E.ON rakes in eye-watering £1.2BILLION in profit as urgent demands soar for slash on VAT

The German utility company said it booked a quarterly net profit of £1.2 billion. This was down from £1.48billion in the year-earlier period. Adjusted earnings before interest and taxes were £1.8 billion compared with £1.28 billion the previous year, while sales for the quarter rose to £19.72 billion from £12.37 billion.

It comes at a time when households are struggling to cope with soaring energy bills. 

Pressure is growing on the Government to slash VAT on gas and electricity bills. Labour MP Bridget Phillipson said the energy crisis is “deeply, deeply worrying” and that a Labour government “wouldn’t have let things get to this point in the first place”.

She said: “We’ve known that this has been coming and we think we should cut VAT on gas and electricity bills to deliver immediate support to families and pensioners.”

Ms Phillipson said “we’re getting to a very different and difficult point in this crisis”.

Energy sector bosses are set to take part in crisis talks with Chancellor Nadhim Zahawi and Business Secretary Kwasi Kwarteng as the price cap was forecast to hit more than £4,200 in January.

In a new dire outlook for households, Cornwall Insight said bills are set to soar to around £3,582 in October, from £1,971 on Tuesday, before rising even further in the new year.

There has been widespread anger at Shell, BP and British Gas owner Centrica announcing bumper financial result.

The Government has already promised £400 to every household and extra help for the more vulnerable.

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