4 August 2008
The government is considering imposing a windfall tax on gas and electricity suppliers amid concern over rising energy prices. EDF Energy and British Gas have both announced increases in the cost of their gas and electricity, with other companies expected to follow suit. At the same time energy firms have announced large profits, which has angered many consumer groups and triggered calls for a one-off tax to be levied this autumn. Ministerial sources have confirmed that Chancellor Alistair Darling is examining the merits of such a move. The money raised would be pumped into social assistance programmes to help pensioners and low-income families facing fuel poverty ahead of winter. But critics of the proposals claim any levy is likely to be passed onto consumers, resulting in yet higher gas and electricity bills. Meanwhile, to limit the impact of rising prices, uSwitch.com has advised consumers to cut back on their energy consumption as much as possible and to ensure they are paying the cheapest price for what they are using.
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