Ex-PM calls for excess profit tax on big energy firms

Post by Kevin Jackson on 23rd October 2013 in General industry, Energy saving

Ex-PM calls for excess profit tax on big energy firms

The UK government will have to step in to stop families in the poorest areas of the country from having to choose between eating and keeping their homes warm this winter.

That is a warning given by former British Prime Minister, Sir John Major, in the face of recent announcements by the 'big six' energy companies of price rises of up to 10 per cent.

He told people attending a lunch in Westminster: "When the private sector goes wrong or behaves badly I think it is entirely right to make changes and put it right.

“It is not acceptable to me, it ought not to be acceptable to anyone, that many people are going to have to choose between keeping warm and eating.”

In the event of a spell of particularly cold winter weather, he suggested that the government might aim to limit rises imposed by energy suppliers, by threatening to impose a 'windfall tax' on their profits.

The government was quick to disassociate itself from Mr Major's comments, but at the same time, it did not completely rule out his proposal.

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