London Daily

Focus on the big picture.
Thursday, Apr 02, 2026

Liz Truss’s plans to help lowest earners pay energy bills ‘insulting’, says Labour

Liz Truss’s plans to help lowest earners pay energy bills ‘insulting’, says Labour

Analysis of tax proposals shows a full-time employee on national minimum wage would gain £1 a week
Liz Truss’s “insulting” plans to help people with their energy bills would give the lowest paid just £1 a week when their costs will rise by an estimated £57, Labour has said.

Rachel Reeves, the shadow chancellor, said Truss’s plans were not only uncosted but woefully inadequate, adding that reversing the national insurance rise would give those on the national minimum wage an estimated £1 a week – enough to cover just 3% of the increase in energy bills.

In recent days, Truss has softened on the subject of giving people direct help to cover rising bills but has sounded firmly opposed to so-called “handouts” at other times, saying cutting taxes are the answer. The foreign secretary has also said she would remove “green levies” from bills, which cost on average £3 a week.

Boris Johnson said on Friday the current package giving people £400 as an energy grant, and up to £650 for 8 million of the most vulnerable, was not enough in the face of further rises due in October and again next year.

Amid forecasts that energy bills could hit £5,000 a year by next April, the prime minister made clear that he expected his successor to act.

Asked if the current package was enough, Johnson said: “No, because what I’m saying we’re doing in addition is trying to make sure that by October, by January, there is further support, and what the government will be doing, whoever is the prime minister, is making sure there is extra cash to help people.”

Rishi Sunak, Truss’s rival in the Conservative leadership content, has set out plans for a £10bn support package to help people with their energy bills, saying he would be prepared to borrow to do so.

But new analysis by the Tony Blair Institute said Sunak’s plan to cut VAT on fuel would only amount to a saving of about £14 a month for the typical household.

Keir Starmer, the Labour leader, has faced criticism in recent days for failing to present Labour’s policy on energy, with the former prime minister Gordon Brown suggesting temporary nationalisation to get through the crisis. Starmer is expected to set out a fully costed Labour plan for energy on Monday.

Labour’s analysis of Truss’s tax proposals shows that an employee working full-time on the national minimum wage will gain only £1 a week as a result of changes to national insurance. On Friday Reeves said: “Liz Truss’ uncosted tax plan will only give workers on the national minimum wage an insulting £1 of additional support while their weekly energy costs are increasing by £57 a week.

“The minimum wage is already not enough to live on and this further lack of support for working people from the Conservatives risks plunging the lowest paid workers into real financial hardship.

“A Labour government would act now to cut bills by taxing the huge profits made by the oil and gas producers, bringing down energy bills for good with a green energy sprint for homegrown power, and bringing forward a 10-year warm homes plan to cut bills for 19 million families living in cold, draughty homes.”

Thérèse Coffey, the work and pensions secretary and one of Truss’s key allies, said on Friday that the cost of bills would be “nowhere near” the levels predicted by independent analysts.

Defending Truss, Coffey said: “She is absolutely an MP who knows what it is like for struggling households and that is why, quite rightly in a considered way, once Ofgem comes up with their price cap … all of government … and it will be a decision for the new prime minister to enact what changes could be made.”

A spokesperson for Sunak’s campaign said on Friday that Truss had “blown a further £5bn black hole in her plans” by not backing the windfall tax. However, the Truss campaign later clarified that she was not scrapping the current windfall tax, despite being against them in principle as a “Labour idea”.
Newsletter

