The energy market isn’t working for families and businesses in Britain. Energy bills have risen by £300 since 2010, and many businesses say
energy is the biggest cost they face. When wholesale energy prices go up, bills rocket, but when they fall, bills stay high. One of the reasons for
this is that the big energy firms are operating in a broken market. They enerate electricity, sell it to themselves, then they sell it to consumers.
Ofgem, the regulator that is supposed to be responsible for putting things right, has failed to do so. We need change but instead of standing up to the big energy firms who dominate the market unfairly, David Cameron has stood by as bills have soared.
Where the current Government has stood up for vested interests in the energy sector, the next Labour government will stand up for families and businesses. Our energy policy will tackle rising bills and reform the market, as well as securing a sustainable, low carbon energy supply for Britain.
We will freeze prices until 2017, saving the average household £120. While prices are frozen, we will reset the market so that it works for consumers; breaking the stranglehold of the ‘Big Six’ energy companies by separating their generation and supply businesses, and forcing them to buy and sell their energy through an open exchange. And we will create a tough new regulator to ensure consumers get a fair deal.
Meanwhile, we’ll undertake an ambitious, long-term programme to support millions of households and businesses in improving their energy
efficiency and put an end to cold homes.
• Freeze energy bills until 2017.
• Fix the broken energy market, increasing competition and transparency.
• Abolish Ofgem and replace it with a tough new energy watchdog.
• Improve the energy efficiency of at least five million homes over 10 years.
• Household bills are up by £300 since 2010.
• The ‘Big Six’ supply 95 per cent of households with gas and electricity