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Sizewell C won't save Ed Miliband

Sizewell C won't save Ed Miliband

Spectator19 hours ago

Ed Miliband has suddenly realised that you cannot run an electricity grid on intermittent renewables alone. The Energy Secretary's announcement this morning of £14.2 billion worth of funding for a new plant at Sizewell C, together with cash for Small Nuclear Reactors (SMRs) and continued research into the holy grail of nuclear fusion, is an admission that energy policy so far has been far too concentrated on wind and solar.
But nothing that Miliband has unveiled does anything to help the energy and climate secretary achieve his ambition to decarbonise the electricity supply by 2030 – or ease the coming crunch as he tries to reach that target. It has already been 15 years since the government approved plans for a new nuclear plant at Hinkley C – which developers EDF promised would be ready to cook our Christmas turkeys by 2017.

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QUENTIN LETTS: Ed was in his element - but would you even trust him with a milk float?
QUENTIN LETTS: Ed was in his element - but would you even trust him with a milk float?

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QUENTIN LETTS: Ed was in his element - but would you even trust him with a milk float?

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This spending review is a massive deal. It's a massive deal because of the sums of money and capital the government is about to allocate - £600bn over the next three to four years. But it is also a massive political moment as the Labour government tries to turn the corner on a difficult first year and show voters it can deliver the change it promised. It is not, say No 10 insiders, another reset, but rather a chance to show 'working people' why they voted Labour. Look at the blitz of announcements over recent days, and this is a government trying to sell the story of renewal. On Tuesday, the prime minister and his energy secretary, Ed Miliband, announced the biggest nuclear building programme for half a century, with £14.2bn being poured into Sizewell C on the Suffolk coastline to create over 10,000 jobs over the next decade and provide energy security. Last week, the chancellor announced £15bn for new rail, tram and bus networks across the West Midlands and the North. 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Watch too for a squeeze on council budgets as the chancellor uses her capital budget to invest in house building, while day-to-day spending is squeezed across our councils, schools and courts. 7:58 Reeves under pressure to boost spending This is the rub. Rachel Reeves will insist on Wednesday that spending is rising by £190bn more over the course of the parliament, partly because of those tough tax rises in her first budget. But largesse in capital investment won't be able to disguise the short-term pressures on day-to-day spending from a Labour Party and a set of voters fed up with cuts and feeling like their lives aren't improving. The winter fuel reversal is the proof point. The chancellor, who will not loosen her fiscal rule of funding day-to-day spending through tax receipts, has to find £1.25bn to pay the allowance to nine million pensioners this winter. She is also under pressure to lift the two-child benefits cap, with Liz Kendall, Bridget Phillipson and Sir Keir Starmer all thought to want this to happen. That will cost up to £3bn. There is pressure to change the disability cuts in order to get the welfare changes through parliament. The point is that the chancellor is under huge pressure to lift spending, not keep her foot on its throat, and that means into the autumn, the clamour for targeted tax rises will only grow. Can Reeves sell this government's 'renewal' story? But amongst the top team, there is some guarded optimism. The political pain of the winter fuel allowance U-turn has eased the pressure on the doorstep: one very senior Labour politician told me this week that last weekend was the first time in a long time that the matter didn't come up on the doorstep and "the first time in a long while that it felt alright." On Wednesday, there will be pain. 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