Mandelson attacks energy plan

Lord Mandelson has warned that Ed Miliband's plan to freeze energy bills risks taking Labour "backwards."

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Conservatives: Freeze would increase bills by £125

Grant Shapps said Ed Miliband's energy price promise would increase household bills. Credit: PA

Conservative Party chairman Grant Shapps said a price freeze would actually increase household energy bills over the next two decades.

"While we're forcing energy companies to put their customers on their cheapest tariffs, Ed Miliband would introduce an energy policy that would add £125 to the typical household's bill," he said.

The party said a 2030 decarbonisation target supported by Labour would mean a rise of that scale over the next 17 years.

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