After Martin Lewis called the OVO CEO “a fat cat” who is “ripping people off,” the two argued over the rising cost of energy.
During an appearance on ITV’s Good Morning Britain, Stephen Fitzpatrick, the energy company’s chief executive, also referred to the upcoming months as “a winter like no other.”
His warning comes as concerns about a cost of living Armageddon that will cause energy rationing and even blackouts as energy costs keep rising are growing.
In order to alleviate the cost of living crisis and “lighten the load” on British households, Mr. Fitzpatrick said, “there are many things the Government can do in the next 12 weeks.”
The energy executive, however, was accused by Mr. Lewis of “sitting there talking like this when you’re a fat cat making the profits, ripping people off.”
There are many businesses making extraordinarily large profits, the OVO founder retorted. They may not be acting improperly, but they are certainly making a lot of money.
“I started a retail energy business 13 years ago; we only work on behalf of customers in retail.” Except for what is beneficial to customers, we have no other interests.
While this is going on, the campaign organisation Don’t Pay UK has called for widespread fuel bill non-payment in an effort to “break the system.”
But according to Mr. Fitzpatrick, failure to pay would only increase the cost for everyone else.
‘In terms of the campaign for Don’t Pay [UK], I think we all understand that millions of people in the UK this winter are going to really struggle and won’t be able to pay,’ he continued.
However, I don’t believe that is truly British culture when I see campaigns urging people—even those who can afford—to refrain from doing so.
The upcoming months will be “a winter like no other,” according to Stephen Fitzpatrick (pictured), the CEO of the energy company OVO.
In preparation for becoming the next prime minister of the UK, Liz Truss is considering a £100 billion package to freeze energy prices.
Ms. Truss promised “immediate” action to relieve the pressure on struggling families, and the results of the Tory leadership election are expected at lunchtime.
As a result of Russia’s decision to shut down a crucial gas pipeline, wholesale gas prices increased this morning by about 30%.
Chancellor-in-waiting Although government borrowing will be “looser,” Kwasi Kwarteng has already been frantically trying to reassure the markets that it will still be “responsible.” In order to spur economic growth, Ms. Truss has also pledged a flurry of tax cuts.
Ms. Truss said to the BBC yesterday that she would reveal new assistance programmes for struggling households within a week, but she would not provide any further information.
She said on the Sunday with Laura Kuenssberg programme, “You don’t have all the wherewithal to get the things done before you have been elected as prime minister.”
Because of this, it will take a week to determine the specific plans and ensure that we can make an announcement. I am unable to elaborate at this time for that reason. It wouldn’t be right.
We all understand that someone will eventually have to pay for this, I believe. And when people don’t pay their bills, it raises the cost for everyone else.
And I believe that in this country, as I’m sure we can all agree, we believe in purchasing our round. You buy your round of drinks when it’s your turn to pay, you know.
We are all aware that some people will not be able to pay this winter. And those people need our support. They require assistance from energy companies.
They require support from the government. However, it cannot be the case that we simply refuse to pay.
MoneySavingExpert founder Mr. Lewis claimed that such a “huge mass movement” would be problematic for the energy sector.
People keep asking me what happens if people don’t pay, which is interesting, he said.
And in my opinion, if there were to be a significant mass movement, switching to prepayment metres would be one of the options available if people chose not to pay rather than were having financial difficulties.
But as an energy industry, you couldn’t install a million prepayment metres during the winter. If that were to occur, then we would be living in unimaginable times.
We definitely are, Mr. Fitzpatrick retorted. And while I agree that no business wants to be in the predicament you describe, I would point out that the energy sector has had voluntary codes of conduct for many years.
‘I know people fear disconnection. It’s impossible. Companies don’t disconnect consumers in winter.
Mr Lewis co-hosted the programme with Susanna Reid and interviewed Steve Chalke of Oasis Academy.
Mr. Chalke’s schools’ energy expenses rose from £3 million to £10 million.
He warned of additional school cuts and sacrifices to meet the expenses.
The principal continued, “We won’t give up.” Continue.
We’ll tolerate scorn or difficulties to remain open.
Wholesale gas prices rose approximately 30% this morning when markets reopened after Russia blocked the launch of the Nord Stream 1 pipeline to Europe.
British energy producers are ready for a large surge in wholesale costs as European governments seek to alleviate consumer pressure.
Gas prices might rise as much as 50% today after Russia’s Gazprom blocked the reopening of a crucial pipeline to Europe.
Nord Stream 1 supplies 55 billion cubic metres of gas per year from Russia to Europe.
While the UK gets just 4% of its gas from Nord Stream 1, Germany is significantly more dependent on it, therefore its shutdown is predicted to cause worldwide energy costs to skyrocket.
The move has generated concerns that manufacturers may have to embrace a four-day workweek to save energy.
State-backed After three days of’maintenance,’ Gazprom was scheduled to reopen the pipeline on Saturday.
Russia has kept it offline, citing a ‘oil leak,’ after the G7 agreed to cap Russian oil prices as further sanctions.
Nord Stream 1 supplies 55 billion cubic metres of gas per year from Russia to Europe.
While the UK receives only 4% of its gas from Nord Stream 1, Germany is much more reliant on the pipeline, causing prices to spike on international energy markets.
The move has generated concerns that manufacturers may have to embrace a four-day workweek to save energy. Nord Stream 1 hasn’t reopened yet.
It comes as Liz Truss, widely expected to be announced as new Prime Minister this lunchtime, is said to be mulling a £100billion package to freeze energy bills.
Ms Truss has vowed ‘immediate’ action to ease the pressure on struggling families.
She may opt for a furlough-style move by loaning companies money to cut costs.
Ms Truss told the BBC yesterday that she will announce new supports for struggling households next week, but she declined to provide details.
‘Before you have been elected as prime minister, you don’t have all the wherewithal to get the things done,’ she told the Sunday with Laura Kuenssberg programme.
Pipes at the landfall facilities of the Nord Stream 1 gas pipeline pictured in the coastal area of Lubmin, Germany
‘This is why it will take a week to sort out the precise plans and make sure we are able to announce them. That is why I cannot go into details at this stage. It would be wrong.’
Chancellor-in-waiting Kwasi Kwarteng has already been scrambling to reassure markets that although government borrowing will be ‘looser’ it will remain ‘responsible’. Ms. Truss promised tax cuts to boost economic growth.
Meanwhile, experts told MailOnline there is ‘no escape’ for the 66million Brits who will be encouraged to cut their gas and electricity use this winter and turn off the lights when the wind drops.
When similar measures were imposed in the US this year, people were encouraged not to use washing machines, dishwashers, and ovens between 2pm and 8pm. Changing the family weekday dinner at 6pm or the Sunday roast at 5pm to after 8pm or cold dinner or leftovers may be necessary.
The NHS Confederation predicts that the solution will be fewer staff, longer wait times, or cuts to other areas of patient care. NHS England advises hospitals and surgeries to turn off equipment, lights, and thermostats.
Schools have discussed three-day weeks and combining classes to reduce heating needs.