The problem with Cameron's energy plan

A tariff is not "the lowest" if it's the only one available.

When David Cameron boldly declared, to the surprise of his ministers, that the government would force energy companies to put all their customers on the lowest tariff available, few expected his proposal to last. But the coalition will today attempt to fulfil the Prime Minister's pledge. Energy Secretary Ed Davey is expected to announce that suppliers will be required to offer no more than four core tariffs (including fixed and variable rates) and to automatically move customers on to the cheapest one in each case.

Yet if companies are forced to offer consumers the lowest tariff in each category (be it fixed rate or variable), this won't be the lowest tariff available - it will be the only one. It would be as accurate to call it "the highest" tariff as it would be to call it "the lowest". And why should we assume that this single tariff will be set at the lowest rate currently available? The danger is that that the "Big Six" will simply raise the level of the lowest tariff, so that consumers pay no less, or even more, than at present. Ann Robinson, director of consumer policy at uSwitch, has warned that the unintended consequence of the move will be "to kill competition". She told the Guardian: "Consumers will be left with Hobson's choice – there will be no spur, no choice, no innovation and no reason for consumers to engage any more."

Labour too is sceptical. Shadow energy secretary Caroline Flint notes that "the cheapest deal in an uncompetitive market will still not be a good deal. Unless David Cameron stands up to vested interests in the energy market and creates a tough new watchdog with powers to force energy companies to pass on price cuts his warm words will be cold comfort to people worried about paying their fuel bill this winter. "

In promising to win a better deal for consumers and denouncing the last Labour government for its failure to do so, Cameron has raised significant expectations. If he proves unable to fulfil them, it is his government that will pay the price.

David Cameron with Energy Secretary Ed Davey. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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“Trembling, shaking / Oh, my heart is aching”: the EU out campaign song will give you chills

But not in a good way.

You know the story. Some old guys with vague dreams of empire want Britain to leave the European Union. They’ve been kicking up such a big fuss over the past few years that the government is letting the public decide.

And what is it that sways a largely politically indifferent electorate? Strikes hope in their hearts for a mildly less bureaucratic yet dangerously human rights-free future? An anthem, of course!

Originally by Carly You’re so Vain Simon, this is the song the Leave.EU campaign (Nigel Farage’s chosen group) has chosen. It is performed by the singer Antonia Suñer, for whom freedom from the technofederalists couldn’t come any suñer.

Here are the lyrics, of which your mole has done a close reading. But essentially it’s just nature imagery with fascist undertones and some heartburn.

"Let the river run

"Let all the dreamers

"Wake the nation.

"Come, the new Jerusalem."

Don’t use a river metaphor in anything political, unless you actively want to evoke Enoch Powell. Also, Jerusalem? That’s a bit... strong, isn’t it? Heavy connotations of being a little bit too Englandy.

"Silver cities rise,

"The morning lights,

"The streets that meet them,

"And sirens call them on

"With a song."

Sirens and streets. Doesn’t sound like a wholly un-authoritarian view of the UK’s EU-free future to me.

"It’s asking for the taking,

"Trembling, shaking,

"Oh, my heart is aching."

A reference to the elderly nature of many of the UK’s eurosceptics, perhaps?

"We’re coming to the edge,

"Running on the water,

"Coming through the fog,

"Your sons and daughters."

I feel like this is something to do with the hosepipe ban.

"We the great and small,

"Stand on a star,

"And blaze a trail of desire,

"Through the dark’ning dawn."

Everyone will have to speak this kind of English in the new Jerusalem, m'lady, oft with shorten’d words which will leave you feeling cringéd.

"It’s asking for the taking.

"Come run with me now,

"The sky is the colour of blue,

"You’ve never even seen,

"In the eyes of your lover."

I think this means: no one has ever loved anyone with the same colour eyes as the EU flag.

I'm a mole, innit.