energy firms Archives - End Fuel Poverty Coalition

£26.2 billion in energy industry profits posted since start of 2026

Energy companies have generated profits of over £26.2 billion in the first three months of 2026, with around £3 billion generated on the firms’ UK operations. [1]

The UK generated returns equate to £102 in profit for every household in the UK in just three months. [2]

The figures have been compiled following trading updates by a host of household name energy firms in recent weeks as the conflict with Iran and the closure of the Strait of Hormuz delivered a significant war windfall for oil and gas firms at the same time as households face rising bills.

Among the results included in the figures are Equinor, the UK’s biggest gas supplier, which said it had generated £7.19 billion in profit in Q1 2026. Shell’s announcement of £5.07 billion in profits is also included with the firm looking to reduce its UK tax liability by around £1.3 billion through its Adura joint venture with Equinor, which pools the two firms’ North Sea exploration assets.

TotalEnergies has followed a similar path to Adura, spinning off its UK North Sea assets into NEO NEXT+, now billing itself as the largest producer on the UK Continental Shelf. The parent company posted adjusted net income of £4 billion for the quarter, up from £3.1 billion a year earlier and has announced a share buyback and increased dividends.

BP reported underlying profits of £2.4 billion for the first three months of the year, more than double the figure from a year earlier, driven largely by its oil trading division.

Other firms included in the analysis include Chevron and Scottish Power owner Iberdrola. The Spanish-based firm reported an 11% rise in adjusted net profit in Q1 2026, with growth driven substantially by its regulated network operations in the United Kingdom.

Meanwhile, new analysis from the Energy and Climate Intelligence Unit found that the average household’s energy bills will have been £4,800 (87%) higher over the five years since the start of the gas crisis in late 2021, with the coming winter likely to add even more to these extra costs.

Cornwall Insight forecasts average household energy bills will rise by £201 a year from 1 July while homes on heating oil and LPG energy have already seen energy costs soar, prompting the Government to provide limited emergency relief and extend support for these households to move off oil and gas.

In a new poll from Survation, 74% of the public felt that it is morally wrong for oil and gas companies to profit from the energy crisis caused by the Iran war [3]. The figures back up previous End Fuel Poverty Coalition polling which showed that the public support the Windfall Tax by a margin of two to one.

Energy company bosses saw their own personal wealth grow off the back of the current crisis, with Harbour Energy’s Linda Z Cook seeing the value of her shareholding rise by more than £4 million to £26 million in just the first four weeks of the latest conflict.

Harbour has claimed in a trading update that the Middle East conflict has created ‘unprecedented disruption’ to energy markets, while quietly more than doubling the amount of surplus cash (known as ‘free cash flow’) for 2026 to £1.02 billion ($1.4 billion) on the back of rising oil and gas prices.

Simon Francis, Coordinator of the End Fuel Poverty Coalition said:

“Around a quarter of every energy bill is taken in profit by a range of firms involved in the industry and that figure could well grow thanks to the war profits still being generated by the energy industry.

“Not only do these firms profit off the back of a war which has killed thousands of civilians, but the profits are also built on the backs of financial suffering in UK households.

“It can’t be right that while the public see their energy bills increase, energy firms make billions and employ rafts of accountants to maximise their profits and lobbyists to campaign against the Windfall Tax.

“The only winners from the conflict with Iran appear to be the oil and gas giants who control the prices we pay. The sooner we get off the fossil fuel price rollercoaster through increased energy efficiency of buildings and more renewables, the better.”

Jan Shortt, General Secretary of the National Pensioners Convention, commented:

“It is an appalling situation when energy companies profit from a humanitarian crisis and the public pay the price of ever increasing household bills.

“It is time for a real and urgent push to engage with renewable energy and sustainable energy rather than fossil fuels.

“We are concerned that increasing energy bills will mean that those who need heat even in the warmer weather due to their health conditions will be forced to cut down their consumption.

“The billions going into the coffers of energy companies like Shell and BP should be used to offset the increase in household energy bills so that hot food and heating homes when necessary doesn’t mean going into debt.”

