Blog: ‘Axe green taxes!’ New PM faces a Brexit-style revolution if they fail to cut energy bills – Express

The warning has come from the Together Association campaign group, which has raised more than 300,000 signatures on a petition to scrap VAT on energy bills and scrap the green levy aimed at achieving Net Zero climate change goals. It follows Mr Sunak and Ms Truss locking horns this week over the future of taxation in the UK with fears that tax increases are fuelling the cost-of-living crisis. It comes amid reports that Mr Sunak is set to bow to pressure and reverse his opposition to removing VAT from energy bills.

Together Association’s Axe the Tax campaign has come amid fears that by November this year the average household fuel bill is set to rise to well above £3,000.

It has hit the heart of a central issue in the Tory leadership contest, with the candidates all offering to look at Net Zero goals which are already unpopular with Tory members and voters.

In April a Techne UK poll for Express.co.uk revealed that seven in 10 voters opposed the Green Levy on fuel bills.

Alan Miller, co-founder of the Together Association, said: “The cost-of-living crisis, which is largely a cost of lockdown, is hitting businesses and families harshly.

“Whoever becomes Prime Minister needs to take swift action to eliminate VAT and green taxes on fuel and energy.

“They risk facing a challenge on the scale seen with Brexit if this is not addressed. We cannot have this situation continue and get worse as we go into autumn.

“That is why we at the Together Association are demanding the new Prime Minister commits to Axe the Tax.”

So far from the final two only Ms Truss has said she will suspend the Green Levy requirements in a means of bringing down fuel bills.

Others including Penny Mordaunt, who went out of the contest in the MP voting rounds, had also pledged to remove VAT from energy bills using Brexit freedoms. Now Mr Sunak is set to follow suit.

The Together Association has five aims which it wants the new Prime Minister to agree to or face protests:

  • Axe fuel duty – currently 52 percent
  • Axe VAT on domestic gas & electricity bills – currently five percent
  • Axe VAT on fuel – currently 20 percent
  • Axe Government, environmental & social schemes tax on domestic gas and electricity – currently approximately 15 percent
  • Price cap of £1,300 for direct debit & pre-payment customers

READ MORE: Truss to pull rug from under unions and forge new emergency law

The campaign already has significant backing from business figures.

Hugh Osmond, an entrepreneur, businessman and founder of Punch Taverns said: “Heat or eat is a very real dilemma with many families across the country facing the prospect

of an autumn in which they must make impossible choices just to survive at all.

“Small businesses make up 99 percent of all businesses in the UK, employ over three fifths of the workforce and are responsible for almost half the country’s entire revenue.

“Already burdened with lockdown debt loans, thousands simply won’t be able to pay the extra costs of energy, transportation and goods, which are all forecasted to continue to increase.

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“Without a reduction in green taxes, fuel tax and a cap on energy, they will have no choice but to make staff redundant, putting even more pressure on the treasury. Now is the time to pause, allow these businesses to recover and adapt to higher costs”

Bernie Spofforth, chief executive of IP Patents Global Manufacturing, said: “It’s not too late, we can and we must take a different path, one that allows businesses to continue to operate, employees to remain employed and parents to provide for their children. We must act now to afford individuals and businesses the freedom required to mount an urgent recovery.

“This situation is unsustainable and unacceptable.”

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