Unaffordable and unsustainable, Rupert Darwall explains why Labour’s worst stealth tax must be abolished
The bubble has burst; there are no proceeds of growth to share and Britain’s budget deficit is, in the words of one central banker, truly frightening. Can Mr Cameron give voters a break, one which will leave them tangibly better off and is unambiguously good for the economy? Yes he can.
The Renewables Obligation can claim to be Labour’s worst stealth tax. Unlike VAT, it is bundled into people’s electricity and gas bills without them knowing how much it costs. The money it raises is then spent with minimal accountability or regard for value for money. Since its introduction in 2002, the Renewables Obligation has cost consumers and businesses £4.4 billion. By 2027, when it is was originally planned to end, it will cost all of us a further £28 billion.
Comments
Join the debate for just $5 for 3 months
Be part of the conversation with other Spectator readers by getting your first three months for $5.
UNLOCK ACCESS Just $5 for 3 monthsAlready a subscriber? Log in