Former North Sea oil worker, Danielle Dale, 51 from Aberdeenshire, said:

“I worked in operations for fossil fuel production, but I moved on. I saw that the world was changing and we needed to create a thriving, sustainable future. The question we should be asking the oil and gas industry is this: can we really call it profit when the true cost is counted in vanishing species, destabilised climates, and families choosing between heating and eating?”

ENDS

All currencies converted where necessary to GBP based on the Xe.com exchange rate at the time of results being posted.

[1] The data in this tracker has been collated from publicly available company reports and industry sources, with profits adjusted where possible to reflect UK operations. For multinational businesses, UK profit estimates are based on disclosed proportions of revenue, production, or operating assets attributable to the UK, or on reasonable assumptions using sector benchmarks where disclosure is limited. The figures are indicative, providing a consistent basis to assess trends in UK energy-sector profitability and its relationship to household energy costs. These measures differ from company to company due to reporting processes and regulatory requirements in different jurisdictions. In determining which measure of profitability to use, the research has prioritised the measure preferred in the company’s own accounts. Any totals declared here include offsetting any losses made by firms in the period cited. In total, the tracker now monitors over 30 firms – only a selection of these firms have posted Q1 2026 profits which are included in this analysis. These firms were selected by the researchers to create a cross section of the energy industry, to reflect those most frequently covered in the media and to ensure the main UK operators are represented.

Full information available at: https://www.endfuelpoverty.org.uk/news/energy-firm-profits-tracker/

Data as at 7 May 2026.

The data was compiled by freelance business journalist David Craik and examined and peer-reviewed by a business analyst with board-level experience within complex multinational businesses. David’s experience has included writing business and city news and features for national newspapers and magazines such as The Daily Mirror, Sunday Times, Wall Street Journal, Scotsman and Daily Express. Much of his content focuses on company financial results and reports in the energy sector and on personal finance issues including wealth management, property, investing and managing household budgets and bills.

[2] £2,965,733,324 estimated profit on UK operations, divided by 29,000,000 households in the UK = £102.27. (29m figure from ONS, 2025 data).

[3] The poll of 2,017 18+ adults was conducted by Survation for NEON, 29th April – 1st May 2026. Results were weighted to be reflective of the UK population.

Featured image: © Greenpeace. Greenpeace activists project the truth about the source of Shell’s huge profits onto their global headquarters by the Thames in London as well as next to a Shell petrol station. The projections include the messages “They Profit We Pay”, “War Profiteers”, “At Least We are Making Billions”, “War Profits HQ” and “Making a killing”.

Equinor’s bumper quarter adds to energy industry profits

Equinor, the Norwegian energy giant, has reported adjusted operating income of £7.19 billion for the first quarter of 2026 as production hit a record high.

The company is handing £1.1 billion back to shareholders through buybacks this year, on top of a quarterly dividend approved this week.

Its CEO pointed to geopolitical instability and disrupted energy flows as factors driving strong results, the kind of global volatility that has pushed UK household energy bills up again.

Equinor is a central part of the UK energy market. Through its Adura joint venture with Shell it extracts fossil fuels from the North Sea. Through its long-term supply deal with Centrica it imports Norwegian gas directly. It is also the co-owner of the proposed Rosebank oil field, one of the most politically contested undeveloped projects in UK waters.

A spokesperson for the End Fuel Poverty Coalition commented:

“While millions of UK households face annual bills forecast to rise to nearly £2,000 from July, Equinor is posting more massive profits and handing millions to its shareholders through share buy backs and dividends.

“This company helps set the price we pay for our gas through its role extracting fossil fuels from the UK North Sea via a venture with Shell and through its deal with Centrica to import Norwegian gas.

“These results are a reminder of exactly who gains from the Iran conflict and the UK’s continued dependence on fossil fuels. The companies profiting from global market volatility are the same ones lobbying to lock households into an expensive and volatile energy system for decades to come, meaning profits flow to their executives and shareholders.

“What will make a real difference is breaking the link between electricity prices and gas markets, accelerating home insulation and clean heating while ensuring that the billions in profits made during this crisis are taxed and used to provide proper support for the households who need it most. That is the only route out of this continuous energy crisis.”

Tessa Khan, executive director of Uplift, said:

“Once again, oil giant Equinor – the UK’s biggest gas supplier – is raking in huge profits from a conflict that’s pushing up bills for everyone else.

