Guernsey Press

Halting green levy on bills will have ‘marginal’ impact only, says Sturgeon

The First Minister said prime minister candidate Liz Truss’s proposal would not significantly reduce bills.

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Plans by would-be prime minister Liz Truss to halt green energy levies are the “wrong approach” and would have a “marginal” impact only on household bills, Nicola Sturgeon has insisted.

Instead of such a measure, the Scottish First Minister insisted Westminster needs to act to “stop the misery that will otherwise be inflicted on families” as prices rise.

Ms Sturgeon called for a “significant intervention” from the UK Government to “stop energy bills rising in the way that is currently projected”.

To try to help households in the midst of the cost of living crisis, Ms Truss, regarded as the favourite to succeed Boris Johnson as PM next month, has proposed plans to suspend the green levy – an environmental charge added to energy bills.

On Tuesday, Ms Sturgeon will host a summit of energy companies to discuss more action to protect households on low incomes.

The First Minister spoke to journalists after speaking at a meeting of offshore industry leaders in Aberdeen, discussing the ScotWind renewable energy supply chain.

Conservative leadership bid
Liz Truss has proposed a moratorium on green energy levies (Peter Byrne/PA)

“In terms of the scale of the increases in energy bills, that proposal is marginal at best.”

The First Minister continued: “What needs to happen is a significant intervention to stop energy bills rising in the way that is currently projected.

“What should happen is a cancellation of the next increase in the energy price cap and then work between Government and energy companies to determine how that is funded over the long term.

“The first responsibility of the UK Government right now should be to stop the misery that will otherwise be inflicted on families happening.”

Smart meter stock
Ms Sturgeon said there would be ‘misery’ this winter (Peter Byrne/PA)

She said this would include an approach to ensure customers were not disconnected over winter.

Ms Sturgeon said: “The Scottish Government is also working through an emergency budget review and assessment of other levers at our disposal to try to make sure we are doing everything possible.

“But the scale of this, and the reality in terms of where the levers of power lie and where the access to resources lie, means that we need to see the UK Government really get its head out of the sand and start to take real action here.”

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