Strait of Hormuz – The NEN – North Edinburgh News

‘Decisive action’ to break influence of gas on electricity prices

Families across the country will be better protected from energy crises, as government moves to break link between gas and electricity prices

Families across the country will be better protected from energy crises, as government moves to break link between gas and electricity prices
New plans include long‑term fixed‑price contracts for renewables, protecting families when gas prices spike
Immediate action to tax excess profits through the Electricity Generator Levy by raising the rate from 45% to 55%, ensuring an increased proportion of the extraordinary revenue generated when the gas price spikes is available to government to support businesses and households with the cost-of-living
Comes as government doubles down on drive for clean, homegrown power with raft of measures to unlock public land, speed up planning and cut bills for families

Plans to better protect families and businesses by ending the unfair way international gas prices push up electricity prices across Great Britain take a major step forward today.

Instability in the Middle East has shown that Britain’s reliance on international fossil fuel markets leaves families and businesses exposed to volatile gas prices, driving the cost-of-living crisis even though much of the country’s electricity comes from cheaper renewables and nuclear. 

When wars, geopolitical tensions or supply shocks abroad push up global gas prices, electricity bills rise with them, exposing families to crises they have no control over. 

Over time, this problem is easing as new clean energy projects are built on fixed price contracts that protect consumers from gas price volatility. But a significant share of renewable generation – about 30% of Britain’s power supply – is still exposed to wholesale prices set by gas, leaving families vulnerable when international prices rise.

Therefore, to shield families from future crises, today the government is setting out new measures to ‘break the link’, reducing the impact that volatile gas prices have on the price of electricity. This will be done by:

Voluntary long term fixed contracts: offered to existing low-carbon generators not on fixed‑price contracts – covering around a third of Britain’s power supply. This will help protect families and businesses from higher bills when gas prices spike, with contracts offered only where they deliver clear value for money for consumers
An updated Electricity Generators Levy: immediate action to tax excess profits through the Electricity Generator Levy by raising the rate from 45% to 55%, ensuring an increased proportion of the extraordinary revenues generated when the gas price spikes is available to government to support businesses and households with the impacts of the conflict in the Middle East on the cost of living

Measures announced today will further reduce the share of electricity exposed to gas price shocks and provide generators the economic incentive to move on to fixed contracts not linked to volatile gas. The government is monitoring the impact of the current crisis on energy bills and will be ready to step in to provide targeted support where necessary.

Britain has already moved from gas setting the price of electricity around 90% of the time in the early 2020s, to around 60% today. Through the government’s clean energy mission, it is estimated gas will set the wholesale price around half of the time by 2030.

Prime Minister Keir Starmer said: “We need to get off the fossil fuel rollercoaster – this will make energy bills more stable and take the pressure off family budgets.

“When global gas prices spike, people here shouldn’t be picking up the tab.

“Our focus is simple: easing pressure on household budgets now, while building a homegrown energy system that protects families from global instability in the years ahead.”

Energy Secretary Ed Miliband said: “As we face the second fossil fuel shock in less than 5 years, the lesson for our country is clear: The era of fossil fuel security is over, and the era of clean energy security must come of age.

“That’s why we’re doubling down on clean power, to give our country energy security and bring down bills for good.”

Chancellor Rachel Reeves said: “Hardworking British families and businesses should not bear the brunt of global gas price shocks while electricity generators are making exceptional profits.

“Alongside moving generators onto the competitive pricing assured through wholesale Contracts for Difference, increasing the EGL to 55% will help to break the link between high gas prices and high electricity prices – offering households and businesses stronger protection against future energy shocks.”

Further measures

Speaking today at the Good Growth Foundation, the Energy Secretary set out further measures to help cut bills for families and deliver more clean, homegrown power:

Bigger grants for households on heating oil and LPG

The crisis in the Middle East has impacted those on heating oil and LPG the hardest. The government is today announcing an increase to the Boiler Upgrade Scheme (BUS) grant for properties heated by oil and LPG, taking the total grant to £9,000. This will help those households and small businesses in England and Wales most impacted by rising energy prices, particularly in rural areas, to electrify their heating and provide greater certainty over energy bills.

Further details on Transitional Energy Certificates

Today in advance of legislation, we are publishing further details on Transitional Energy Certificates to provide greater certainty and clarity for industry looking to invest in already-explored areas near existing licensed fields, supporting a fair and managed transition.

The government is already investing £1.2 billion to upgrade 100,000 social homes over the next 2 years. To accelerate further, the government is today providing an additional £100 million of funding for the Social Housing Fund, subject to final approvals, to support the delivery of up to a total of 57,000 solar installations for households this financial year. Through the Social Housing Fund and social housing regulations in the ‘Warm Homes Plan’, this will help households cut bills by hundreds of pounds and support up to a million homes reach EPC C.

Solar panels for schools and colleges

Building on the success of Great British Energy’s solar scheme, the government is backing the company to extend support for more rooftop solar installations on a further 100 schools and colleges this year. Up to £40 million of government investment, subject to final approvals, Great British Energy will deliver new rooftop solar and renewable schemes – helping the public sector cut energy costs and reinvest savings.

