With a Labour government promising bold reforms to tackle Britain’s energy crisis, we should ask a vital question: Who actually controls the cost of energy – the government, or the market?
Energy Secretary Ed Miliband has made some powerful pledges.
He says Britain must become “energy independent” through “clean, homegrown power,” and promises that bills will come down as a result.
He blames the previous government for leaving the country “at the mercy of international gas markets controlled by dictators,” and lays out a vision of domestic renewables delivered through a state-owned provider.
It sounds like a recipe for affordable, secure energy.
But the reality may not match the rhetoric – and the public deserves to understand why.
This month, donations through Ko-fi helped keep Vox Political going — and I’ve posted a quick update there about what’s next.
I’m working on a new investigation, a reissued book collection (free to £20+ donors), and plenty of videos to ruffle a few feathers.
Take a look behind the scenes: https://ko-fi.com/voxpolitical
And if you’ve already chipped in — thank you. You’re making this work possible.
The rhetoric: bold promises, clear targets
To Miliband’s credit, he is in fact saying what needs to be said.
The UK is over-reliant on imported gas, and recent years have shown how vulnerable that makes us to global price shocks.
Clean, renewable energy produced at home should be cheaper and more stable in the long run.
Labour’s plan includes lifting the ban on onshore wind, fast-tracking solar development, and launching “Great British Energy” – a publicly-owned company tasked with generating clean power.
These are important steps. But they don’t necessarily guarantee lower bills.
Buy Cruel Britannia in print here. Buy the Cruel Britannia ebook here. Or just click on the image!
The reality: the market still calls the shots
Here’s the problem: while the government may introduce new players and policy goals, the infrastructure and pricing mechanisms remain firmly in private hands.
1. The pricing system is still rigged around gas
Even if wind and solar are producing cheap electricity, the market bases its energy prices on the most expensive source – still (often) gas. That means the savings from clean power don’t necessarily reach consumers.
2. The energy system is dominated by profit-driven firms
Fossil fuel companies – many of them the same ones pivoting into renewables – will not simply accept lower profits. They have the resources and lobbying power to shape policy, delay change, and keep prices as high as regulation allows.
3. “Green” doesn’t mean “cheap” under private ownership
Much of the UK’s renewable infrastructure is already owned by corporations. Without strong public ownership or price controls, there’s no guarantee that even a fully green system would result in lower bills. Companies will want a return on their investments – and they’ll get it from consumers.
4. The grid and supply networks are still privatised
Even if generation becomes cheaper, the energy still flows through privately owned pipes and wires, with costs passed on to consumers. Ofgem regulates this sector, but price caps don’t stop companies from pushing for maximum allowable profits.
Get my free guide: “10 Political Lies You Were Sold This Decade” — just subscribe to our email list here:
👉 https://voxpoliticalonline.com
What needs to change: from rhetoric to reality
If Labour is serious about cutting bills and securing energy independence, it needs to go much further than it has so far suggested.
Here are three key changes that would make a real difference:
1. Expand public ownership beyond generation
Great British Energy is a start, but it’s not enough. To truly influence prices, the government should consider taking control of key parts of the grid and even energy retail – the part of the system that actually sells electricity and gas to households. Only then can it bypass profit-hungry suppliers and deliver cheaper power directly.
2. Reform the energy market pricing system
The current system pegs all electricity to the price of gas. That needs urgent reform. The government must decouple renewables from fossil fuel pricing, so consumers benefit from cheaper production costs.
3. Use public investment to suppress private profiteering
Instead of subsidising private firms to build renewables (which often ends in corporate windfalls), Labour should directly invest in and operate energy infrastructure for the public good. That means keeping costs low rather than maximising returns.
This month, donations through Ko-fi helped keep Vox Political going — and I’ve posted a quick update there about what’s next.
I’m working on a new investigation, a reissued book collection (free to £20+ donors), and plenty of videos to ruffle a few feathers.
Take a look behind the scenes: https://ko-fi.com/voxpolitical
And if you’ve already chipped in — thank you. You’re making this work possible.
The bottom line: Miliband knows what’s wrong – but will he take on Big Energy?
Ed Miliband understands the crisis.
His diagnosis is correct: dependence on gas, market instability, and lack of investment in domestic renewables have pushed the UK to the brink.
But his solution – a limited state intervention in a mostly private system – may not be enough to shift the balance of power away from profit-hungry corporations.
If Labour wants to truly bring down bills, it must confront the uncomfortable truth: it’s not enough to work with the energy market. It must reshape it.
Right now, it’s not the government that controls the cost of energy – it’s the market.
And the market doesn’t care whether you can afford to keep the lights on.
Vox Political needs your help!
If you want to support this site
(but don’t want to give your money to advertisers)
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Cruel Britannia is available
in either print or eBook format here:
The Livingstone Presumption is available
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Health Warning: Government! is now available
in either print or eBook format here:
The first collection, Strong Words and Hard Times,
is still available in either print or eBook format here:
Who really controls the cost of energy – the government or the market?
With a Labour government promising bold reforms to tackle Britain’s energy crisis, we should ask a vital question: Who actually controls the cost of energy – the government, or the market?
Energy Secretary Ed Miliband has made some powerful pledges.
He says Britain must become “energy independent” through “clean, homegrown power,” and promises that bills will come down as a result.
He blames the previous government for leaving the country “at the mercy of international gas markets controlled by dictators,” and lays out a vision of domestic renewables delivered through a state-owned provider.
