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Michael Gove backs Ed Milliband’s attack on energy companies

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michael-Gove_2398902bMichael Gove, Education Secretary has backed Ed Milliband’s warning to energy companies about price hikes, and said Mr Miliband was “absolutely right” to warn about energy price rises and took a swipe at the “big six”.

Prime Minister David Cameron agreed that action is needed to reduce the cost of light and heat.

The ‘big six’ energy companies have warned that the Labour leader’s demand to ‘peg prices’ would increase the risk of power cuts. This was also echoed by Tory ministers including party chairman Grant Shapps.

Michael Gove was asked on the BBC Question Time if he beleived that the pwoer companies were just scaremongering to which he replied “I do take what they say with a pinch of salt actually. The way in which the major energy companies have behaved in the past does not give me confidence in everything they say.”

Mr Gove said Labour’s plan was not properly thought-through, but accepted Mr Miliband was “right to draw attention to the fact that the behaviour of the six power companies hasn’t been entirely admirable ever since they have had a chance to be able to play the market”.

PM David Cameron said in an interview that action was needed to increase price competition, which will in turn decrease prices, and avoided repeating the accusation that a price freeze would cause energy chaos.

“What we need in our country is low and competitive energy prices – not for 20 months, but for 20 years. We need to do the things that create a competitive energy market,” the Prime Minister told the Yorkshire Post.

“We need to access the new technologies like unconventional gas that will help keep prices down, rather than policies thought up that then so swiftly unravel.”

Shadow Energy and Climate Change Secretary, Caroline Flint said that the Conservatives response to the Labour initiative was coming apart, challenging the party to match Ed Miliband’s promise at the next party conference.

 

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