London Daily

Focus on the big picture.
Tuesday, Aug 05, 2025

Sunak scraps Truss plan for state to buy energy from foreign producers

Sunak scraps Truss plan for state to buy energy from foreign producers

The Energy Supply Taskforce set up by Liz Truss during her brief premiership is being scrapped as ministers abandon a plan to intervene directly in global gas markets.
The Energy Supply Taskforce set up by Liz Truss during her brief premiership is being scrapped as ministers abandon a plan to intervene directly in global gas markets,

Rishi Sunak has abandoned his predecessor's plan to intervene in global energy markets by spending billions of pounds on foreign gas imports.

Sky News has learnt that Liz Truss's Energy Supply Taskforce (EST), which was launched in September, is being scrapped.

Headed by Madelaine McTernan, who was director-general of the government's COVID-19 Vaccine Taskforce, the energy supply initiative was set up to strike long-term deals aimed at bolstering Britain's domestic energy security.

It came after the turmoil in energy markets triggered by Vladimir Putin's invasion of Ukraine sparked record prices for British consumers, exacerbating the cost-of-living crisis.

Industry sources said this weekend that locking taxpayers into long-term contracts potentially lasting up to 20 years at current high prices had been rejected by Mr Sunak's team.

In a statement in early September, Ms Truss's administration said the EST had "begun negotiations with domestic and international suppliers to agree long-term contracts that reduce the price they charge for energy and increase the security of [UK] supply".

Ms Truss's aides described it at the time as a flagship reform which underlined her determination to get a grip on the UK's energy crisis.

In mid-October, Sky News revealed that Whitehall officials were in talks with US-based companies including Cheniere and Venture Global, both of which are big players in the liquefied natural gas sector.

One insider said the government had been in talks with "a broad range" of potential suppliers.

Ms Truss's ill-fated premiership ended just weeks later, however, prompting a review by her successor of her plan to intervene in energy markets.

Responding this weekend to an enquiry from Sky News, a government spokesman said: "While the government is continuing these efforts and remains completely committed to strengthening our energy resilience, we have concluded that direct purchases of gas are not the best intervention in the market."

Earlier this month, Mr Sunak and the US President Joe Biden unveiled the UK-US Energy Security and Affordability Partnership, an initiative that both governments said would focus on reducing dependence on Russian energy exports.

A Whitehall source said on Saturday: "Winding down the taskforce is the right decision - while it was sensible in September for the previous administration to explore these contracts, locking-in long term contracts while gas prices are this high just doesn't make sense.

"It was also only ever just one option on the table - there's a whole range of other actions we're taking now to boost the UK's energy resilience, including a new £1bn energy efficiency scheme, financial backing for Sizewell C and reintroducing the Energy Security Bill to parliament."

Nevertheless, the decision not to press ahead with Ms Truss's plan will raise renewed questions about the country's long-term energy security.

Earlier this month, ministers approved the Government Investment Decision to commit £700m to the development of the Sizewell C nuclear power station.

British imports of LNG accounted for 17% of the gas supplied to the UK through production and imports last year, according to data published by the Department for Business, Energy and Industrial Strategy.

The government has also acknowledged in recent months that it has been seeking long-term deals with foreign states understood to include Norway and Qatar - sparking concerns that Britain would pay a 'security premium' in exchange for guaranteed supplies.

The decision to disband the energy taskforce comes as Jeremy Hunt, the chancellor, is reported to be contemplating extending energy bill subsidies beyond the original March deadline.