It sounds like a recipe for affordable, secure energy.
But the reality may not match the rhetoric – and the public deserves to understand why.
This month, donations through Ko-fi helped keep Vox Political going — and I’ve posted a quick update there about what’s next.
I’m working on a new investigation, a reissued book collection (free to £20+ donors), and plenty of videos to ruffle a few feathers.
Take a look behind the scenes: https://ko-fi.com/voxpolitical
And if you’ve already chipped in — thank you. You’re making this work possible.
The rhetoric: bold promises, clear targets
To Miliband’s credit, he is in fact saying what needs to be said.
The UK is over-reliant on imported gas, and recent years have shown how vulnerable that makes us to global price shocks.
Clean, renewable energy produced at home should be cheaper and more stable in the long run.
Labour’s plan includes lifting the ban on onshore wind, fast-tracking solar development, and launching “Great British Energy” – a publicly-owned company tasked with generating clean power.
These are important steps. But they don’t necessarily guarantee lower bills.
Buy Cruel Britannia in print here. Buy the Cruel Britannia ebook here. Or just click on the image!
The reality: the market still calls the shots
Here’s the problem: while the government may introduce new players and policy goals, the infrastructure and pricing mechanisms remain firmly in private hands.
1. The pricing system is still rigged around gas
Even if wind and solar are producing cheap electricity, the market bases its energy prices on the most expensive source – still (often) gas. That means the savings from clean power don’t necessarily reach consumers.
2. The energy system is dominated by profit-driven firms
Fossil fuel companies – many of them the same ones pivoting into renewables – will not simply accept lower profits. They have the resources and lobbying power to shape policy, delay change, and keep prices as high as regulation allows.
3. “Green” doesn’t mean “cheap” under private ownership
Much of the UK’s renewable infrastructure is already owned by corporations. Without strong public ownership or price controls, there’s no guarantee that even a fully green system would result in lower bills. Companies will want a return on their investments – and they’ll get it from consumers.
4. The grid and supply networks are still privatised
Even if generation becomes cheaper, the energy still flows through privately owned pipes and wires, with costs passed on to consumers. Ofgem regulates this sector, but price caps don’t stop companies from pushing for maximum allowable profits.
Get my free guide: “10 Political Lies You Were Sold This Decade” — just subscribe to our email list here:
👉 https://voxpoliticalonline.com
What needs to change: from rhetoric to reality
If Labour is serious about cutting bills and securing energy independence, it needs to go much further than it has so far suggested.
Here are three key changes that would make a real difference:
1. Expand public ownership beyond generation
Great British Energy is a start, but it’s not enough. To truly influence prices, the government should consider taking control of key parts of the grid and even energy retail – the part of the system that actually sells electricity and gas to households. Only then can it bypass profit-hungry suppliers and deliver cheaper power directly.
2. Reform the energy market pricing system
The current system pegs all electricity to the price of gas. That needs urgent reform. The government must decouple renewables from fossil fuel pricing, so consumers benefit from cheaper production costs.
3. Use public investment to suppress private profiteering
Instead of subsidising private firms to build renewables (which often ends in corporate windfalls), Labour should directly invest in and operate energy infrastructure for the public good. That means keeping costs low rather than maximising returns.
This month, donations through Ko-fi helped keep Vox Political going — and I’ve posted a quick update there about what’s next.
I’m working on a new investigation, a reissued book collection (free to £20+ donors), and plenty of videos to ruffle a few feathers.
Take a look behind the scenes: https://ko-fi.com/voxpolitical
And if you’ve already chipped in — thank you. You’re making this work possible.
The bottom line: Miliband knows what’s wrong – but will he take on Big Energy?
Ed Miliband understands the crisis.
His diagnosis is correct: dependence on gas, market instability, and lack of investment in domestic renewables have pushed the UK to the brink.
But his solution – a limited state intervention in a mostly private system – may not be enough to shift the balance of power away from profit-hungry corporations.
If Labour wants to truly bring down bills, it must confront the uncomfortable truth: it’s not enough to work with the energy market. It must reshape it.
Right now, it’s not the government that controls the cost of energy – it’s the market.
And the market doesn’t care whether you can afford to keep the lights on.
Vox Political needs your help!
If you want to support this site
(but don’t want to give your money to advertisers)
you can make a one-off donation here:
Be among the first to know what’s going on! Here are the ways to manage it:
1) Register with us by clicking on ‘Subscribe’ (bottom right of the home page). You can then receive notifications of every new article that is posted here.
2) Follow VP on Twitter @VoxPolitical
3) Like the Facebook page at https://www.facebook.com/VoxPolitical/
Join the Vox Political Facebook page.
4) You could even make Vox Political your homepage at http://voxpoliticalonline.com
5) Follow Vox Political writer Mike Sivier on BlueSky
6) Join the MeWe page at https://mewe.com/p-front/voxpolitical
7) Feel free to comment!
And do share with your family and friends – so they don’t miss out!
If you have appreciated this article, don’t forget to share it using the buttons at the bottom of this page. Politics is about everybody – so let’s try to get everybody involved!
Buy Vox Political books so we can continue
fighting for the facts.
Cruel Britannia is available
in either print or eBook format here:
The Livingstone Presumption is available
in either print or eBook format here:
Health Warning: Government! is now available
in either print or eBook format here:
The first collection, Strong Words and Hard Times,
is still available in either print or eBook format here:
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