Starmer Accused Of 'Snake Oil Salesmanship' As Energy Price Cap Rises Despite Labour Vow
The government has been torn apart after it was announced that the energy price cap is set to increase yet again in April.
The cap – which is the maximum amount suppliers can charge consumers per unit of energy per year – is going up by £111 to £1,849 from April.
That's a 6.4% increase, and the third consecutive rise.
While energy regulator Ofgem is responsible for altering the cap, this news does fly in the face of Labour's election promise to reduce energy bills by up to £300 by 2030.
Energy security and net zero secretary Ed Miliband said today's increase was triggered by 'petrostates and dictators' driving up the wholesale price of gas.
But he claimed 'the government has your back,' saying Labour would be expanding the Warm Homes Discount for vulnerable families, insulating more homes for energy efficiencies, and making sure the regulators are tough on energy suppliers – while also moving the UK towards renewable energy.
Ofgem's Tim Jarvis told BBC Breakfast that the increase was due to a 'a challenging global market which we are still very much exposed to' due to the nation's reliance on gas and electricity.
He added Europe experienced a colder than average winter, and that the final pipeline between Russia and Ukraine has been closed – two moves which both drive up energy demand and tighten supply.
But critics still attacked Labour for failing to keep its vow to reduce energy bills.
The Conservatives' acting shadow energy secretary Andrew Bowie called it a 'betrayal'.
He said: 'The latest hike in the energy price cap is a betrayal to the families who Ed Miliband promised to save £300 on their bills.
'Labour's election promise is shot and bills are on the rise.
'What's more, the government are not being honest about the trade-offs required to fund their fantastical energy policies - it will be families who are hit with the bill.'
Liberal Democrat leader Ed Davey said the government should scrap the latest energy bill rise for the almost 10 million pensioners who had their winter fuel payments cut.
'The government must scrap this energy bill rise for pensioners who have had their winter fuel payments cut.
'Ministers should reverse their cut to winter fuel payments altogether, but the least they could do is to ensure bills for those impacted do not rise further.
'Thousands of vulnerable people have shamefully been left to choose between heating or eating this winter. The government has got to get a grip on energy bills and fast.'
Over on social media, people were quick to point out how Labour has repeatedly promised to cut energy bills, with some even accusing PM Keir Starmer of being 'the most duplicitous Labour leader ever'.
'Under a Labour government we would freeze energy bills. We wouldn't allow them to go up.'~ Keir Starmer Snake oil salesmanship. UK domestic energy prices are to rise by 6.4% in April to £1,849 a year on average. pic.twitter.com/zWQZPxNpnu
— James Melville 🚜 (@JamesMelville) February 25, 2025
That Labour promise to 'reduce your energy bills by £300 per year' is going really well then. You can not trust a word they say. https://t.co/t8Nb51qlK4
— Pete Wishart (@PeteWishart) February 25, 2025
🚨BREAKING: Ofgem have announced a 6.4% rise in the energy price cap in April meaning an average increase by £111 for households. pic.twitter.com/4NuDX1sgB3
— The Yorkshire Lass (@real_shirelass) February 25, 2025
In opposition Sir Keir Starmer promised to "freeze energy bills"As Prime Minister he is allowing Big Energy Companies to increase bills by more than twice the rate of inflationThe most duplicitous Labour Party Leader ever pic.twitter.com/kbOmbiOi0j
— Cllr Martin Abrams 🕊️🍉 (@Martin_Abrams) February 25, 2025
Others called for the government to implement 'immediate action' and a review on how the price cap is even generated.
Immediate action on household costs can help sustain public support for the rapid expansion of clean energy. The government should consider rebalancing costs between bills and taxation and review how Ofgem calculates the energy price cap. pic.twitter.com/9d3bKq4f86
— IPPR (@IPPR) February 25, 2025
Let's just be honestThe price cap isn't a price cap, and the regulator isn't a regulatorI've no problem with the long term aims of GB energy, but If the govt wants to prove it's on the side of ordinary people, tackle the profiteering energy cartels now#BBCBreakfast#r4today
— Adrian Gosling (@digitalsunshine) February 25, 2025
The so-called energy regulator Ofgem says energy bills from April will rise by 6.4% The Government must step in and impose a real price cap and tax energy profits more to provide extra help to people.And to end this rip off, we must bring energy back into public ownership.
— Richard Burgon MP (@RichardBurgon) February 25, 2025
Meanwhile, Bob Ward from the Grantham Research Institute on Climate Change and the Environment at the London School of Economics and Political Science, warned the public that the increase has 'nothing to do' with the government's net zero plans.
He claimed: 'Unfortunately there are some British politicians who will try to fool the public into believing that climate policies are responsible when it is our dependence on expensive fossil fuels that is making us colder and poorer.
'The only way to cut energy bills is to use cheap clean British renewables instead of expensive natural gas for heating and electricity.
'And approving new gas production in the North Sea will make no difference to bills because it will be sold on international markets and not at a discount to British households and businesses.'
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