British budget grocery chain Iceland Foods saw its debt bounce off recent lows after it emerged that incoming UK Prime Minister Liz Truss is finalizing plans for a £40 billion ($46 billion) support package to lower energy bills for British businesses.
(Bloomberg) —
British budget grocery chain Iceland Foods saw its debt bounce off recent lows after it emerged that incoming UK Prime Minister Liz Truss is finalizing plans for a £40 billion ($46 billion) support package to lower energy bills for British businesses.
Iceland’s £550 million of bonds maturing in March 2025 rose by as much as 1.8 pence on the pound to a cash price of 75.75, Bloomberg data showed, moving further away from last week’s low of 73.10.
Last month, ratings agency Moody’s Investor Service cut Iceland’s credit rating and warned of further downgrades to come because of high energy costs and the impact of inflation on consumer spending. Iceland is especially exposed to refrigeration costs for its predominantly frozen food products.
Truss has also drafted plans to fix annual electricity and gas bills for a typical UK household at or below the current level of £1,971, a measure that would ease pressure on consumers.
Truss Drafts £130 Billion Plan to Freeze UK Energy Bills
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