Ahead of the full unveiling on Monday, the Labor leader says his party’s £29bn energy plan will immediately save the average family £1,000, bring energy costs under control for the future and help tackle the inflation. The party says this will be achieved by preventing an increase in the energy cap this winter, which would be paid for by an extra tax on oil and gas giants. The price cap, which is the most companies in England, Wales and Scotland can charge an average customer for energy costs, should remain at £1,971. Politics Hub: Truss maintains commanding lead in race for No 10 – live updates Energy analysts have predicted that typical energy bills could rise to around £3,500 in October and above £4,200 in January. And a new report shows that energy bills are set to cost more than two months of the average take-home pay next year unless the government intervenes. Plans in Labour’s ’emergency package’ include: • Freeze the price ceiling, which the party says will reduce inflation by 4% • Support for customers not protected by the price cap • Price equalization for prepaid and monthly bill payers • Closing a loophole in the levy on government energy profits • A pledge to use the £14bn of untargeted funding already committed to prevent rising bills • 19 million insulation will come across the country in the next decade to reduce energy demand and lower bills Read more: What is a windfall tax, how much are oil companies already paying and has the UK tried it before? Use Chrome browser for more accessible video player 2:41 Working to deliver the cost of living plan Labor has said its energy plans are fully costed and will be paid for by removing “a significant tax loophole” in the windfall tax announced by then chancellor Rishi Sunak earlier this year. The party says the new investment allowances under the policy mean that for every £1 invested, 91.25p. will go back to companies for additional tax breaks – despite oil and gas producers posting big profits. Labor says scrapping these new investment allowances and pushing back the start date from when the party called for a tax windfall in January would raise £8bn, which could reduce household living costs. The party has also detailed a plan for energy sustainability and security, including doubling the UK’s offshore wind capacity, investing in solar, tidal and hydrogen and promoting new nuclear capacity. Sir Keir said Labour’s plan would “fix the problems now and for the future”, as he warned Britain’s cost of living crisis was “getting worse”. “We’ve had 12 years of a Tory government that failed to prepare and refused to invest, leaving bills higher and our country less safe,” he added. “This is a national emergency. We need strong leadership and urgent action.”

Timid Starmer goes a long way in the cost of living crisis

          Liz Bates

Political Correspondent @wizbates It is a reflection of the power vacuum at the top of UK politics that it is the Labor leader who has come under the most pressure to come up with a plan to raise energy prices – rather than the prime minister, who appears to be on his second holiday of in so many. weeks. After being criticized for being too timid about how to tackle the cost of living crisis, Keir Starmer has delivered. It proposes a seismic intervention that would freeze the energy price cap, protecting customers by shifting the financial burden back to the energy giants. It will no doubt play well with those bracing for huge increases in energy costs in the coming months. And with many charities warning that the most vulnerable simply won’t be able to cope this winter. It will probably be received less enthusiastically than Liz Truss and Rishi Sunak. Conservative leadership candidates have come under pressure to say how they will help those struggling and are now expected to explain why freezing the energy price cap is not an option. In the coming days this could shape the campaign – and be the moment the Labor leader finally makes the impact his critics have been calling for. Earlier this week, the Lib Dems called for the energy cap to be scrapped altogether. The government has announced that households will receive £400 to pay their fuel bills this autumn, but Boris Johnson admitted on Friday that current plans do not go far enough. The prime minister also reiterated his insistence that it was up to his successor to “make important fiscal decisions” after talks with energy bosses ended without new measures to ease the cost-of-living crisis. Johnson’s successor will not be announced until September 5. Read more: How the UK’s rising bills will become a matter of life and death Use Chrome browser for more accessible video player 14:11 ‘Further help coming in October’ Subscribe to the Daily Podcast on Apple Podcasts, Google Podcasts, Spotify, Spreaker Tory leadership hopeful Mr Sunack has unveiled a plan to cut rising energy bills for up to 16 million vulnerable people, which he hopes will propel him into Downing Street. The former chancellor also said he would legislate to make the UK “energy independent” by 2045 and provide immediate support for households – particularly the most vulnerable – facing soaring energy bills. Campaigner Liz Truss said cutting taxes was the best way to help with the cost of living over the winter. But the foreign secretary rejected calls for a windfall tax on oil and gas company profits.