Green Stealth Tax Will Sentence Millions Of Britons To Fuel Poverty

Steam from a cooling tower, typical warming alarmist picture used to illustrate CO2 emissions which makes about as much sense as the carbon floor price

This absolutely has to be a first, a centre left think tank has criticised a Climate Religion policy warning that the Carbon Floor Price introduced in the 2011 Budget, will cause fuel poverty for tens of thousands of additional homes, do nothing to reduce emissions and could even end up giving Climate Religion policies and taxes a bad name.

Wait one, didn’t Gordon Brown and his pathetic attempt to raise revenue by back dating Vehicle Excise Duty, under the guise of saving the planet already do that?

In 2004 there were 1.4 million households living in energy poverty, energy poverty is defined as spending 10% of your disposable income on heating and light, in 2011 there are 5.5 million households living in energy poverty, and this is before the Climate Religion policies of renewables, the outrageous subsidies that renewable attract and other green taxes are passed on to business, families and the old.

In Britain there are 2 million pensioner households living in fuel poverty:

A green ‘stealth’ tax to encourage new wind farms and nuclear power plants could push tens of thousands of households into fuel poverty but do nothing to reduce emissions.

The carbon floor price, announced in the March Budget, could even end up giving climate policies a ‘bad name’, the Institute for Public Policy Research (IPPR) has warned.

To be introduced in 2013, the tax is intended to encourage investment in low-carbon energy – and raise billions for the Treasury.

Under the existing rules, energy companies must generate a fixed amount of green energy every year, or else buy permits to pollute on the open market.

The new tax kicks in if the cost of these permits falls too low. From 2013, the ‘floor price’ of a permit needed to emit a tonne of carbon will be set at £16, rising to £30 by 2020.

The higher cost of electricity will be passed on to household and business customers with energy-guzzling industries hit hardest.

But the IPPR, a centre-left think-tank, says that householders, many of whom are already struggling to pay their fuel bills, will also suffer. It estimates that 30,000 to 60,000 more households will be pushed into fuel poverty – defined as spending more than 10 per cent of your disposable income on heat and light.

The think-tank also warned that the UK scheme could lead to lower carbon permit prices elsewhere in Europe – and so do nothing to ease pollution.

Andrew Pendleton, IPPR associate director, said: ‘The carbon price support scheme risks giving energy and climate change policy a bad name because it will do nothing to reduce carbon emissions while piling more cost on to the shoulders of already hard-pressed consumers in the UK.’

The think-tank report also said that because the floor price was announced in the Budget, it would be open to annual review – meaning it would not have the certainty needed by investors looking at putting money into low-carbon energy projects such as wind, wave and nuclear power.

The report suggests setting the floor price low to minimise its impact and urges ministers to encourage European countries to introduce similar measures.

Confining the tax to Britain could be an ‘inexcusable’ waste of £1billion,’ Mr Pendleton said.

The soaring cost of fuel means that 5.5million households are already living in fuel poverty —including two million pensioner households. This is compared to 1.4million households in 2004.

Earlier this month CBI director-general John Cridland said a trio of new carbon levies, including the carbon floor price, were ‘counterproductive’ and will make the UK’s steel and chemicals industries less competitive on the world stage.

In a stinging attack, the head of Britain’s largest business lobby called for the Government to axe some climate change taxes and make energy-intensive businesses exempt from others.

The warning came days after former Cabinet Secretary Lord Turnbull said politicians should ‘stop frightening us and our children’ about global warming.

He accused politicians and Whitehall mandarins of pandering to global warming ‘alarmists’ and consigning Britain to a future of inflated fuel bills.

The carbon floor price is the first of many energy costs that will be born by the consumer as energy companies pass on their costs to the end users, there are more taxes to be added to Britain’s fuel bills in the name of Climate Religion.

The subsidies paid out to renewables, the money comes from somewhere to pay the subsidy, the tax payer.

As David Cameron, Chris Huhne and the EU race to destroy the industrial base of the EU with targets to reduce CO2 emissions with 32% of energy having to come from unreliable low efficiency renewable sources like wind farms, the consumer will bear the costs for conventional power station backup that has to be available on the days when there is no wind, its too cold and Huhne’s beloved wind turbines are consuming more electricity than they produce.


About Tory Aardvark

Climate Realist, Conservative and proud NRA member. I don't buy into the Man Made Global Warming Scam, science is never settled. @ToryAardvark on Twitter ToryAardvark on Facebook

Posted on June 28, 2011, in Anthropogenic Global Warming, Church Of Climatology, Climategate, Coalition Government, COP16, Environment, Green Lies, Green Taxation, ManBearPig, Oh FFS, Renewables, Wind Power and tagged , , , , , , . Bookmark the permalink. 9 Comments.

  1. China is fighting back. Could the EU cope with the unemployment if the airbus order actually gets cancelled?

  2. Just a little over 10% of your disposable income spent on bills places you in fuel poverty? Good grief, where does that place me then?
    After paying my rent alone, my leftover income is a mere £77.62 per week ( often £10 less if less hours available) so after paying out a minimum of £24.50 to the Water Board, £22 to the electricity company, and currently £16 for gas ( I daren’t use it in the winter now!) that leaves me with just £15.12 per week on average to buy food/clothes/transport/all life’s other expenses for myself and my son!
    For the record, we do NOT live like Royalty, we rent a tiny damp-ridden horrid flat, best I could manage, rarely have any lights on after sunset, we share one bath per week to save water, ( there is NO shower here sadly), and don’t run the central heating at all, there is only a 2-ring gas hob that rarely works anyhow, and I rarely have anything worth actually cooking in the electric oven!
    Since the local bus company recently decided they wanted £24 per week for a local travel pass, we now have to walk everywhere, which on a very poor diet is actually not doing us any good.
    I currently hate the Government for preaching one thing to us all with regards to austerity measures, some of us have been living in austere times for a heck of a lot longer than they realise, especially when THEY themselves are lording it up at Wimbledon, and various posh dinner parties lately, and I also hate the utility companies who do seem to be taking the mickey out of us mere mortals, the less I use of anything the more it is costing me………yet they cry “repairs and carbons taxes” yet proclaim such ridiculously HUGE profits on a regular basis!
    Rant over

  3. and ps no i am not in debt…yet, the amounts above are what i have to set aside weekly so that I DONT get into debt.. they are what it works out per week when I break the bills down

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