© Reuters. FILE PHOTO: British Chancellor of the Exchequer (finance minister) Rishi Sunak walks near the Treasury building in London, Britain, May 3, 2022. REUTERS/Toby Melville
LONDON (Reuters) – Britain’s government is preparing to announce a new support package to help shield households from a further jump in energy bills later this year, the Financial Times reported on Wednesday.
Finance minister Rishi Sunak is looking to make an announcement in August around the time when the energy regulator prepares the next price cap, the newspaper said.
The Bank of England last week forecast that inflation in Britain will peak at more than 10% and warned the economy is at risk of recession, adding to pressure on Prime Minister Boris Johnson and his government to expand cost-of-living support measures.
Sunak has said he wants to wait to see how much further regulated energy prices rise at their next scheduled review in October before deciding what kind of extra support is needed.
The finance ministry did not immediately respond to a request for comment.