Companies in numerous sectors including hospitality have complained that energy costs combined with broader inflationary pressures and souring consumer sentiment have left them on the brink of ruin.
Newsletter

Related Articles

0:00
0:00
Close
Elon Musk Receives $23.7 Billion Tesla Stock Award
Texas House Paralyzed After Democrats Walk Out Over Redistricting
Mexican Cartels Complicate Sheinbaum’s U.S. Security Talks
Mark Zuckerberg Declares War on the iPhone
India Rejects U.S. Tariff Threat, Defends Russian Oil Purchases
United States Establishes Strategic Bitcoin Reserve and Digital Asset Stockpile
Thousands of Private ChatGPT Conversations Accidentally Indexed by Google
China Tightens Mineral Controls, Curtailing Critical Inputs for Western Defence Contractors
OpenAI’s Bold Bet: Teaching AI to Think, Not Just Chat
Tesla Seeks Shareholder Approval for $29 Billion Compensation Package for Elon Musk
Nvidia is cutting prices on its RTX 50-series graphics cards after sales slowed and inventories piled up
Ghislaine Maxwell Transferred to Minimum-Security Prison Amid Ongoing DOJ Discussions
U.S. Tariffs Surge to Highest Levels in Nearly a Century Under Second Trump Term
Matt Taibbi Slams Media for Role in Russiagate Narrative
Pilots Call for Mental Health Support Without Stigma
All Five Trapped Miners Found Dead After El Teniente Mine Collapse
Ong Beng Seng Pleads Guilty in Corruption Case Linked to Former Singapore Transport Minister
BP’s Largest Oil and Gas Find in 25 Years Uncovered Offshore Brazil
Italy Fines Shein One Million Euros for Misleading Sustainability Claims
JPMorgan and Coinbase Unveil Partnership to Let Chase Cardholders Buy Crypto Directly
Declassified Annex Links Soros‑Affiliated Officials and Clinton Campaign to ‘Russiagate’ Narrative
UK's Online Safety Law: A Front for Censorship
Nationwide Protests Erupt in Brazil Demanding Presidential Resignation
Parents Abandon Child at Barcelona Airport Over Passport Issue
Mystery Surrounds Death of Brazilian Woman with iPhones Glued to Her Body
Bus Driver Discovers Toddler Hidden in Suitcase in New Zealand
Switzerland Celebrates 734 Years of Independence Amid Global Changes
U.S. Opens Official Investigation into Former Trump Prosecutor Jack Smith
Leaked audio of Canada's new PM Mark Carney admitting the truth about the Net Zero agenda: "We're gonna make a lot of money off of this."
China Enforces Comprehensive Ban on Cryptocurrency Activities
Absolutely 100% Realistic EVO Series Doll by EXDOLL (Chinese Company) used mainly for carnal purposes
World Economic Forum founder Klaus Schwab: "In this new world, we must accept... total transparency. You have to get used to it. You have to behave accordingly. But if you have nothing to hide, you shouldn't be afraid."
Meet Mufti Hamid Patel, head of Office for Standards in Education in Pakistan
George Soros tells the World Economic Forum: "President Trump is a con man and the ultimate narcissist, who wants the world to revolve around him."
Hamas are STARVING the hostages.
Decline in Tourism in Majorca Amidst Ongoing Anti-Tourism Protests
British Tourist Dies Following Hair Transplant in Turkey, Police Investigate
Poland Begins Excavation at Dziemiany After New Clue to World War II‑Era Nazi Treasure
WhatsApp Users Targeted in New Scam Involving Account Takeovers
Trump Threatens Canada with Tariffs Over Palestinian State Recognition
Trump Deploys Nuclear Submarines After Threats from Former Russian President Medvedev
Trump Sues Murdoch in “Heavyweight Bout”: Lawsuit Over Alleged Epstein Letter Sets Stage for Courtroom Showdown
Germany Enters Fiscal Crisis as Cabinet Approves €174 Billion in New Debt
Trump Administration Finalizes Broad Tariff Increases on Global Trade Partners
J.K. Rowling Limits Public Engagements Citing Safety Fears
JD.com Launches €2.2 Billion Bid for German Electronics Retailer Ceconomy
Azerbaijan Proceeds with Plan to Legalise Casinos on Artificial Islands
Former Judge Charged After Drunk Driving Crash Kills Comedian in Brazil
Jeff Bezos hasn’t paid a dollar in taxes for decades. He makes billions and pays $0 in taxes, LEGALLY
China Increases Use of Exit Bans Amid Rising U.S. Tensions
×