“Like BP last week, these are unearned windfall profits driven by Trump’s war with Iran. Yet the industry still has the audacity to lobby the UK government for huge tax cuts.

“Equinor now wants to cash in even more by developing the Rosebank oil field, which would be a terrible deal for the UK. Rosebank wouldn’t lower our bills, most of the oil would be exported, and it would see the UK breach its climate commitments.

“This government must put the needs of the British public – for affordable energy and a safe climate – ahead of this Norwegian oil giant’s relentless pursuit of profit.

“The only way to protect ourselves from global energy shocks is to shift to renewables and help more households to switch away from oil and gas, with more support for solar, heat pumps and EVs. That makes a lot more sense in today’s world than continuing to allow a handful of oil firms, like Equinor, get obscenely rich at our expense.”

Oil prices surge as energy industry profits machine runs at full speed

Oil prices have surged past the $120 a barrel barrier and gas futures have started to climb again, as the ongoing blockade of the Strait of Hormuz continues to choke global energy supplies.

The latest market turbulence comes as BP and TotalEnergies this week reported bumper first-quarter profits, with both companies signalling that even larger gains are expected in the months ahead.

A spokesperson for the End Fuel Poverty Coalition commented:

“As oil prices surge, the energy industry’s profit machine is running at full speed.

“BP has reported underlying profits of £2.4 billion in the first quarter of 2026 alone, more than double the same period last year, while TotalEnergies has posted £4 billion in adjusted net income for the same three months.

“The energy industry is waiting for even more gains to come, as rising oil and gas prices feed through into second-quarter earnings.

“What makes this worse is that gas prices, which had shown some signs of easing in recent weeks, are now climbing again. UK gas futures are now 52% higher than this time last year, pushing up the wholesale prices that feed directly into household energy bills. This is not a temporary blip, it is the fossil fuel price rollercoaster in full motion, and millions of households will feel it in their bills.

“The case for Ministers using Windfall Tax revenues to help provide more emergency support for the households on heating oil and those least able to absorb these costs has never been stronger. But we also need to see the Government take faster action on electricity pricing reform to break the grip of gas markets on the bills of every family in the country.”

Ofgem set to get new powers to fight for consumers

Ministers plan to make major changes to give Ofgem new consumer protection powers.

These include a role for the regulator to enforce consumer law directly, meaning it will no longer need to go through a courts process to make sure customers get what they are owed if companies treat them unfairly.

Reforms to Ofgem’s remit to focus on economic and consumer protection and ensure every energy consumer is protected, including the ability to regulate in new areas of the market, such as heating oil and LPG.

Measures to ensure energy bosses are held accountable, with powers for Ofgem to ban their bonuses if they break the rules.

A spokesperson for the End Fuel Poverty Coalition, commented:

“The Government is right to give Ofgem more teeth, a broader role in regulating businesses across the energy sector and a clearer focus on ensuring the energy market works for consumers.

“Stronger enforcement powers, executive accountability and the ability to step in when the market fails are exactly what campaigners have been calling for. But Ministers must be clear that if the duties placed on Ofgem pull in different directions, vulnerable households must always come first.

“And of course, stronger regulation alone will not pay anyone’s energy bill. As part of the reforms, Ministers must stand ready to direct Ofgem to help bring down bills. This could mean delivering a social tariff for vulnerable customers, recovering excess network profits or tackling gas network ownership, market structures and technical processes that have for too long helped to skew the energy system in favour of energy giants.

“We look forward to working with ministers and officials to ensure that the new arrangements deliver for the millions of people who still cannot afford to heat their homes.”

Chancellor mulls £6bn tax cut for gas firms while slashing warm homes budget

Changes to the windfall tax being considered by Rachel Reeves in this month’s budget could see the oil and gas industry handed a £6 billion tax cut, whilst promised investment in energy efficiency to cut household bills is potentially going to be slashed by the same amount (£6.4bn).

With tax increases for working people also widely expected, any roll-back on funding for warm homes would represent yet another broken manifesto promise from this Chancellor, say campaigners.

According to media briefings reported by The Guardian, the Treasury is considering diverting funding from the £13.2 billion Warm Homes Plan — a programme designed to improve cold, damp homes and permanently lower household energy bills — in order to fund short-term energy bill support.

