Tag Archives: cost of living

This afternoon, Ed Davey will give a major speech at the Institute for Public Policy Research in London.

We’re used to hearing from the right that our high energy prices are all to do with nasty net zero. Ed will tackle that nonsense

As an alternative, he will set out a plan to dramatically slash bills for families and businesses still struggling through a cost-of-living crisis.

He will call for “a Liberal Democrat energy policy in service of the British people, not a Nigel Farage energy policy in service of Vladimir Putin”.

He will set out a plan to break the link between gas prices and electricity costs, so people get the benefits of cheap, clean power. As well as accelerating investment in cheap renewable power and home insulation, the plan would move older expensive renewable projects to cheaper Contracts for Difference – which were pioneered by Ed Davey when he was Energy Secretary. Experts have estimated that this move alone could cut bills by around £200 a year for a typical household.

Here are some snippets that the party has released ahead of the speech:

After nearly a decade of criminally negligent energy policies under the Conservatives, that pushed up everyone’s bills, I believe the right policies now could cut energy bills in half – at least – within ten years.

That should be the goal. Nothing less. A Liberal Democrat energy policy in service of the British people. Not a Nigel Farage energy policy in service of Vladimir Putin.

On the sky-high bills facing families and businesses

Families and pensioners are being clobbered with bills that are still more than £50 a month higher than they were five years ago. So many people, who were already struggling to make ends meet, having to find an extra £50 a month – just to keep the lights on, or keep their homes warm this winter.

And businesses are suffering too. Even with the welcome extra help promised in the new Industrial Strategy, parts of British industry will continue to face some of the highest electricity prices in the OECD. We have to get those prices down – to boost living standards and grow our economy.

Addressing the myths peddled by the likes of Farage and Badenoch:

The narrative – seized upon by Nigel Farage and Kemi Badenoch – says the reason energy bills are so high is that we’re investing too much in renewable power. And if we just stopped that investment – and relied more on oil and gas instead – bills would magically come down for everyone.

The experience of record high gas prices in recent years shows that’s not true. And even when gas prices are softer, the long history of volatility in fossil fuel prices means it’s only a matter of time before high prices return. So we know that tying ourselves ever more to fossil fuels would only benefit foreign dictators like Vladimir Putin – which is probably why Farage is so keen on it.

But refusing to engage hasn’t stopped his myths from spreading, from gaining traction in the new world of fake news. So we must change that.

On breaking the link between gas prices and electricity costs: