Monday 9th June 2008

GAS PRICE BREAKS £1 A THERM BARRIER

 

WEIR SLAMS RELENTLESS RISE IN ENERGY PRICES

 

SNP Westminster Energy spokesperson, Mike Weir MP, has today (Monday) voiced fresh concerns that domestic energy costs will soar further as the price of gas breaks the £1 a therm barrier.

 

The spike has come as the price of oil - which is linked to wholesale gas - surged to a new record above $139 a barrel on Friday, meaning that the cost of the fuel has risen sevenfold since 2002 and doubled in the past 12 months, raising fears of both inflation and recession in oil-consuming nations.

 

Mr Weir said:

 

“This is deeply depressing news for hard pressed consumers, who are already struggling to make ends meet. 

 

“The cost of gas has more than doubled over the last year, and this is the first time that the wholesale cost has breached the £1 a therm mark in the summer, when historically supplies are cheaper.

 

“It’s is a case of when and not if the energy companies will put up prices, and bills seem set to spriral by at least 20%.

 

“Tomorrow the UK Government is expected to publish figures that show they are failing to tackle child poverty, and clearly the relentless rise in energy prices is part of the problem.

 

“Not only is Scotland missing out on our oil windfall but, because the price of wholesale gas is linked to oil, Scottish consumers are being hammered twice.”

 

ENDS