Magazine article Public Finance

Make Energy Firms Pay for Insulation Programme, Say Council Leaders

Magazine article Public Finance

Make Energy Firms Pay for Insulation Programme, Say Council Leaders

Article excerpt

Energy companies should forgo some of their eye-watering profits' to fund a national home insulation programme, town hall leaders have said.

The heads of all four of the Local Government Association's political groups - Labour, Conservative, Liberal Democrat and Independent - said an annual charge should be levied on energy companies to help combat fuel poverty.

In a letter addressed to Cabinet ministers, including Chancellor Alistair Darling and Local Government Secretary Hazel Blears, the LGA leaders argue that the move would lift 500,000 people out of fuel poverty, cut £200 off the energy bills of 10 million households and reduce domestic carbon emissions by 20%.

Paul Bettison, chair of the LGA's environment board, said one-off payments to households would do little to tackle the root causes of fuel poverty, which were best addressed by a national insulation programme.

'Energy suppliers are making eye-watering profits at the expense of hardworking families. …

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