19th January 2009
LABOUR CANDIDATE CALLS FOR ACTION AGAINST PROFITEERS
With the coldest temperatures recently for over 20 years, Labour Parliamentary Candidate Donna Hutton is calling for fresh Government action against energy companies who are refusing to pass on cost cuts to consumers.
Donna Hutton said:
“Despite massive falls in the world price of oil, now around 70% cheaper than it was over the summer, and bitterly low temperatures affecting everyone in the constituency, energy providers continue to refuse to pass on price cuts. As people have to turn up the heat the energy companies continue therefore to make massive windfall profits.
“Whilst vulnerable households are to receive a £25 heating subsidy, with annual bills still in excess of a £1,200 we need to do more. Some who are most in need, particularly older people, may have to choose whether to heat or eat – I am really worried this may ultimately mean some people could die as a result of high prices.
“It is now estimated that some 10,000 people in our constituency, from Colwyn Bay to Ruthin and Kinmel Bay, are faced with fuel poverty. With increasing numbers of people losing their jobs, this figure can only go up.
“I am pleased the Government has committed to do all that is reasonably possible to end fuel poverty by 2010 - in just 12 months.
So I hope the Government will take immediate action now to help people either by imposing emergency price restrictions or by imposing an emergency windfall tax on the massive energy profits, as I have called for previously.
“Energy companies who refuse to pass on cost cuts, given the recent falls in the price of oil and terribly cold weather for long periods, are simply profiteering. Such irresponsibility calls into question whether these private sector companies can be trusted with services so fundamental to human life.”
ENDS.
FURTHER INFORMATION:
- Price restrictions (related to the wholesale price) on the domestic cost of energy were suggested by Harriet Harman at Prime Minister's Questions on Wednesday 17 December 2008;
- An emergency windfall tax is supported by over 50 Labour MPs who have currently signed EDM 268 ‘Windfall Tax on Energy Companies';
- Centrica's 6 monthly profits are due to be reported the week commencing Monday 26 January 2009, followed soon after by other energy providers, and are expected to reveal huge profits again.