Energy customers stand to save £300 under the new Labour Government as they go ahead with one of their key manifesto pledges, Great British Energy (GB Energy).
GB Energy aims to cut bills for good, tackle the cost of living crisis and create warmer homes to slash fuel poverty.
Sir Keir Starmer has become Labour’s first Prime Minister in 14 years after a landslide victory at the general election.
Following his win, customers across all energy suppliers such as British Gas, Octopus Energy, EDF, E.On and many more can benefit from lower energy bills.
As set out in Labour’s manifesto, one of their first steps will be the introduction of GB Energy.
GB Energy aims to cut bills for every household by an average of £300 a year.
The average annual energy bill dropped by £122 in July under the new Ofgem price cap
PA
Despite the seven per cent drop in the energy price cap on July 1, households in the UK are still facing soaring energy bill costs, which are predicted to rise towards the end of the year.
Labour’s new home-grown, publicly owned clean energy generation company will see bills cut for good, boost energy security and create jobs.
It will create 650,000 new jobs in all parts of the UK through local energy generation.
Great British Energy will be funded in part by a proper windfall tax on oil and gas giants making record profits.
Labour has made several pledges which will have an impact on households’ finances – but as it takes power it will also face significant challenges with the cost-of-living squeeze continuing to exert its grip.
The Government has pledged to establish GB Energy within the first few months of the parliament.
To do this, it will need to pass legislation, which it intends to do through a new Energy Independence Act.
Both Labour and the Conservatives back some form of windfall tax until 2029, want to decarbonise most or all electricity by 2030, and are vowing to ramp up solar and offshore wind.
Securing the 326 seats required for a majority in the House of Commons – Starmer said “my Government will serve you, politics can be a force for good”, as he addressed the nation from Downing Street for the first time as Prime Minister.
He said: “Our country has voted decisively for change, for national renewal and a return of politics to public service.
“Our work is urgent and we begin it today.”
Speaking with Martin Lewis, the money-saving expert, Starmer also said: “Our plan to switch on Great British Energy will take back control of our destiny and invest in cheap, clean homegrown energy that we control.
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“Funded by asking the big oil and gas companies to pay their fair share through a proper windfall tax, so the proceeds can be invested in the future of the country.
“For those struggling to make ends meet, we’ll stop the scandal of expensive pre-payment meters being forced on vulnerable people, and we’ll work with the energy regulator to reduce the standing charges that hit poorer households.
“And we’ll launch a Warm Homes Plan – spending an additional £6.6billion to upgrade Britain’s homes, cut energy bills and boost jobs across the country.”
