Inflation and Energy Prices
Inflation is back. Prices of petrol, food, electricity and gas are rocketing. Many families are finding problems making ends meet.
What can be done to help?
The most immediate tool Governments have is tax. Tax cuts, targeted on those struggling on low and middle incomes, are now vital.
Of course, tax cuts must be affordable. That won’t be easy given the hole the Government has made in the public purse. However, in hard times, it’s only right Government tightens its belt. It could start by stopping its most expensive schemes like ID cards.
Government should act also to relieve particular problems – especially rises in energy bills. Experts say gas and electricity prices could rise by an extra 50% this winter.
So I would like to see a camp aign to help people save money, and the environment - with a huge new effort to promote energy efficiency.
There are schemes out there now – locally, we have “Coldbusters”, which offers 100% grants for up to £4,000 for energy efficiency works – ring 020 8547 5535 for details.
Yet such schemes are restricted in who can apply and how much is available each year. So if we are serious in helping as many people as possible cut energy bills – and serious about tackling climate change – we need a massive home energy efficiency programme.
And it’s clear who should pay – the energy companies. They have received a £9 billion windfall, from a new Europe-wide scheme to cut carbon dioxide emissions. Government should require them to invest part of the windfall in helping people save energy, and save money.
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