Extra Energy Company Profits Should Be Used To Help Poorest Families - Clegg

1.45.30pm GMT Thu 17th Jan 2008

Ofgem has called on the extra profits energy companies will make because of the Emissions Trading Scheme (ETS) to be spent on reducing fuel poverty.

Commenting, Liberal Democrat Leader Nick Clegg said:

"Ofgem's proposal makes economic sense and should be heeded by the Government.

"Electricity companies who are already pushing up prices should not be gifted with £9bn profits.

"It is totally wrong that the companies should be given a licence to print money on this scale through free allocations of emission permits.

"Alistair Darling should act now to ensure that these additional windfall profits are retrieved and used to help poor families and pensioners with their energy bills, and to promote energy efficiency.

"With 25,000 people predicted to die from the cold this winter alone, the Government must act on the recommendations of its regulator."