Related Articles

0:00
0:00
Close
King Charles III Invited to Address Joint Session of U.S. Congress in Rare Diplomatic Honor
Debate Grows Over Whether Expanded North Sea Drilling Can Reduce UK Energy Bills
UK Faces Heightened Risk of Jet Fuel Shortages, Airline Chief Warns
UK Ends Police Investigations into Lawful Social Media Posts After Review Finds Overreach
Abramovich Moves to Establish Charity for Frozen Chelsea Sale Proceeds Amid UK Dispute
Starmer Reaffirms NATO Commitment While Responding to Trump’s Strategic Critique
UK Aid Reductions Raise Fears of Severe Human Impact Across Parts of Africa
UK Signals Renewed Push for EU Cooperation as Iran Conflict Reshapes Security Landscape
Bank of England Signals Caution as Bailey Advises Markets Against Expecting Rate Hikes
UK to Convene Global Coalition to Restore Shipping Through Strait of Hormuz
Trump Signals Possible NATO Reassessment, Emphasizes Stronger U.S. Strategic Autonomy
Australia Joins British-Led Efforts to Reopen Strait of Hormuz Amid Escalating Tensions
King Charles Plans US State Visit as UK Strengthens Ties with Trump Leadership
UK Regulator Launches Investigation Into Microsoft’s Business Software Practices
Kanye West Set for High-Profile Return to UK Stage at Wireless Festival
Trump Presses Europe to Strengthen Commitment as Iran Conflict Escalates
UK to Deploy Additional Troops to Middle East Amid Rising Regional Tensions
UK Authorities Face Claims of Heavy-Handed Measures in Monitoring Released Pro-Palestine Activists
Trump Calls on UK to Secure Its Own Energy as Iran Conflict Intensifies
Nigel Farage Declines Invitation to UK Conservative Conference Led by Liz Truss
Trump Warns Allies to Take Responsibility as Rift Deepens with UK and France Over Iran Conflict
How Britain’s Prime Minister Controls U.S. Bomber Access in Escalating Iran Conflict
Trump Urges Allies to Secure Their Own Oil Supplies as Hormuz Crisis Disrupts Global Energy
Russia Expels British Diplomat as UK Pushes Back Against Pressure
White House App Faces Scrutiny After Claims of Continuous User Location Tracking
BBC Faces Scrutiny Over Allegations of Paid Content Linked to Saudi Arabia
UK-France Coastal Patrol Agreement Nears Breakdown Amid Migration Pressures
UK Police Detain Pro-Palestine Activist Again Weeks After Bail Release
FTSE 100 Advances as Energy and Mining Shares Gain Amid Middle East Tensions
Eli Lilly Seeks UK Pricing Deal to Unlock Renewed Pharmaceutical Investment
Three Arrested in UK After Massive Cocaine Haul Discovered Hidden in Banana Shipment
UK Fuel Prices Poised for Further Surge Amid Global Energy Pressures
Apple Subsidiary Penalized by UK Authorities for Breach of Moscow Sanctions
Western Allies Intensify Coordinated Sanctions Strategy Against Russia
UK Lawmakers Face Criticism Over Renewed Push for Social Media Restrictions
Starmer Signals UK Crackdown on Addictive Social Media Features
Rising Costs Push One in Five UK Hospitality Businesses to the Brink of Closure
Man Arrested on Suspicion of Attempted Murder After Car Strikes Pedestrians in UK, Injuring Seven
Escalating Conflict Involving Iran Tightens Fiscal Pressures and Highlights UK Economic Vulnerabilities
UK Moves to Confront Russian ‘Shadow Fleet’ Operating in Its Waters
UK Housing Divide Deepens as Older Owners Hold Wealth While Under-30s Face Mounting Barriers
London Demonstration Calls on UK to Recognize Iranian Opposition’s Provisional Government
UK Green Party Vote on ‘Zionism is Racism’ Motion Collapses Amid Internal Disputes and Technical Failures
SNL UK Ignites Debate with Sharp Royal Satire Targeting Prince Andrew and Prince William
EU Proposes ‘Emergency Brake’ to Resolve Deadlock in UK Youth Mobility Talks
Thousands Rally in London to Oppose Rise of Far-Right Movements
Hong Kong Official Rejects Allegations of Surveillance Orders Targeting UK-Based Dissidents
PayPal Expands Cryptocurrency Services to Allow UK Users to Buy and Sell Bitcoin
UK Minister Challenges Reform Party’s ‘Pro-Family’ Agenda as Debate Intensifies
Concerns Grow Over Meningitis Risk Among UK Students Amid Warning Signs of New Outbreaks
×