‘Tricky winter’

Hague raises concerns over impact for many families

The former Conservative leader William Hague has said Britons will suffer shortages due to the gas crisis, warning it could be a “more than tricky” winter for many families.

The business secretary, Kwasi Kwarteng, admitted it “could be a very difficult winter” with families facing rising energy bills, as he sought to distance himself from the burden of the cut to universal credit.

Hague said: “If I was in government, I would be saying, ‘Get an elite group of ministers together in this reshuffled cabinet who are going to meet every day’ to be on top of all of these issues,” he told Times Radio.

Kwarteng confirmed the government was considering state-backed loans to energy companies hit by soaring gas prices.

“Those are some of the ideas that are being discussed because it costs a company to absorb up to hundreds of thousands of customers from another company that has failed. That costs money and there may well be a provision for some sort of loan, and that’s been discussed,” Kwarteng told Sky News.

He said he was committed to protecting British people, when confronted over whether the government would be forcing people to choose between heating and eating in the face of mounting fuel costs caused by the gas crisis.

Pushed on the issue of universal credit, he said: “It’s a difficult situation, it could be a very difficult winter. That’s why, as energy minister, I’m very focused on helping people that are fuel poor. Universal credit, you will know, is an issue for the chancellor and the work and pensions secretary. I’m speaking to them a great deal about it.”

Earlier on Sky, Kwarteng hinted at a bailout for CF Industries, the UK’s biggest supplier of CO2. He said: “We’re definitely looking at trying to secure carbon dioxide supply. I’ve spoken to the CEO of the business, Tony Will. He flew over on Sunday. We spoke very candidly about the situation.

Hague said there were more risks to come beyond the current crisis. “I think it could be a tricky winter, more than tricky, actually,” the former foreign secretary said.

“I’m one of those people who think that probably the central banks around the world or the US Federal Reserve, the Bank of England and so on, have underestimated the risks of inflation after the pandemic.”