No windfall tax on energy companies
Alistair Darling has rejected proposals for a windfall tax on energy companies.
The Chancellor came under pressure at the recent TUC conference to follow the lead of other European countries, such as France, in imposing a levy on energy companies or regulating the escalating price of fuel.
Mr Darling has not completely ruled out a windfall tax, but did confirm that it was off the current agenda.
However, he stated that after 2012 energy businesses would have to pay for permits under the EU’s emissions trading scheme. At the moment companies only pay for 7% of their emissions.