Public land

Driving forward plans to massively expand renewables across the Public Estate – including using brownfield land, industrial sites and railway sites to host solar panels and wind turbines. This could unlock up to 10 GW of capacity, even using only a fraction of government land, powering the equivalent of around 5 million homes.

Planning and land rules

Streamlining outdated rules to unblock the grid and speed up clean, homegrown power, through the biggest overhaul of planning, land access and grid connection processes since the start of the government’s clean energy mission — cutting delays for essential grid upgrades and renewables, and exploring new routes for developers to build and connect their projects faster.

EVs, heat pumps and solar

Plans to make it easier for people to switch to cheaper electric transport and heating, by making EV chargers, solar panels and heat pumps easier to install for renters, flat-dwellers and households without a driveway.

The government is exploring ways to ensure that low-income households can benefit from plug-in solar through our ‘Warm Homes Plan’ this year, and have earmarked up to £25 million with a view to piloting support for plug-in panels in partnership with local authorities and mayors: our vision is a street by street approach where tens of thousands of low-cost solar panels are delivered to those most in need.

Reformed National Pricing

Households and businesses will benefit from a cheaper, more efficient energy system through a new Reformed National Pricing Delivery Plan. The delivery plan shows how smarter planning and faster delivery of electricity infrastructure could unlock up to £20 billion in benefits between 2030 and 2050.

RAC: Fuel Prices latest

RAC head of policy Simon Williams said: “While pump prices have technically risen for a record 43 straight days, the increases have almost ground to a halt.

“The average price of petrol now stands at 158.27p, only having gone up a quarter of a penny since reaching 158.03p on Thursday. Similarly, diesel is now at an average of 191.5p, having first climbed to 191.11p on Thursday too.

“With dated Brent crude under $100 a barrel for the last three trading days, there’s now scope to see prices finally starting to go the other way.

“But, as always, it’s a highly volatile situation with much depending on what happens with the Strait of Hormuz. And, if the oil price was to go back up again this week, any hopes of slight forecourt reductions will inevitably disappear.”

	Petrol	Diesel	Unleaded daily change	Unleaded change – since 28/2	Unleaded % change since 28/2	Diesel daily change	Diesel change – since 28/2	Diesel % change since 28/2
28/02/2026	132.83	142.38	+0.2	0	0.0%	+0.2	0	0.0%
13/04/2026	158.27	191.50	+0.0	+25.4	19.2%	+0.0	+49.1	34.5%

Never Fear, Sir Keir’s Here!

Prime Minister travels to Middle East to meet allies and support ceasefire

The Prime Minister is travelling to the Gulf today to meet with Gulf partners and discuss diplomatic efforts to support and uphold the ceasefire in order to bring about a lasting resolution to the conflict and protect the UK and global economy from further threats.

The Prime Minister will travel to the Gulf this week to meet leaders of countries who have been in the front line, and will set out his full support for the newly agreed ceasefire
In meetings with regional leaders, he will reiterate unwavering UK support and need for a long-term diplomatic resolution to make sure the ceasefire leads to a lasting agreement
He will hold talks on ensuring the reopening of the Strait of Hormuz remains permanent, with the United Kingdom continuing to lead international efforts

On the visit, the Prime Minister will make clear his government’s commitment to de-escalation, and hold further talks on practical efforts to restore freedom of navigation in the Strait of Hormuz following promising progress reported as a result of the ceasefire. As announced by the Prime Minister last week, the United Kingdom is continuing to lead the international effort, convening allies from across the world to ensure the Strait of Hormuz is reopened.

He will also see in person the defensive support the UK has provided in the collective self-defence of our allies in the region and thank UK personnel for their brave service.

Prime Minister Keir Starmer said: I welcome the ceasefire agreement reached overnight, which will bring a moment of relief to the region and the world.

“Together with our partners we must do all we can to support and sustain this ceasefire, turn it into a lasting agreement and re-open the Strait of Hormuz.”

The Prime Minster’s travel follows the UK-convened meeting last week of more than 40 countries to begin work on a viable plan to reopen the Strait of Hormuz when the fighting subsides, and subsequent military planning meeting hosted by the UK on Tuesday to further advance this work.

Work will now continue at pace in light of the ceasefire and the Prime Minister is expected to discuss this further in meetings with leaders in the region.

The Prime Minister’s first stop will be to thank the UK and local personnel who have bravely put their lives at risk in the defence of our people, our interests and those of our allies.

The Ministry of Defence has confirmed that UK personnel have intercepted more than 110 drone attacks in the region, and the RAF have conducted more than 1600 hours of defensive operations.

The Prime Minister will also pay tribute to the work of our partners in the Gulf, whose armed forces have protected the hundreds of thousands of UK nationals living in the region in the face of Iran’s brutal aggression.

IRAN’S BRUTAL AGGRESSION? You couldnae make it up! – Ed.

