With projections showing the cost of living crisis is set to
worsen, Labour today reveal a new package to ease the pressure on
household energy bills.
Claiming the government is leaving families out in the cold, the
party today reveal how theirlong-term plans for clean
power and retrofit could save households up to £1,400 off their
annual bills, not just for one year, but for years to
come.
And they also set out a package to ease the immediate
costs on households expected in April. That package
would be paid for by bringing in a proper one-off windfall tax on
energy giants – which Labour says the government has so far
failed to do, and it would mean:
- A new measure to pass on savings to households immediately,
by stopping the energy price cap going up from April. Right now,
government plans expose households to a major new spike in prices
in April.
- A new “insulation jump start” – a pot of funding that the
government could use right now to supercharge home insulation
across the country, saving families hundreds off their bills.
- Ending the scandalous penalty imposed on prepayment meter
customers, saying they will ensure customers do not pay more than
those paying by direct debit, alongside a 3 month moratorium on
the forced installation of pre-payment meters.
- Offering off-grid households equivalent support, with funding
available for households in Northern Ireland.
It follows Labour’s call this week for the government to
rule out a fuel duty rise at the Budget, if OBR projections show
it’s affordable.
If there is additional headroom in the upcoming Budget, the party
is calling for it to go towards the cost of living crisis as a
priority, starting by ensuring that fuel duty will not rise in
the Budget.
Labour’s Shadow Chancellor will outline the package
during her keynote speech at the Fabian’s Conference this
(Saturday) morning and is expected to
say:
“Millions of households are still looking to a 40 percent
increase in their energy bills, in April.
“On a week when temperatures fell below zero, I know many
families and pensioners will be feeling the pressure particularly
acutely.
“And at the same time, energy companies continue to enjoy record
profits.
“That cannot be right.”
Talking about Labour’s long-term plans that could save
households up to £1,400 off annual bills she will
say:
“Sticking plaster politics is not enough.
“We cannot persist with walking into a crisis
unprepared, and at the last minute producing hugely
expensive fixes to get us through, while the underlying
problems – those weakened foundations – remain
untouched.
“That is why Labour has a plan to reach one hundred percent clean
power by 2030 and retrofit millions of homes.
“These policies could save a typical household up to £1,400,
generating savings not just for one year but for every year to
come.”
Talking about Labour’s immediate cost of living package
she will say:
“We would hold to that most basic of principles:
“That those who have profited from the windfalls of war should
shoulder their share of the cost, so ordinary people do not
have to bear the brunt of a crisis that they did not
cause.
“We will extend the windfall tax, closing the fossil fuel
investment loophole, and taxing oil and gas profits at the
same rate as Norway.
“By backdating this from the start of 2022 - when oil and
gas giants were already making historically large profits
- we can raise more than £13bn.
“A Labour government would pass those savings onto families
immediately to keep energy bills down this year.”
Ends
Notes
Please find a background policy briefing attached to this email.
