Why MPs must block George Osborne’s dash for gas

The Chancellor's plans will cost bill payers £25bn more in the 2020s than developing low-carbon energy and breach the UK's climate change targets.

The next 20 years, starting now, will see colossal investment in overhauling Britain’s ageing electricity infrastructure, as old coal and nuclear power stations are closed, and the grid gets updated. A vote in Parliament this week on a clean power target amendment to the government’s Energy Bill will determine what sorts of new kit we will get.

The battle lines are drawn over competing visions of the future. A fossil-fuelled, Treasury and George Osborne future, involving tripling the amount of electricity we get from gas, or a low-carbon future, involving ramping up the power we get from Britain’s near-limitless resources from the waves, water, wind, tides and sun.

At stake are living standards, jobs and the economy, and climate change. Domestic fuel bills will soar if we stay chained to volatile global gas prices - it is spiralling gas price rises which have been responsible for the majority of people’s electricity and gas bill rises in the last decade. The independent committee on climate change’s analysis shows that Osborne’s dash-for-gas will cost bill payers £25bn more in the 2020s than developing low-carbon energy. At a time of squeezed living standards, households are handing over larger and larger shares of their income to the big six energy companies. Only a massive programme of energy efficiency that gets the UK off the fossil fuel hook can protect ordinary people.

There are hundreds of thousands of jobs in the green economy, one of the few sectors to grow in recession-hit Britain. But its future is uncertain. A huge coalition of more than 200 leading businesses, energy investors, trade unions and charities, including household names like Asda and Microsoft, as well as leading manufacturers like Siemens, Mitsubishi, Alstom, are saying a decarbonisation target in the Energy Bill is essential to give companies the confidence to invest in low carbon energy and the supply chains to build it.

If Osborne gets his way, there is no question that the UK will breach its legally binding climate change targets. The difference between the Chancellor's vision and low-carbon power is staggering. Osborne’s plans involve increasing the amount of gas-power in the 2020s to the equivalent of over 30 new gas power plants. This amounts to over 500 million extra tonnes of carbon dioxide: equivalent to every car and taxi on the road for eight years, or every flight for 16 years.

Where will Osborne’s gas come from? North Sea gas reserves are falling fast. So we can either massively increase our energy dependence on gas imports from countries like Qatar, or we can try and plug the gap with shale gas – but for that to provide more than a fraction of our needs we would need thousands of wells across the country. Both these options look like political poison. A recent article on ConservativeHome, "The right-wing consensus on shale gas is about to be blown apart", concluded: "shale gas must also have a huge physical presence across large swathes of rural England. .. it will have political consequences – bigger than wind farms, bigger than HS2 and bigger, even, than greenfield housing development".

All economies need to get off fossil fuels and fast. Electricity is the place to start. MPs get to decide this Tuesday. Nearly 300 MPs from across all parties back the decarbonisation target. The vote will be close. Full turn-out from Labour (who back the target), and a few more Conservative and Liberal Democrats (whose policy it is to support the target but whose leadership is currently siding with Osborne) will help put the UK at the forefront of a clean energy revolution. As Sir John Ashton, the UK’s former climate change envoy said this month: "I can’t myself see how any MP who votes against the target will thereafter be able credibly to claim that they support an effective response to climate change".

Simon Bullock is senior campaigner on climate change at Friends of the Earth

George Osborne makes a visit to the Prysmian Group factory in the constituency of Eastleigh on February 13, 2013. Photograph: Getty Images.

Simon Bullock is senior campaigner on climate change at Friends of the Earth

Paul McMillan
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"We're an easy target": how a Tory manifesto pledge will tear families apart

Under current rules, bringing your foreign spouse to the UK is a luxury reserved for those earning £18,600 a year or more. The Tories want to make it even more exclusive. 

Carolyn Matthew met her partner, George, in South Africa sixteen years ago. She settled down with him, had kids, and lived like a normal family until last year, when they made the fateful decision to move to her hometown in Scotland. Matthew, 55, had elderly parents, and after 30 years away from home she wanted to be close to them. 

But Carolyn nor George - despite consulting a South African immigration lawyer – did not anticipate one huge stumbling block. That is the rule, introduced in 2012, that a British citizen must earn £18,600 a year before a foreign spouse may join them in the UK. 

“It is very dispiriting,” Carolyn said to me on the telephone from Bo’ness, a small town on the Firth of Forth, near Falkirk. “In two weeks, George has got to go back to South Africa.” Carolyn, who worked in corporate complaints, has struggled to find the same kind of work in her hometown. Jobs at the biggest local employer tend to be minimum wage. George, on the other hand, is an engineer – yet cannot work because of his holiday visa. 

To its critics, the minimum income threshold seems nonsensical. It splits up families – including children from parents – and discriminates against those likely to earn lower wages, such as women, ethnic minorities and anyone living outside London and the South East. The Migration Observatory has calculated that roughly half Britain’s working population would not meet the requirement. 

Yet the Conservative party not only wishes to maintain the policy, but hike the threshold. The manifesto stated:  “We will increase the earnings thresholds for people wishing to sponsor migrants for family visas.” 

Initially, the threshold was justified as a means of preventing foreign spouses from relying on the state. But tellingly, the Tory manifesto pledge comes under the heading of “Controlling Immigration”. 

Carolyn points out that because George cannot work while he is visiting her, she must support the two of them for months at a time without turning to state aid. “I don’t claim benefits,” she told me. “That is the last thing I want to do.” If both of them could work “life would be easy”. She believes that if the minimum income threshold is raised any further "it is going to make it a nightmare for everyone".

Stuart McDonald, the SNP MP for Cumbernauld, Kilsyth and Kirkintilloch East, co-sponsored a Westminster Hall debate on the subject earlier this year. While the Tory manifesto pledge is vague, McDonald warns that one option is the highest income threshold suggested in 2012 - £25,700, or more than the median yearly wage in the East Midlands. 

He described the current scheme as “just about the most draconian family visa rules in the world”, and believes a hike could affect more than half of British citizens. 

"Theresa May is forcing people to choose between their families and their homes in the UK - a choice which most people will think utterly unfair and unacceptable,” he said.  

For those a pay rise away from the current threshold, a hike will be demoralising. For Paul McMillan, 25, it is a sign that it’s time to emigrate.

McMillan, a graduate, met his American girlfriend Megan while travelling in 2012 (the couple are pictured above). He could find a job that will allow him to meet the minimum income threshold – if he were not now studying for a medical degree.  Like Matthew, McMillan’s partner has no intention of claiming benefits – in fact, he expects her visa would specifically ban her from doing so. 

Fed up with the hostile attitude to immigrants, and confident of his options elsewhere, McMillan is already planning a career abroad. “I am going to take off in four years,” he told me. 

As for why the Tories want to raise the minimum income threshold, he thinks it’s obvious – to force down immigration numbers. “None of this is about the amount of money we need to earn,” he said. “We’re an easy target for the government.”

Julia Rampen is the digital news editor of the New Statesman (previously editor of The Staggers, The New Statesman's online rolling politics blog). She has also been deputy editor at Mirror Money Online and has worked as a financial journalist for several trade magazines. 

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