Government set to crack down on companies exploiting Middle East crisis to unfairly hike prices

Working people will be protected from unfair price rises with new plans set out by the government today to detect and crack down on companies if they exploit the crisis in the Middle East.
Ministers are concerned that some companies could exploit the crisis to carry out price gouging – when a company puts prices up to an unfair and unjustifiably high level during a crisis, knowing that customer have little choice but to pay.
To deal with this unfair practice, a new anti-profiteering framework is being brought in by the Government and regulators like the Competition and Markets Authority (CMA) to clamp down on price gouging if it takes place.
As part of that, the government will not hesitate to introduce new time-limited, targeted powers for the CMA and other key regulators if that is needed, and the exact powers are being worked through at pace.
The move will further strengthen our world-class competition and consumer protection regime, which is already protecting households, and comes as the CMA have stepped up their monitoring of fuel prices and accelerated their review of fuel margins made by businesses since the conflict began.
The announcement follows the Chancellor and Energy Secretary’s meeting with petrol retailers to discuss what more can be done to support motorists with the cost of living, and the Chancellor is expected to meet with supermarkets and banks to discuss how they can support consumers in the coming days.

A Government spokesperson said: “We are fighting your corner to keep the cost of living down in these uncertain times. We will not allow companies to exploit this crisis to hike their prices to unjustifiable levels.

“Whether at the fuel pump filling up your car or at the till paying for your groceries, we are working with regulators to make sure the price you pay is a fair one.”

The Chancellor will deliver more details later today.

G7 Foreign Ministers’ statement on support to partners in the Middle East

Joint Statement from the G7 Foreign Ministers of Canada, France, Germany, Italy, Japan, the UK, the USA and the High Representative of the EU

We, the G7 Foreign Ministers of Canada, France, Germany, Italy, Japan, the United Kingdom and the United States of America, and the High Representative of the European Union, express support to our partners in the region in the face of the unjustifiable attacks by the Islamic Republic of Iran and its proxies.

We condemn in the strongest terms the regime’s reckless attacks against civilians and civilian infrastructure, including energy infrastructure, in Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, the United Arab Emirates, Jordan, and Iraq, in line with UNSC Resolution 2817.

The Iranian regime’s unjustifiable attacks against these states also threaten regional and global security. We call for the immediate and unconditional cessation of all attacks by the Iranian regime.

We reaffirm the importance of safeguarding maritime routes, and safety of navigation, including in the Strait of Hormuz and all associated critical waterways, as well as the safety and security of supply chains and the stability of energy markets. We stand ready to take necessary measures to support global supply of energy such as the stockpile release decided by International Energy Agency members on March 11.

The G7 has repeatedly stated that Iran must never obtain a nuclear weapon and that it must halt its ballistic missile program, end its destabilizing activities in the region and around the globe, and cease the appalling violence and repression against its own people.

We support the right of the countries unjustifiably attacked by Iran or by Iranian proxies to defend their territories and protect their citizens. We reaffirm our unwavering support for their security, sovereignty, and territorial integrity.

We condemn the brazen attacks in Iraq by Iran and its militias against diplomatic facilities and energy infrastructure, particularly in the Iraqi Kurdistan Region, and against U.S. and Counter ISIS Coalition forces, and the Iraqi people.

GULF CRISIS: Leaders issue joint statement on Strait of Hormuz

Joint statement from the leaders of the United Kingdom, France, Germany, Italy, the Netherlands, Japan, Canada, Republic of Korea, New Zealand, Denmark, Latvia, Slovenia, Estonia, Norway, Sweden, Finland, Czechia, Romania, Bahrain and Lithuania on the Strait of Hormuz:

We condemn in the strongest terms recent attacks by Iran on unarmed commercial vessels in the Gulf, attacks on civilian infrastructure including oil and gas installations, and the de facto closure of the Strait of Hormuz by Iranian forces.

We express our deep concern about the escalating conflict. We call on Iran to cease immediately its threats, laying of mines, drone and missile attacks and other attempts to block the Strait to commercial shipping, and to comply with UN Security Council Resolution 2817.

Freedom of navigation is a fundamental principle of international law, including under the United Nations Convention on the Law of the Sea.

The effects of Iran’s actions will be felt by people in all parts of the world, especially the most vulnerable.

Consistent with UNSC Resolution 2817, we emphasise that such interference with international shipping and the disruption of global energy supply chains constitute a threat to international peace and security. In this regard, we call for an immediate comprehensive moratorium on attacks on civilian infrastructure, including oil and gas installations.

We express our readiness to contribute to appropriate efforts to ensure safe passage through the Strait. We welcome the commitment of nations who are engaging in preparatory planning.

We welcome the International Energy Agency decision to authorise a coordinated release of strategic petroleum reserves. We will take other steps to stabilise energy markets, including working with certain producing nations to increase output.

We will also work to provide support for the most affected nations, including through the United Nations and the IFIs.

Maritime security and freedom of navigation benefit all countries. We call on all states to respect international law and uphold the fundamental principles of international prosperity and security.

Following publication, Canada, Republic of Korea, New Zealand, Denmark, Latvia, Slovenia, Estonia, Norway, Sweden, Finland, Czechia, Romania, Bahrain and Lithuania confirmed they also joined this joint leaders’ statement.