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Embargoed until 06:00, Thursday 04 July 2013 

TaxPayers' Alliance launches 'Stop the Energy Swindle' as household energy bills set to hit £3,000 by 2030

- Subsidies for expensive energy sources like wind turbines are forcing up energy bills creating an affordability crisis
- New online tool allows families to calculate how much household bills will increase by 2020 and 2030 because of energy taxes

- Energyswindle.org enables the public to petition MPs directly about their energy bills

The TaxPayers’ Alliance (TPA) has launched a new campaign - Stop the Energy Swindle - urging the Government to cut energy taxes that are adding record amounts to family and business energy bills.

Energyswindle.org includes an online calculator that allows anyone to enter their current electricity and gas bills and see to what extent they will increase under current policy in the coming years. The site encourages voters to quickly and easily send a message to their local MP urging them to take action and support a more affordable energy policy. Campaigners will be hosting action days in dozens of cities across the UK highlighting the issue.


Key Facts:
  • Ofgem estimates that taxes and charges are already costing a normal family nearly £200 a year.  Currently they make up 11 per cent of a typical family gas bill and 16 per cent of their electricity bill.
  • Liberum Capital estimate that £160.6 billion in capital expenditure is needed in the energy sector between 2012 and 2020 to meet Government targets. Another £215.4 billion is then needed between 2021 and 2030.
  • As a result, they find that total power costs will increase by nearly a third on top of inflation by 2020 and will double on top of inflation by 2030.
  • That implies that the average family energy bill will be nearly £1,900 in 2020 at current prices, and over £2,920 by 2030

Stop the Energy Swindle is urging the Government to:
  • Cut subsidies for expensive sources of energy like wind turbines. They have to be paid for by someone and that means driving up household bills. These subsidies are unsustainable.
  • Scrap the carbon price floor for the EU Emissions Trading System. British families and businesses shouldn’t have to pay a premium to move emissions to other countries. That doesn’t help the environment but it does hurt the economy and increase energy bills.
  • Stop blocking new affordable energy sources like British shale gas and efficient modern coal power plants.



Matthew Sinclair, Chief Executive of the TaxPayers’ Alliance, said:

"Families and businesses are struggling with their electricity and gas bills. Politicians should be cutting energy taxes to ease that burden. Instead they are adding to them on an enormous scale to pay for fat subsidies that support expensive energy sources like wind turbines and solar panels. People who are already finding it hard to pay their bills will not be able to cope with the big increases in prices needed to meet draconian targets for the energy sector. We cannot allow more families to suffer needlessly and more jobs to be driven overseas thanks to high prices here in Britain. It is time to stop the energy swindle."
 
 
TaxPayers' Alliance spokesmen are available for live and pre-recorded broadcast interviews

Media Contact

Robert Oxley
Campaign Manager, The TaxPayers' Alliance
07795 084 113

or
 
24-hour media hotline: 07795 084 113

Notes to editors

1. Founded in 2004 by Matthew Elliott and now with 75,000 supporters, the TaxPayers’ Alliance (TPA) fights to reform taxes, cut spending and protect taxpayers. Find out more about the TaxPayers' Alliance at www.taxpayersalliance.com

2. The Stop the Energy Swindle campaign website is http://energyswindle.org

3. Estimates of how much taxes and charges are already cost a normal family based on Ofgem breakdown here: http://www.ofgem.gov.uk/Media/FactSheets/Documents1/household-bills.pdf 

4. Estimates are based on Liberum Capital Paper A Crisis in UK Energy Policy Looks Inevitable, April 2013

5. Average energy bills based on most recent data Ofgem's Electricity and Gas Supply Market Indicators (June 27 2013) http://www.ofgem.gov.uk/Markets/RetMkts/rmr/smr/Pages/indicators.aspx


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