Orkney and Shetland MP, Alistair Carmichael, has today called for the Government to cancel plans to hike the average household energy bill by £500 in April, and bring in a tax on the “bonanza bonuses” of oil and gas bosses.
The party is calling for cuts to people's bills instead, combined with a new energy support package for businesses and public enterprises.
Liberal Democrat plans would mean that in the Northern Isles the average household would be £377 better off. Cumulatively, families in the isles would save £12.1m under Lib Dem proposals.
Nationally, the Liberal Democrats have set out their plan to tackle the energy crisis including:
Mr Carmichael said:
“The Conservatives’ plan to hike energy bills in April will come as a hard hit to families in the isles who are already struggling with squeezed incomes, food prices and tax rises. With inflation still running north of ten percent that is a price hike few will be grateful for.
“Far too much of the support that has been given to families has been late in coming and confusing in the implementation. To cut off support even as households are still waiting for some delayed payments risks leaving people entirely in the dark. We need more certainty and a more thoughtful response from the government.”
Liberal Democrat Leader Ed Davey added:
“Rishi Sunak must act now to save families from a cost-of-living cliff edge, by cutting energy bills instead of increasing them. People deserve a fair deal – with a large cut to their energy bills, paid for by a proper windfall tax and a one-off levy on the bonuses of oil and gas bosses.”
Notes to Editors:
The Liberal Democrat plan would mostly be funded through money already budgeted for energy support, but now unspent due to falling energy prices. Additional funds would be raised by a proper windfall tax on the record profits of oil and gas companies, including scrapping the fossil fuel investment loophole and raising the rate of the windfall tax from 35% to 40%. This could raise at least £15 billion more than the government’s current Energy Profits Levy.