David Miliband to guest-edit next week's New Statesman

Issue to focus on shifts in world power.

A special issue featuring essays, columns and interviews ­— with
Hillary Clinton, Kevin Rudd, Richard Branson, Michael Semple interview with Taliban leader, Tony Blair, Kwame Kwei-Armah, Russell Brand, Ed Miliband, David Walliams, Jonathan Coe, Jo Brand, Ozwald Boateng and many others

For this 80-page edition, David Miliband has commissioned a series of articles around the theme of shifts in world power.

David Miliband said:

“For many years I have wanted to tell New Statesman readers what really matters — so when Jason Cowley asked me to guest-edit an issue it was a challenge I couldn’t resist!

“This is an extraordinary time of economic and political change around the world that is immensely challenging for the west and for the left. So I have produced an issue that tries to explain the big drivers of change in the world, and how the west and the left should react.

“The issue reflects what I care about — from South Shields to human rights to what makes me smile or laugh. And I have tried to produce an issue that is passionate without shouting and uses reason without being technocratic.”

Jason Cowley, editor of the New Statesman, said:

“I asked David to guest-edit because we wanted to produce an issue exploring the great challenges facing the world in what is a period of profound and uneasy transition as power shifts from west to east and the old European social-democratic model becomes unsustainable. As a former foreign secretary and one of our most intellectually capable politicians, he was ideally placed to gather together leading thinkers and politicians in one issue of the New Statesman.

“Our guest-edited issues have proved hugely popular with our readers as well as being great journalistic successes. This one will be no different.”

The issue, cover-dated 16 July, will be on sale in London on Thursday 12 July and in the rest of the country from Friday 13 July. International buyers can obtain copies on our website at www.newstatesman.com.

NOTES FOR EDITORS

David Miliband is the New Statesman’s seventh guest editor, after Alastair Campbell, Ken Livingstone, Melvyn Bragg, Jemima Khan, Rowan Williams and Richard Dawkins.

Exclusives:

Melvyn Bragg’s guest edit on 11 October 2010 featured “Last Letter”, a newly discovered, previously unpublished poem by Ted Hughes about the night that his wife Sylvia Plath committed suicide.

Jemima Khan’s guest edit (11 April 2011) featured her agenda-setting interview with the Deputy Prime Minister, Nick Clegg – in which he declared “I’m not a punchbag” – as well as Hugh Grant’s undercover interview with a former News of the World executive which became a worldwide media sensation.

Rowan Williams’s guest edit on 13 June 2011 dominated the news agenda for several days in response to his bold leader article criticising the coalition. He wrote, "We are being committed to radical, long-term policies for which no one voted.”

Richard Dawkins’s guest edit (19 December 2011) contained the last interview with the writer and polemicist Christopher Hitchens.

Artwork by Hvass & Hannibal @ Pocko
Getty
Show Hide image

Debunking Boris Johnson's claim that energy bills will be lower if we leave the EU

Why the Brexiteers' energy policy is less power to the people and more electric shock.

Boris Johnson and Michael Gove have promised that they will end VAT on domestic energy bills if the country votes to leave in the EU referendum. This would save Britain £2bn, or "over £60" per household, they claimed in The Sun this morning.

They are right that this is not something that could be done without leaving the Union. But is such a promise responsible? Might Brexit in fact cost us much more in increased energy bills than an end to VAT could ever hope to save? Quite probably.

Let’s do the maths...

In 2014, the latest year for which figures are available, the UK imported 46 per cent of our total energy supply. Over 20 other countries helped us keep our lights on, from Russian coal to Norwegian gas. And according to Energy Secretary Amber Rudd, this trend is only set to continue (regardless of the potential for domestic fracking), thanks to our declining reserves of North Sea gas and oil.


Click to enlarge.

The reliance on imports makes the UK highly vulnerable to fluctuations in the value of the pound: the lower its value, the more we have to pay for anything we import. This is a situation that could spell disaster in the case of a Brexit, with the Treasury estimating that a vote to leave could cause the pound to fall by 12 per cent.

So what does this mean for our energy bills? According to December’s figures from the Office of National Statistics, the average UK household spends £25.80 a week on gas, electricity and other fuels, which adds up to £35.7bn a year across the UK. And if roughly 45 per cent (£16.4bn) of that amount is based on imports, then a devaluation of the pound could cause their cost to rise 12 per cent – to £18.4bn.

This would represent a 5.6 per cent increase in our total spending on domestic energy, bringing the annual cost up to £37.7bn, and resulting in a £75 a year rise per average household. That’s £11 more than the Brexiteers have promised removing VAT would reduce bills by. 

This is a rough estimate – and adjustments would have to be made to account for the varying exchange rates of the countries we trade with, as well as the proportion of the energy imports that are allocated to domestic use – but it makes a start at holding Johnson and Gove’s latest figures to account.

Here are five other ways in which leaving the EU could risk soaring energy prices:

We would have less control over EU energy policy

A new report from Chatham House argues that the deeply integrated nature of the UK’s energy system means that we couldn’t simply switch-off the  relationship with the EU. “It would be neither possible nor desirable to ‘unplug’ the UK from Europe’s energy networks,” they argue. “A degree of continued adherence to EU market, environmental and governance rules would be inevitable.”

Exclusion from Europe’s Internal Energy Market could have a long-term negative impact

Secretary of State for Energy and Climate Change Amber Rudd said that a Brexit was likely to produce an “electric shock” for UK energy customers – with costs spiralling upwards “by at least half a billion pounds a year”. This claim was based on Vivid Economic’s report for the National Grid, which warned that if Britain was excluded from the IEM, the potential impact “could be up to £500m per year by the early 2020s”.

Brexit could make our energy supply less secure

Rudd has also stressed  the risks to energy security that a vote to Leave could entail. In a speech made last Thursday, she pointed her finger particularly in the direction of Vladamir Putin and his ability to bloc gas supplies to the UK: “As a bloc of 500 million people we have the power to force Putin’s hand. We can coordinate our response to a crisis.”

It could also choke investment into British energy infrastructure

£45bn was invested in Britain’s energy system from elsewhere in the EU in 2014. But the German industrial conglomerate Siemens, who makes hundreds of the turbines used the UK’s offshore windfarms, has warned that Brexit “could make the UK a less attractive place to do business”.

Petrol costs would also rise

The AA has warned that leaving the EU could cause petrol prices to rise by as much 19p a litre. That’s an extra £10 every time you fill up the family car. More cautious estimates, such as that from the RAC, still see pump prices rising by £2 per tank.

The EU is an invaluable ally in the fight against Climate Change

At a speech at a solar farm in Lincolnshire last Friday, Jeremy Corbyn argued that the need for co-orinated energy policy is now greater than ever “Climate change is one of the greatest fights of our generation and, at a time when the Government has scrapped funding for green projects, it is vital that we remain in the EU so we can keep accessing valuable funding streams to protect our environment.”

Corbyn’s statement builds upon those made by Green Party MEP, Keith Taylor, whose consultations with research groups have stressed the importance of maintaining the EU’s energy efficiency directive: “Outside the EU, the government’s zeal for deregulation will put a kibosh on the progress made on energy efficiency in Britain.”

India Bourke is the New Statesman's editorial assistant.