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EU officials scrap plans to choke off funds for Ukraine war with price cap on Russian gas 

EU officials scrap plans to choke off funds for Ukraine war with price cap on Russian gas

  • Last night, Eurocrats ditched plans for a proposed price cap on Russian gas
  • Putin threatened to rip up existing contracts and turn off the taps to Europe
  • Russia now supplies less than 10% of the EU’s gas imports before it was 4%

Eurocrats last night scrapped plans to choke off funds for Vladimir Putin’s war in Ukraine when they ditched a proposed price cap on Russian gas.

European Commission officials had briefed last week that EU governments would back a blueprint aimed at preventing Moscow from weaponising energy supplies. But the bloc remains divided on the idea, which is backed by France and Poland, but opposed in countries such as Austria, Germany, Hungary, and Slovakia.

It forced Commission chief Ursula von der Leyen to axe the price cap in favour of a windfall tax on the profits of energy giants benefiting from higher prices that she said would raise £120billion. ‘It is wrong to receive extraordinary record profits benefiting from war and on the back of consumers,’ she said.

Eurocrats last night scrapped plans to choke off funds for Vladimir Putin’s war in Ukraine when they ditched a proposed price cap on Russian gas. Before the invasion Russia supplied 40 per cent of the EU’s gas imports – that figure is now less than 10 per cent

Mrs von der Leyen also said that the EU executive would prepare new proposals for wartime-style rationing of electricity. Brussels says the money raised by the windfall tax will help households and businesses across the continent struggling with inflation and surging bills.

But it raises the prospect that some EU governments will continue to funnel money into the Kremlin’s coffers. The bloc has paid £78billion for Russian fossil fuels since the start of the war, say experts.

However, Russia now supplies less than 10 per cent of the EU’s gas imports. Before the invasion, the figure was 40 per cent.

Romanian MEP Christian Terhes said: ‘Eurocrats are playing Russian roulette with Ukrainian lives.’

Putin threatened to rip up existing contracts and turn off the taps to Europe completely after the price cap plan was first announced.

State energy giant Gazprom went as far to put out a bizarre propaganda video showing snow-covered European capitals, including London, and warning of a possible freeze this winter.

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Read more at DailyMail.co.uk