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'Pay For Green Subsidies through Taxation'

Tuesday, November 21, 2017

GMB WELCOMES BRITISH GAS CALL FOR BURDEN OF GREEN SUBSIDIES TO BE PAID FOR OUT OF GENERAL TAXATION

Electricity is a natural monopoly and now the public are being ‘had over’ by paying twice through spiralling consumer energy bills and taxpayer hand outs.

GMB, the union for energy workers, welcomes a call by British Gas for the burden of green subsidies taken off energy bills and paid for by general taxation.

Iain Conn, chief executive of Centrica, which owns British Gas, says ‘green taxes’ are the main cause of rising household bills and wants the Government to meet the costs from general taxation. [1]

GMB has long argued charging energy customers for green initiatives amounts to a regressive form of taxation. [2]

Meanwhile the Office for Budgetary Responsibility (OBR) predicts that the surcharge the UK's 27m households already pay is set to as much as treble over the next 4 to 5 years to £10 per week. [3]

Stuart Fegan, GMB National Officer for Energy, said:

“Where energy subsidies of any sort can be shown to be justified and in the public interest, it’s clear they should be paid for out of general taxation.

“Hiking hard up customers’ energy bills is nothing more than an unfair and regressive green tax.

“Green subsidies on everybody’s energy bills are set to treble within 5 years to £10 per week. 

“GMB is calling for this to be paid for through general taxation along with an urgent investigation into the wind power ‘racket’ that is lining the pockets of big companies at the expense of every single energy bill payer and household in the country.[4]

"Electricity is a natural monopoly and now the public are being ‘had over’ by paying twice through spiralling consumer energy bills and taxpayer hand outs.

"Each of the 27 million households in Britain has already had to ‘cough up’ to wind farmers for not producing any electricity, and that may be just the tip of the iceberg.”

ENDS

Contact: Stuart Fegan on 07912 890434 or GMB Press Office on 07958 156846 or at press.office@gmb.org.uk

Notes to editors:

[1] https://www.ft.com/content/32c6e7dc-cdea-11e7-b781-794ce08b24dc

[2] 'Renewables Should Be Funded Through Taxation'

Tuesday, August 22, 2017

Every single one of the 27 million households in Britain has already had to fork out to wind farmers for not producing any electricity and that may be just the tip of the iceberg says GMB.

Read more: http://www.gmb.org.uk/newsroom/renewables-funded-taxation

[3] Economic and Fiscal Outlook Office for Budget Responsibility (OBR), page 104, Environmental Levies, March 2017 http://cdn.budgetresponsibility.org.uk/March2017EFO-231.pdf

[4] ‘Wind farms that lie idle and get millions’

(Times, 13 August 2017)

https://www.thetimes.co.uk/article/wind-farms-that-lie-idle-and-get-millions-5kfgm8bd8
 

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