MVT and NTIA “welcome” Energy Bill Relief Scheme but say further action is needed

nme.com:

five organisations representing the UK hospitality sector penned an open letter to the UK government amid the ongoing cost of living crisis.

They highlighted “rocketing energy prices” that were forecast to become “a matter of existential emergency” this year, and demanded urgent government action to prevent a catastrophe to UK culture.Mark Davyd, MVT CEO, spoke to NME at the time about the true threat posed by the looming price hike.

He compared it to the COVID pandemic, which at one point saw 93 per cent of the UK’s grassroots music venues under threat of being closed forever due to losses caused by restrictions.Yesterday (September 20), findings from a new flash poll conducted by the Night Time Industries Association (NTIA) indicated that three out of four night time economy businesses in the UK were on a “financial cliff edge” as a result of inflation.Out of the 300 businesses surveyed, 47.7 per cent were barely breaking even while 24.8 per cent were losing money.Now, as the BBC reports, the Department for Business, Energy and Industry has detailed plans for its Energy Bill Relief Scheme, which will offer discounts for all firms for a six-month period from October 1.Wholesale prices are expected to be fixed at £211 per MWh for electricity, and £75 per MWh for gas for all non-domestic energy customers.

Companies are not required to contact their energy suppliers, as the discount will automatically be applied to bills.The scheme will apply to fixed contracts agreed on or after April 1, 2022, as well as variable and flexible tariffs and contracts.Prime Minister Liz Truss said the government understood the “huge pressure” businesses are facing due to soaring energy costs, adding that the new scheme will “keep their energy.