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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npower: Prize freeze would rule out new investment

npower boss Paul Massara said a prize freeze would have to result in no new investment in power stations. Credit: npower

Paul Massara, npower CEO, said: "It's very easy for politicians to come up with simple-sounding solutions to difficult problems.

"But in reality, there are three main factors that influence prices: fixing inefficient housing stock, the investment required to replace the UK's energy infrastructure and the cost of the buying energy on the global market.

"If the Labour Party can commit to reducing policy costs on household energy bills, stopping the smart meter roll-out, preventing commodity cost increases and accept that there won't be any investment in new power stations and infrastructure, then we could freeze our prices.

"But will this make things better for Britain?"

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