Energy freeze 'will save £100m'

The introduction of an energy price freeze now would save the taxpayer more than £100 million in reduced bills for public services, Ed Miliband has said.

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Energy prize freeze would 'cost public finances more'

Labour have got their sums wrong over freezing energy bills, said the Financial Secretary to the Treasury Sajid Javid, after Ed Miliband claimed that it would save the taxpayer more than £100 million for public services.

Financial Secretary to the Treasury Sajid Javid. Credit: Suzanne Plunkett/PA Wire

Mr Javid added: "Their policy would actually cost the public finances more in lost VAT and corporation tax, meaning more borrowing and more debt - exactly what got us into a mess in the first place.

"But Labour's price freeze is a price con - it would mean rising prices before, rising prices after, and even Ed Miliband says he would break his promise if there is a wholesale price rise during the freeze".

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Miliband: Energy price freeze would save NHS £40m

New figures today show that if David Cameron put in place our freeze today, public services would save £100m.

And that matters more than ever in an era when there’s less money around.

The NHS is one of our vital national institutions and one of the biggest users of energy.

If David Cameron got on and implemented our energy price freeze today the NHS would benefit to the tune of £40 million to help it deal with this winter’s A&E crisis, the equivalent of the salaries of 1,300 nurses.

Our schools could save £28m, that’s the same as the salaries of over 700 teachers.

This freeze will happen under the next Labour Government.

– Labour leader Ed Miliband

Labour: Energy price freeze would save millions

An energy price freeze would save the taxpayer more than £100 million in reduced bills for public services, Ed Miliband has said.

The Labour leader said £40 million would be cut from NHS costs, £28 million from schools and £21 million from defence if the move was implemented now by the Government and put a stop to an average 6.4% rise in bills.

Labour leader Ed Miliband pledged to tackle the rising cost of living. Credit: Press Association

Labour has pledged to freeze prices until 2017 if it wins the general election in May 2015 and use the time to reform competition and transparency in the energy market and introduce a tougher industry watchdog.

The Tories have dismissed the pledge as a "con", suggesting energy firms will simply push up prices in the run up to any freeze or immediately afterwards, wiping out any benefit.

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