Negative wind subsidies help cash-strapped UK energy suppliers

The Contract for Difference mechanism is easing the big squeeze on retailers

The UK government is facing a political crisis over soaring energy bills. The next increase in the retail price cap in April promises to be brutal: average household bills will rise by around 50% to £2,000 per year, and could hit £2,300 in October. Ministers are scrambling for ways to square the circle of alleviating suppliers’ ballooning wholesale cost…