The proposed move would effectively cut the UK’s energy efficiency budget by 40% over five years by substituting parts of the Warm Homes Plan for existing schemes.

Meanwhile, proposals drafted by the oil and gas lobby group Offshore Energies UK, which are being considered by the Chancellor, suggest that removing the Energy Profits Levy at the end of this year, as the industry is pushing for, would lead to a tax loss of £6 billion to the UK Treasury over the next decade. [1]

The oil and gas industry has been lobbying hard for months to scrap the windfall tax in order to reduce their tax bill, despite the sector posting billions in profit, and companies like Shell reporting negative UK taxes last year.

In response to the proposed tax cut, Robert Palmer, deputy director of Uplift said:

“Oil and gas companies have made billions in recent years while millions of people in the UK have struggled with unaffordable energy bills. Worse, firms have chosen to hand these windfalls to overseas shareholders rather than reinvesting them to support UK jobs. To even be considering scrapping measures to cut household bills while cutting taxes for profiteering oil companies would be deeply unfair.”

Palmer also called out the poor economics of the basin and warned Reeves against propping up an industry that is only profitable because of the UK’s generous tax regime.

“The reality is the North Sea is in rapid decline, with most of the gas already burned – and what’s left is increasingly expensive to extract. New drilling is only viable if we hand out even bigger tax breaks to wealthy energy companies, taking money away from public services. Quite apart from the climate impact, it is economic lunacy to continue to allow drilling that would not be viable without the Treasury’s thumb on the scale.”

Simon Francis, coordinator of the End Fuel Poverty Coalition, commented:

“Giving tax breaks to fossil fuel giants and failing to collect tax from large corporations while cutting support for those in fuel poverty are short-term acts of weakness by the Chancellor.

“We obviously understand the urgent need to cut energy bills, but the Chancellor – who previously brought us the Winter Fuel Payment fiasco – is not thinking things through. Taking action to improve energy efficiency helps to cut bills in the long run, protect health and reduce our dependence on expensive fossil fuels.

“It’s entirely possible to bring down energy bills in a fair way — by improving insulation, reforming electricity pricing, and using public investment to upgrade our grid. Instead, we’re seeing the Government ignore long-term solutions while considering tax cuts to those who need them least.”

The latest data shows that around 12.1 million UK households are struggling with unaffordable energy bills, with 5 million of those in deep fuel poverty — spending over 20% of their income on energy.

Annabel Rice, senior political adviser at Green Alliance, said:

“If the government is serious about lowering people’s bills for good, they must invest in insulating our homes, not raid schemes that have helped families lower their energy costs to make their sums add up in the budget.

“We’ve seen more than five different insulation schemes from the government in recent years in England and they show us one thing: stop-start policies confuse homeowners, make jobs in this industry less viable and create uncertainty for investors. With almost nine million families in fuel poverty as winter approaches, it’s time for a fully funded, long term Warm Homes Plan.”

The Warm Homes Plan had been expected to support a wide range of upgrades including insulation, heat pumps, home energy advice, and local council-led retrofit schemes. It was announced as a cornerstone of the UK’s mission to reduce energy demand, support vulnerable households, and cut carbon emissions.

But experts warn that diverting its funds to cover existing schemes will drastically limit its impact, especially for households living in the worst conditions — and risks undermining the Government’s own statutory targets to end fuel poverty by 2030.

Jonathan Bean, campaigner at Fuel Poverty Action, said:

“The Government should be focussed on getting homes fixed, and replacing the failed Eco4 scheme with a well funded home upgrade program that delivers high quality work and guaranteed bill savings. We need a bigger investment in retrofit skills and quality control, not a budget cut that ends up in the pockets of the oil and gas giants.”

ENDS

[1] OEUK is calling for the windfall tax to be wound down early and replaced with a new tax regime, estimating it would unlock £40 billion in investment in oil and gas to 2034. Its analysis (on page 14 of OEUK’s proposals) shows that this would result in a £5.8bn reduction in tax receipts over that period. Its claim that total tax receipts out to 2050 would be up as a result of increased investment are speculative, given the high uncertainty around, for example, future oil and gas prices. This argument leans on the Laffer Curve without proving the UK Oil & Gas is over-taxed (given it continues to make vast profits), ignores that the North Sea is a declining basin, and assumes that cutting taxes will unlock huge new investment, production and revenues.

