Covid-19 pandemic in the last two years, Britain is facing yet another third crisis, of increased energy bills. In July, the temperature in the UK reached a peak of 41 degrees Celsius, and simultaneously with the heat, the Conservative government under Boris Johnsons leadership announced the expectant rise of electricity and gas bills by a shocking 80% from October 2022. In other words, people across the UK will face a catastrophic winter this year, and in the first three months of 2023, gas and electricity bills could reach to more than £5000 per year for each household, comparing to the last year’s average of £1,400.
As a result of such rise of energy bills, more than 24 million households in the UK who are on prepayment plans will be under the risk of financial crisis. The Tory government’s packet of £400 for the upcoming 6 months, as a family support for energy bills increasing, couldn't make a difference to the significant rise of energy charge. Boris Johnson's government has blamed the Russian invasion in Ukraine and the drop of pipeline imports from Russia as the main cause of such global energy crisis as a way to escape their responsibility. However, according to UK resources, only 15% of the UK gas import was from Russia. Consequently, there is a real concern, not only about the fact that the majority of households in Britain will not be able to pay their bills, but it will also affect all businesses and the cost of living as well.
Many of the people in the UK think that, in such a disaster of a rise of energy bills, the Tory government has failed to tackle this crisis. Additionally, the cost of living in the next upcoming months will be another serious problem for Britain. Both Tory candidates, Rishi Sunak and Liz Truss, are busy with their election campaign to become the Conservative leader and then the next UK Prime Minister without providing any new action plan to deal with the new "energy pandemic". There is no doubt that, as many of Britain believe, such crisis was a consequence of Boris Johnson's government policies. The election's result between Sunak and Truss could perhaps make no difference regarding tackling the energy crisis, as both candidates were part of Boris Johnson's government, who were behind such a catastrophic situation that the UK has not experienced in decades. On the other hand, many economic experts, and the Labour Party leader Keir Starmer, suggest that an action plan should take place in order to avoid such energy rises and the high cost of living. The option on freezing the price cap at the current prices level could be the best plan for now, and the government should fund such rises or cancel the rise of gas and electricity bills during this winter, in purpose for all households to get sufficient support.
BY: Zara Saleh
Tags
You May Also Like
Popular Posts
Caricature
BENEFIT AGM approves 10%...
- March 27, 2025
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.
opinion
Report
ads
Newsletter
Subscribe to our mailing list to get the new updates!