‘How do you sleep at night?’ Centrica boss faces awkward question as energy giants are quizzed by MPs over fuel prices
- Centrica CEO Chris O’Shea was asked by a Tory MP: ‘How do you sleep at night?’
- The UK recorded 4,706 excess deaths last winter amid soaring energy bills
Energy giants have been quizzed about ‘how they sleep at night’ as profits surge while thousand die from the cold.
MPs yesterday condemned ‘horrifying’ figures showing there were some 4,706 ‘excess deaths’ last winter against the background of punishing energy bills.
Charities have warned that thousands more will die early this coming winter from conditions made worse by cold and damp homes.
MPs investigating the government’s preparations for winter today heard harrowing evidence of people resorting to ‘dangerous coping measures’.
These ranged from not washing children’s clothes to not taking hot showers and using to barbecues to produce a hot meal.
Centrica chief executive Chris O’Shea (pictured) was asked by Conservative MP Vicky Ford: ‘Chris, how do you sleep at night?’
British Gas, reported a record figure of £969m for the first six months of 2023 – a nine-fold increase on the £98m in the same period last year.
A small fall in energy bills – worth around £3.50 a week on average – is due to come into effect on October 1, however this is expected to be reversed in January.
Simon Francis, co-ordinator at the End Fuel Poverty Coalition, told the Commons Energy Security and Net Zero Committee, warned of more deaths, saying: ‘The signs are that people are going to be struggling more in cold, damp homes this winter.’
READ MORE: Energy price cap could rise back above £2,000 early next year
Chief executive at National Energy Action, Adam Scorer, said customers are weighed down with ‘impossible levels of debt’ to their suppliers.
He said there was evidence of privation, with people switching to ‘a panoply of dangerous coping mechanisms’, which will be worse this winter.
Looking ahead, he warned: ‘People will expect they will not wash clothes for their children, they will expect not to have hot showers or baths, not to heat their homes, to use barbecues to cook their food.’
A member of the committee, the Conservative MP Vicky Ford, described the warnings as ‘horrifying’.
Her comments came during questioning of senior executives at the energy firms British Gas, Octopus, EDF and E.On.
She said: ‘A lot of you listened to the previous panel, and that was horrifying. 4,700 deaths, dangerous coping mechanisms, people not washing their children’s clothes, not using their ovens, risking their lives with barbecues.
‘In the meantime, a lot of you have been making an awful, awful, awful lot of money – a nine times profit increase.’
Speaking to the chief executive of Centrica, which owns British Gas, Chris O’Shea, the MP asked: ‘Chris, how do you sleep at night?’
Conservative MP Vicky Ford (pictured) said energy bosses had been making an ‘awful, awful, awful lot of money’ as customers suffered
Mr O’Shea replied: ‘So our profits increased at British Gas this year, as you say, quite substantially, the vast majority of that is the recovery of past costs.’
He said the increase was designed to off-set substantial costs due to wholesale energy price rises caused by Russia’s invasion of Ukraine.
His evidence was halted by Ms Ford who said: ‘Stop. People are dying.
‘People are being driven to situations to kill themselves last winter because of the one-off crisis that happened for the first time that winter, because of Ukraine, and we think it may happen again – even worse.’
Mr O’Shea said the company has committed to boost support to struggling customers with a contribution equal to 10 per cent of British Gas profits.
He said companies are making a modest profit margin of 2 per cent and argued that energy bills are just one factor in a wider problem.
‘There are a substantial number of people in the UK that cannot afford to live with dignity. Whether its rent, mortgage, food, energy,’ he said.
‘Energy companies are permitted to make 2 per cent margin, that’s half the margin that supermarkets make, that’s a lot less than other regulated businesses. We are part of a bigger issue.’
Giving evidence, the head of energy at Citizens Advice, Gillian Cooper, argued for the introduction of a social tariff for the poorest households, which would guarantee lower prices for heat and light.
Source: Read Full Article