New report exposes energy firm profit bonanza in 2024

An investigation by Unite the union has found that energy firms made £30 billion in profits in just one year, every family paying around £500 on the average energy bill just to fund those profits. This is the second report to arrive at a similar figure, with the Common Wealth think tank suggesting profits make up 24% of an energy bill.

A spokesperson for the End Fuel Poverty Coalition, commented:

“At a time when energy debt is soaring and millions are living in cold, damp homes, it cannot be right that the system continues to prioritise corporate profits over people’s health and wellbeing.

“Instead of turning a blind eye or listening to the powerful lobbyists calling for a cut to the Energy Profits Levy, Ministers must make sure excess profits are clawed back and used to cut bills.

“With proper investment in reforming energy pricing, providing support with bills and a national Warm Homes Plan to upgrade our leaky housing, this Government could end fuel poverty for good.”

Energy industry profits hit half a trillion pounds while bills rise

Energy giants have pocketed over £500 billion in profits since the energy crisis started according to an updated analysis of company reports. [1]

Researchers working for the End Fuel Poverty Coalition examined the declared profits of firms ranging from energy producers (such as Equinor and Shell) through to the firms that control our energy grid (such as National Grid and UK Power Networks) as well as suppliers (such as British Gas).

As energy prices increase by 6.4% this week for households across the country, the analysis shows that almost half of the total profits since 2020 (£207bn) are generated by firms with extensive involvement in the gas industry.

The cost of every unit of gas used will surge by over 10% from 1 April, meaning the cost of gas is now double what it was in winter 2020/21. The cost of gas not only affects households’ ability to keep warm, but also sets electricity prices up to 40% of the time under energy market rules.

Also profiting are the firms and business units responsible for electricity and gas transmission and distribution. These are the “network costs” consumers pay for maintaining the pipes and wires of the energy system and are usually paid for through standing charges on energy bills.

But earlier this year, Citizens Advice found that these firms had made an estimated £4bn in extra profits after a “misjudgement” by regulator Ofgem. Previous research also found that the same firms underspent on vital grid improvements by almost £1bn.

A spokesperson for the End Fuel Poverty Coalition, commented:

“As energy prices remain at levels way above the 2020 benchmark, the energy industry is taking us for April fools. We need politicians and regulators to act to bring down energy bills now.

“This means radical reform of the electricity pricing markets, investment in homegrown renewables and taking on the vested interests of an energy industry which makes billions of pounds of profits every year at consumers’ expense.

“In addition, we need to see steps taken immediately to help households reduce energy consumption in a safe way, by improving energy efficiency of buildings. This is why MPs need to push the Chancellor to commit the full £13.2bn funding needed for the Warm Homes Plan through the Comprehensive Spending Review.”

Maria Carvalho, from Medact which represents frontline health workers, commented:

“The record-breaking profits of energy giants come at an unbearable cost to public health.

“Cold homes cause illness and drive patients into already overwhelmed NHS services, while energy debt traps families in a cycle of financial and mental distress.

“Every pound pocketed by these corporations is a pound that could have kept someone warm, well, and out of hospital. The government must act now to rein in energy profiteering and invest in a fair, sustainable energy system that protects health rather than harming it.”

Jonathan Bean from Fuel Poverty Action added:

“Without radical reforms, millions of us will continue to suffer and die in energy starvation due to inflated energy pricing. We are not getting the benefit of our increasing supply of cheap renewable energy.”

Warm This Winter spokesperson Caroline Simpson said:

“Frankly this is shameful. Whilst the whole of the UK struggles with ‘Awful April’ these energy profiteers are celebrating ‘Awesome April’ with their latest results showing they made over half a trillion pounds in profits since 2020.

“It’s incomprehensible in so many ways and plain wrong that a mere 20 companies have made so much money out of people’s misery. The industry can spare a few of their many billions to bring down bills, pay for energy efficient homes and switch from oil and gas to save the planet.

“Now more than ever, we need to give everyone in the UK the peace of mind that comes with having energy security from homegrown solar and wind so we’re not at the mercy of either profiteering oil and gas companies or hostile countries.”

