'Don't clobber the public!': David Lammy demands windfall tax on energy providers

6 February 2022, 10:21

Shadow Foreign Sec. calls for tax on energy companies

The Shadow Foreign Secretary has called on government to get energy providers to foot the bill for the impending energy crisis.

Chancellor Rishi Sunak announced a package this week aimed at softening the incoming energy price rise as the cost of living crisis takes hold.

Read more: 'We have to live within our means': Sunak defends 'puny' Govt support amid energy crisis

Shadow Foreign Secretary David Lammy told Andrew Castle that "we need a scheme that gets cash to people" rather than the proposed measures, where the £200 "has to be paid back" to the government overtime.

"What we think we should do is put a windfall tax on the North Sea oil and gas who've made bumper profits this year; Shell had £12 billion worth of profits.

"That's the way to deal with this crisis. Don't clobber the public, clobber the companies who've gained over this period."

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Andrew pushed Mr Lammy about the environmental levy and whether it should be scrapped to alleviate the energy crisis.

The Labour MP argued the levy "should be placed on the oil and gas companies that are making record profits", not the public. He pointed out that the French government slapped a bill on EDF and the UK should do the same.

Read more: Cost of living crisis: More inflation rises to come, warns former Bank of England boss

He concluded by stating that "we shouldn't have buy now, pay back scheme, we should have a proper levy" which "begins to make a difference" in the cost of living crisis.