Friday, 12 August 2022
Don't Spend It All At Once
Keir Starmer and Rachel Reeves want to cut VAT on energy. Not abolish it, as Rishi Sunak would. Just trim it a bit.
They also want to ban the higher tariffs charged by prepayment meters. Ever since I was a student with a lecky key, under a Labour Government, I have wondered why the poor had to buy electricity in advance while the rich got to pay for it after they had used it.
Although the Parliamentary Labour Party would never have passed it in practice, banning those tariffs was Labour policy from 2016 until Starmer declared Year Zero.
In any case, Reeves has done what she does and added the provision that the eye-wateringly profitable energy companies would be compensated for it out of the public purse.
All in all, Labour would save you 15p per day. Be careful not to go wild with it. We would not wish to fuel inflation.