ENDS

[1] The data was compiled from publicly available accounts and financial statements, using the best available measure of company profits. These measures differ from company to company due to reporting processes and regulatory requirements in different jurisdictions. In determining which measure of profitability to use, the research has prioritised the measure preferred in the company’s own accounts.

Full information available at: https://www.endfuelpoverty.org.uk/news/energy-firm-profits-tracker/ Data as at 21 March 2025.

The data was compiled by freelance business journalist David Craik. David’s experience has included writing business and city news and features for national newspapers and magazines such as The Daily Mirror, Sunday Times, Wall Street Journal, Scotsman and Daily Express. Much of his content focuses on company financial results and reports in the energy sector and on personal finance issues including wealth management, property, investing and managing household budgets and bills. If any firm wishes to correct the record, please email info@endfuelpoverty.org.uk.

Energy firm profits top £483 billion since start of crisis

Just 20 energy companies have made £483 billion in profits since the start of the energy bills crisis. [1]

While the full range of figures for 2024 have yet to be declared, profits this year amount to £9bn with another £77bn of interims also posted.

Recent Ofgem price cap changes have seen energy bills creep upwards with a further 1.2% increase due to come into force from 1 January 2025.

A spokesperson for the End Fuel Poverty Coalition, commented:

“While consumers have suffered in cold damp homes this winter, energy firms’ boardrooms have been celebrating further bumper profits.

“To add insult to injury, around a quarter of what is spent on heating our draughty properties is wasted, because the fact is that the UK has some of the worst insulated homes in Europe. Fuel poor households are literally seeing money fly out of their windows and into the pockets of the energy industry.

“We are repeatedly told that there is not enough money to provide support for older people with their energy or to roll out comprehensive programmes of insulation, these figures show this is simply not true. There is plenty of money in the energy industry, it’s just not in the hands of hard-pressed customers.”

The staggering sums are revealed in the End Fuel Poverty Coalition’s updated profit tracker which examines profits made by a sample of companies that include energy producers (such as Equinor and Shell) through to the firms that control our energy grid (such as National Grid, UK Power Networks and National Gas Transmission) as well as suppliers (such as British Gas). It does not include supply chains or market trading firms.

As recently as October, changes in the price cap meant that suppliers will be able to make an additional 11% in profits on every standard variable tariff. Analysis of these figures suggest that supplier profits allowed through the Price Cap could amount to c.£1.2 billion over the next 12 months, enough to cover the cost of Winter Fuel Payments for almost all pensioners. [2]

Warm This Winter spokesperson Caroline Simpson said: “We reckon it’s about time the energy industry stopped lining their own pockets and supported the estimated 8.8 million people that have spent Christmas in cold damp homes.”

A March 2024 Warm This Winter Tariff Watch report also called for improvements in transparency of the ownership of energy network and transmission firms after it found that British households had been boosting the profits of Chinese and Qatari Government-backed funds.

ENDS

[1] Researchers examined the declared profits of the 20 energy firms the End Fuel Poverty Coalition is most asked to comment on. This sample of the industry ranges from energy producers (such as Equinor and Shell) through to the firms that control our energy grid (such as National Grid, UK Power Networks and Cadent) as well as suppliers (such as British Gas). It does not include supply chains nor market trading firms. Previous updates have been published on:

The updated tracker is available at: https://www.endfuelpoverty.org.uk/news/energy-firm-profits-tracker/

[2] Ofgem Price Cap decision, p4 https://www.ofgem.gov.uk/sites/default/files/2024-08/Summary_of_Changes_to_Energy_Price_Cap_1_October_to_31_December_2024.pdf. EBIT allowance from 1 October 2024 is £44 per standard variable tariff customer per year. Ofgem state that 27m customers are on a standard variable tariff. £44 * 27m = £1.19bn.

Energy giants see £457 billion profits as consumers’ bills rise

Just 20 energy companies have made a staggering £457 billion in profits since the start of the energy bills crisis. [1]

As of the end of August, following 2024 interim results, profits have amounted to over £457 billion since just before the energy crisis started. £61 billion has been posted in profits this year alone.

Ofgem’s most recent Price Cap announcement indicated that energy bills will rise 10% from 1 October.

