MP calls for government to cut VAT on energy saving products

13 January 2008

There has already been an overall rise of 90% in gas bills since 2003, while electricity bills have risen by 66%.  Suppliers blame the increases on the soaring cost of fuel.

Chris Davies says the recent increases must spur the Government to promote energy efficiency measures for households.

A recent survey by the Energy Savings Trust revealed that Britons are Europe ’s worst energy wasters.  It claims that simple improvements could reduce heating costs by a third, knocking £250 off average household bills.

Experts say that cavity wall insulation can pay for itself within five years while the costs of loft insulation can be recouped within just two years. 

The cheapest improvements, insulation jackets for hot water tanks and better draught proofing, can produce a 100% return on investment within months.

Chris Davies, who is the Liberal Democrat climate change spokesman in the European Parliament, says he cannot understand the government’s failure to make energy saving its number one priority.

He said: “One third of all Britain ’s energy use takes place in our homes. If we really want to fight global warming then we must make it easy for people to cut their bills.”

The MEP is calling for a reduction in VAT on energy saving products, and for the creation of a one-stop service that can advise householders and carry
out improvement work.  

“Energy saving is a win win policy that saves money at the same as it helps save the environment,” said the MEP.  “Government ministers should be falling over themselves in their rush to promote it.”


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