Public backing windfall tax on energy firms

26 August 2008 In Accountancy

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Public backing windfall tax on energy firms The public is backing the Prime Minister's plans to impose a windfall tax on household energy firms, according to a new survey.

A YouGov poll found that 67 per cent favoured the major one-off tax which would be imposed in the firms' profits.

The Telegraph reports that Gordon Brown is considering a "more modest" scheme which would charge the industry around £100 million, but Labour MPs are pressuring the PM into the larger tax, with 70 ministers having currently signed a petition organised by the left-wing pressure group Compass.

Jon Cruddas, Labour MP and Compass member, told the newspaper that it is the government's job "to tackle" fuel poverty.

"We need to take a bolder policy agenda to meet people's material concerns and that's why this policy resonates across the social spectrum," he added.

Energy supplier EON UK recently revealed that electricity and gas prices are set to rise by 16 and 26 per cent respectively.



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