Tuesday 16 August 2022 01:52 AM DAILY MAIL COMMENT: Labour's energy plan will prolong the pain trends now
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Like most Socialist plans to spend other people's money, Sir Keir Starmer's proposal to tackle the energy bills crisis sounds good at first blush.
At a time of extreme financial stress – soaring inflation, rising housing costs – many families will cling to his solution of freezing gas and electricity prices like stricken sailors to a life raft.
But beware such gaudy baubles! In reality, Labour's leader would be storing up a world of pain.
Leading economists warn the wheeze could cost at least £90billion if continued for 18 months – more than the Government spent on the entire furlough scheme.
Labour is trying to draw battle lines before the next election
Who would pay for such an eye-watering splurge? Sir Keir says it would largely be met by extending the controversial windfall tax on oil giants – who are the bogeymen to the hard-Left.
But a retrospective levy risks deterring investment – which could prevent new power sources from being developed – and leaving Britain more exposed to expensive imports at a time when we are trying to beef up energy security.
Equally, such a move would threaten jobs, clobber pensions and, ultimately, reduce tax receipts to the Treasury.
Moreover, the price freeze would benefit the wealthy, rather than simply targeting the poorest.
It would not incentivise households to
