Liz Truss has capped energy bills for British households at £1,600 per year after she announced plans to scrap subsidies for renewable sources.

According to estimates from analysts, the UK government's plans to pay people to stay at home may end up costing the country as much as $170 billion. Add that to previous similar announcements by German, Austrian, and other European countries, and the total bill for drawing the "stinging" price of rising COVID-19 costs has now reached $500 billion.

For most households in the United Kingdom, their average annual electricity bill will be less than $2,500 starting in October 2019. And the Department of Business, Innovation and Skills (BIS) has announced that they will provide financial assistance to companies, charities, and public bodies who need help paying for their electricity bills from November 2019 until March 2020.

Because the program is broad-based, it may cost more than targeted programs.

He estimated that the total bill would be between £100bn ($145bn) and £150bn ($220bn), depending on whether additional business tax cuts were made.

Britons desperately need the help. Already, the average yearly household energy bill has risen by 54 percent this month to £1,972 ($2,264). Without the new plan, energy prices will soar past £3,500 in December, and even higher early next summer. Small businesses face even bigger hikes and many say they cannot afford the winter without government intervention.

"The price of doing nothing was far greater than the costs associated with this intervention."

After announcing the measures in Parliament, UK Prime Minister Theresa May has once again rejected calls from opposition parties to impose a new “windfall” taxes on oil and gas companies to fund the measures. Instead, she plans to raise public sector borrowings to help cover costs.

That plan could

Already worried about the UK's financial situation, heavy debt could persuade investors to sell off the British currency, which has already fallen to its lowest levels since 1987.

A $500 billion intervention

According to a report by Bruegel, the EU and UK have already committed 280 billion euros (or $280 billion) to protecting consumers from high electricity bills.

When we analyzed our spending commitments from September 2021, we found that

It has been rising since last month, including some steps taken to help with other costs of living.

However, most of the recent price increases have been due to geopolitical events rather than supply disruptions, according to Giovanni Sgaravatti from Bruegel.

Germany has announced a €65 billion bailout for its struggling economy. Austria plans to cut electricity rates by 50 percent until June 2024.

The EU has announced plans for a new digital tax that could raise billions of euros from tech companies.

Together, Europe and the U.K. have so far pledged to spend more than $500 billion (€400 billion) to subsidize energy costs for households and companies.

Governments know they need to do more for their citizens.

heats up.

On Friday, European Union energy ministers will meet to discuss Russia’s role in Europe’s energy market. Among the issues they will consider are a price cap on Russian liquefied natural gases (LNG), which would break the current relationship between the price of LNG and the price of natural-fueled electric generation; a mandatory target for countries using less than their fair share of renewable energy sources; and other measures.

We must stop Russian oil revenue from financing its military aggression against Ukraine.

Why do we need to stop Russian oil revenue from funding its military aggression against Ukraine?

The Russian Federation is one of the world’s largest producers of crude oil, natural gas, and coal. It is also among the top five countries in the world in total proven reserves of hydrocarbons. The country's economy is heavily dependent on energy exports, which account for around 40% of GDP. Russia is also the second-largest producer of petroleum products worldwide after Saudi Arabia. 

Russia is currently the world's fifth-largest oil consumer, consuming 15.4 million barrels per day (mbd). However, this figure could rise sharply if Moscow continues to invest in new projects. Russia's current consumption rate is expected to increase by another 2 mbd by 2020. This would make Russia the largest oil consumer in the world.

Russian oil revenues finance Russia's aggressive foreign policy. Since 2006, the Kremlin has been pouring money into defense spending, which now accounts for almost 50 percent of federal government expenditures. In addition, the vast majority of these funds come from the sale of oil and gas abroad. Oil sales provide the bulk of the budget income for the Russian Defense Ministry.

Since 2008, the Kremlin has used oil revenues to support the conflict in neighboring Georgia and Ukraine. In August 2008, Putin ordered his forces to invade South Ossetia, a breakaway region of Georgia. During the war, Russia annexed part of Georgian territory, including two regions with large ethnic Russian populations. A few months later, in March 2009, Putin sent troops across the border into eastern Ukraine, where they fought alongside separatists who were demanding independence from Kiev.

As tensions rose in Crimea, Russia moved to annex the peninsula in February 2014. The annexation was condemned by most Western governments, which imposed sanctions on several senior officials involved in the operation. The United States and EU also issued travel bans and asset freezes against dozens of Russians accused of human rights abuses and corruption.