Background
Between October 2022 and March 2023, government introduced financial support schemes to reduce the impact of energy bill increases on both homes and businesses. These increases were due to a variety of factors, such increased demand for gas following the COVID-19 pandemic and the impact of Russia’s invasion of Ukraine on energy markets. As of February 2023, the government estimated the total cost of these schemes to be £69 billion.
In February 2023, we published a report covering the design and implementation of the schemes. We concluded that the Department for Business, Energy and Industrial Strategy (BEIS), succeeded by the Department for Energy Security and Net Zero (DESNZ), worked quickly to introduce the schemes but had to make a number of compromises to do this.
Scope
This will be a follow-up to our 2023 report, which will include:
- the total costs of each of the energy bills support schemes
- the extent to which the support schemes achieved their objectives to protect consumers and boost the economy
- DESNZ’s management of the schemes’ closure
- DESNZ’s management of schemes’ risks, including those around fraud and error
- DESNZ’s approach to protecting consumers against future volatility in energy prices
NAO Team
Director: Simon Bittlestone
Audit Manager: Terry Caulfield