As part of this rise, the regulator indicated that suppliers will be able to make an additional 11% in profits on every standard variable tariff. Analysis of these figures suggest that supplier profits allowed through the Price Cap could amount to c.£1.2 billion over the next 12 months, enough to cover the cost of Winter Fuel Payments for almost all pensioners. [2]

Warm This Winter spokesperson Caroline Simpson said:

“There are clearly an obscene level of profits being made and now energy suppliers have been given the green light to make a further £1.2 billion which is enough to cover the Winter Fuel Payment allowance for all pensioners.

“That’s why the government is right to take suppliers to task and ask them how they plan to help customers of all ages get through the winter ahead.

“We agree with the Government that we need to invest in homegrown renewable energy and an extensive programme of insulation to end this vicious cycle of bill shocks and reliance on volatile fossil fuels.”

A March 2024 Warm This Winter Tariff Watch report also called for improvements in transparency of the ownership of these firms after it found that British households had been boosting the profits of Chinese and Qatari Government-backed funds as the cost of the gas network has surged 38%.

A spokesperson for the End Fuel Poverty Coalition added:

“As we’ve said all along, there is plenty of money in the energy system, but it never ends up in the hands of consumers who are struggling to pay their energy bills.

“Millions are now in energy debt, pensioners have had their Winter Fuel Payments taken away and yet shareholders are seeing returns running to the billions of pounds every year.

“The Government must step in to end this unfairness, bring about an end to energy debt, an extension of Warm Home Discounts and restore Winter Fuel Payments to more pensioners.”

The Warm This Winter campaign is urging the public to join more than 4,500 people in writing to their MP or signing the 38 Degrees or Age UK petitions.

ENDS

[1] The updated tracker is available online at https://www.endfuelpoverty.org.uk/news/energy-firm-profits-tracker/

Further energy firm profits set to be announced

Further energy firm profits will be announced this week as new Ministers are still to set out the measures that will be taken to keep households warm this winter.

Iberdrola (owners of Scottish Power), Equinor, Centrica (British Gas), EDF and Drax are all expected to post financial results this week.

A tracker that monitors the declared profits of firms ranging from energy producers through to the firms that control our energy grid as well as suppliers suggests that these five firms alone have profits running well into the hundreds of millions in recent years.

Warm This Winter spokesperson Fiona Waters said:

“Frankly it is just obscene. In fact it’s hard to grasp the mind boggling sums involved but it equates to global energy fat cat corporations making a billion pounds each week under the last government since the energy crisis started three years ago.

“That is why we have to bring back fairness and introduce a proper tax on all companies profiteering in the energy sector while six million people in the UK are living in fuel poverty, facing a stark choice between heating and eating.

“We welcome the new government’s pledge to prioritise lowering energy bills as part of the green energy transition, they have inherited a broken energy system but we must see urgent action to support struggling households through the next winter.”

In total, energy corporations have made nearly £427 billion in profits since the energy crisis according to the analysis of company reports to June this year.

A spokesperson for the End Fuel Poverty Coalition added:

“These figures show that there is plenty of money in our broken energy system. But rather than this money being used to help people struggling in cold damp homes and with the record cost of energy, the cash is being used to line the pockets of energy firms.

“As households struggle in energy debt and even turn to illegal money lenders, new ministers must step in. We need to ensure the most vulnerable households are protected with a more comprehensive warm homes discount, action to bring down energy debt and the Treasury must draw a line in the sand to stop this profiteering.”

Tessa Khan, executive director of Uplift added:

“The UK’s high dependence on expensive gas is why millions are still struggling with unaffordable energy bills. Energy companies obviously want to lock us into oil and gas for years to come to keep the profits rolling in, but the only way to reduce bills is to insulate homes and switch to homegrown renewable energy. We need to see the government now deliver on its commitment to move us off oil and gas and onto a better, fairer energy system.”

The energy industry profit tracker will be updated again at the end of the summer.

ENDS

Data extracted from the Energy Firm Profits Tracker. EDF has claimed that since 2018, the firm has invested double what it has made back into Britain, investing £2 for every £1 it has made. In 2023 EDF spent £3.6bn strengthening the country’s energy security and boosting jobs, compared to £3.4bn profit from the UK business.