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Mon, 08 Jun 2026

Mon, 08 Jun 2026 Lib Dems propose energy price discounts for all households

The party estimates savings of £100-a-year on average for every household under the scheme.

* The Liberal Democrats have unveiled a new energy policy called the "Essential Energy Guarantee" which would provide every household with a basic allowance of cheap energy.
* Households that need more help, such as those on low incomes or with extra needs, would receive an additional discount on all their energy.
* The policy is estimated to save households £100 per year on average, with the poorest 20% saving £140 per year.
* Those in greatest need would see the biggest benefits, and the plan would also lead to longer-term savings for the state as it would reduce the cost of dealing with the consequences of living in cold and draughty houses.
* The policy would be funded by forcing energy regulator Ofgem to "claw back" £5bn in extra profits made by energy firms by 2028.
* The Liberal Democrats also want to remove green levies on household energy bills, have a targeted windfall tax on banks, and invest in more renewable generation.
* These measures are estimated to save £900 per year from average bills by 2035.