UK council faces an extra £3m on bills amid energy crisis

High energy prices pose a “significant financial risk” to Slough Borough Council’s budgets, according to new report

Big Zero Report 2022

Slough Borough Council in the South East of England could see its energy bills soar by an additional £3 million as a result of the rising energy prices.

That would be the inevitable result for the local authority unless it strikes a new energy deal.

During a Cabinet meeting held on Monday, councillors were informed about a report suggesting the current energy crisis with many energy companies going out of business created a “significant financial risk” to the council and pressure on the revenue budgets.

The analysis noted that with natural gas prices hitting a peak, the current environment in the energy market had an impact on the fixed-price three-year forecast the council was looking at.

The report concluded that the 36-month energy cost for the council would equate to £9.56 million.

That compares to £6.2 million using current energy costs, an increase of £3.2 million.

Slough Borough Council needs to procure energy contracts to enable it to provide lighting, heating and ventilation to council and community buildings, street lighting, traffic lights, car parks, schools, and to run its waste, cemetery and parks operations, electric vehicle chargers and air quality monitoring stations.

The local authority was previously in a rolling contract with energy broker Zenergi.

It has now unveiled plans to deploy a risk management utility contract strategy to meet budget expectations.

If you enjoyed this story you can sign up to our weekly email for Energy Live News – and if you’re interested in hearing more about the journey to net zero by 2050, you can also sign up to the future Net Zero newsletter. 

Latest Podcast