Record Energy Prices - Fabian Hamilton calls for a winffall tax unless fuel prices are reduced

Early Day Motion
Record energy prices, windfall profits, fuel poverty & government intervention

This Early Day Motion tabled by Fabian Hamilton and supported by the Compass Group of Labour MPs has now been signed by over 100 Members of Parliament (16:30 Monday 15th December 2008) and is attracting wide interest.

That this house notes with grave concern average annual spending on energy per household has breached £1,200; that energy providers' profits have risen from £557 million in 2003 to over £5,000 million today; that these companies are receiving unearned profits and that the new price rises could increase those in fuel poverty beyond six million people; that the government's energy package of long-term measures worth £900 million over 3 years is welcomed, but that given the huge price increases this will not go far enough to end fuel poverty; that the government is legally bound to do all that is reasonably possible to eradicate fuel poverty for vulnerable households by 2010; furthermore, despite the recent sharp falls in the oil price, these decreases are not being passed onto consumers by the energy companies; further notes that in 1997 the government levied a windfall tax on the unearned profits of the privatised utilities and that in 2008 the inflated price of energy continues to make massive unearned windfall profits for the energy companies; urges the government to urgently introduce a new windfall tax the revenues from which being ring-fenced and targeted at homes in fuel poverty and used to start an adequately funded programme of home insulation to protect people from future price rises.