Energy price surge squeezes Europe economy

Executive Director of the International Energy Agency Fatih Birol speaks Wednesday, Nov. 13, 2019 in Paris. The head of the International Energy Agency has blamed Russia for much of Europe’s ongoing natural gas crisis. Fatih Birol said Wednesday, Jan. 12, 2022 that high prices and low storage levels largely stem from the behavior of state-owned gas supplier Gazprom. - AP

LONDON: Soaring energy prices are putting the squeeze on European consumers desperate for some relief after two years of coronavirus, lockdowns and job worries.

The financial pain is taking a toll on households, who are more worried about prices than at any time this century, and feel less inclined to splurge, according to a European Commission survey. If demand suffers as a result, that has implications for how quickly the economy can fully recover from the destruction brought by the pandemic.