As the UK caretaker government has no concrete policy on how to deal with the energy price crisis, a range of views have been received from prime ministerial candidates, opposition parties and others. Here are the main offers:
Boris Johnson’s government
With his promise not to make any major political or financial decisions, Downing Street is limited in what he can do while Johnson himself has been largely absent over the summer. Last week, the Prime Minister attended a meeting with the energy company’s owners, after which Johnson said he would “push” the electricity sector to keep bills down.
The Conservative leadership’s lead candidate has turned his attention to tax cuts and pledged to reverse recent Social Security growth. The only concrete help he proposes for energy bills is the suspension of the green tax, which would save the average household around £150 a year. The association did not rule out further aid, but repeatedly emphasized that it preferred tax cuts, which, however, would help the higher earners disproportionately, pensioners and the non-employed nothing. Will do.
The former chancellor has partially pledged to stand by the aid he unveiled during his reign and said last week he would reduce VAT on energy bills at the expense of around 5 billion poor families.
Under a plan officially unveiled late Sunday, the party will spend £29 billion with a six-month plan that will stabilize energy prices at the current ceiling before raising them in October. This would help all households, even the wealthy ones, but Keir Starmer has argued that it would bring reassurance and help curb inflation, thus helping those with other bills. This is partially paid for by an extended windfall tax for energy producers.
In a very similar plan – announced a week earlier – the party called party leader Sir Ed Davey the “energy holiday scheme” which would freeze bills and also be funded by a broad windfall tax.
Announced last week in the absence of a formal job offer, the pre-PM plan, revealed in the Guardian, would mean preventing further increases in the price cap, negotiating prices with individual companies at bill level and the possibility of temporary nationalization for utilities that couldn’t keep their bills down based on what happened to some banks after the 2009 financial crash.