Axing green policies 'foolish'

Calls for the Government to axe green policies in the hope of bringing down the price of energy are "short-sighted and foolish", Business Secretary Vince Cable said. Energy company SSE increased tariffs yesterday by an average of 8.2% from November.

View all 11 updates ›
  1. Libby Wiener

No 10: Price hike shows bills freeze wouldn't work

Sources close to Number 10 pointed out that this energy price hike demonstrates that a temporary freeze by a government wouldn't achieve anything at all.

The energy companies would simply increase prices ahead of an increase as SSE has done today and they would also raise prices after the temporary freeze, they claim.

The Prime Minister's spokesman said effectively that it was "a con".

When I put this to Ed Miliband, he rejected those arguments saying that market intervention could work.

When I suggested the logic of his argument was nationalisation, he said "not at all".

More on this story