Overview
- The TUC published a detailed proposal this week pressing the government to act before the energy price cap is reset on 1 July, which regulators and reporters say will lift the typical annual bill to about £1,862.
- Under the plan, roughly 65–66% of households would receive an income‑graded discount: 30% off for lowest incomes (£559 a year), 20% for below‑median earners (£373), and 10% for middle or some higher earners (£186).
- The union estimates the scheme would cost between £3.4 billion and £5.9 billion a year and says an increased windfall tax on banks could fund it, with the TUC projecting up to £60 billion raised over four years.
- TUC general secretary Paul Nowak framed the move as both an emergency fix and a case for a permanent safeguard against volatile global energy prices, and he publicly criticised Nigel Farage’s recent outreach to unions as politically opportunistic.
- If adopted, the TUC says the tariff would cut headline inflation by 0.3–0.4 percentage points and ease immediate household pressure from higher bills; coverage differs on some figures, with outlets reporting variations in the windfall‑tax yield and the exact share of households covered.