Install new PM immediately ‘for the good of the nation’, energy boss warns

Rivals urged to act to ease pressure on tens of millions of households

The next prime minister should be installed within days so they can grip the energy price crisis “for the good of the nation”, the boss of a leading electricity and gas supplier has warned.

Utilita chief Bill Bullen called on the Conservatives to end their leadership contest early because consumers “cannot wait” another two weeks.

As household bills spiral, the watchdog Ofgem is set to announce another higher price cap on Friday.

If the prices rises seen had happened in other sectors punters would be paying £25 for a pint of beer, another energy boss told BBC Radio 4’s Today programme, as ministers were accused of letting customers pay the price of the war in Ukraine.

Mr Bullen told BBC Radio 4’s Today programme: "All through the summer, we’ve been hearing about customers in distress, customers who are worried that they’re not able to heat their homes over this coming winter.

"That’s why we’re saying to the Government, you’ve got to take this decision to freeze prices at their current level right now.

"This cannot wait until the 5th or 6th of September. The Conservative Party needs to sort themselves out, decide who the leader is going to be this week, so that the Ofgem announcement on the 26th doesn’t have to happen. That is such an imperative.

"Frankly, for the sake of the nation, I think the Conservative Party need to sort their leadership contest out quicker than they’re currently planning to do it. Then at least we will take away the stress of this winter coming up for tens of millions of households."

His demand will place pressure on the former chancellor Rishi Sunak to drop out.

He is widely thought to be trailing his rival Liz Truss in the race for No 10.

Mr Sunak’s supporters insist that is not the impression they are getting as they travel the country campaigning and insist he will stay in the contest until its conclusion.

As Mr Bullen was making his call, one of Mr Sunak’s supporters predicted Ms Truss’s plans could lead to civil unrest this winter unless households are given more help to pay their energy bills.

Kevin Hollinrake said there would be people "on the streets" without extra support.

He told Sky News that the foreign secretary’s plans to cut taxes would provide only an extra "pound a week" to the poorest households, while giving those like his £30.

"It is simply not right," he added.

"These people are going to be on the streets. Things are going to be that bad for some households."

Greg Jackson, founder and chief executive of Octopus Energy, said a number of energy companies went bust last year because gas prices roughly doubled. “They’re currently nine to 11 times higher than usual,” he added.

“To put that in perspective, if this was beer, we’re talking about the wholesale price being £25 a pint.

“People don’t know what a therm is, but, underneath it, the price per therm has gone from 60p to around £5 at the moment and that’s what’s passing through to customers if we don’t do something.”

He said: “There are systemic issues. There are loads of questions of how we pay for this. One thing we can’t do is be expected to pass those costs on to consumers.”