Reform UK has pledged to scrap VAT and green levies on household energy bills as rising oil prices linked to the Iran conflict refocus attention on costs.
The party says the move would cut the average bill by around £200 a year by removing charges it argues are driving up prices.
VAT is currently set at 5% on domestic energy which Reform says adds around £78 to annual bills at current price levels.
It also plans to remove the Renewables Obligation levy which the Treasury estimates adds £117 to a typical household bill.
A further proposal would scrap the Carbon Price Support mechanism which Reform says costs households around £15 a year.
The party argues the combined changes would deliver immediate relief as energy prices come under pressure from global markets.
Oil prices have risen sharply since the outbreak of the war involving Iran raising concerns about a knock on effect on gas and electricity bills.
Reform leader Nigel Farage is expected to use a London rally to attack existing energy policy.
He is due to say: “Labour and the Conservatives have pursued a net zero agenda that has only led to skyrocketing energy bills for working people.”
Reform Treasury spokesperson Robert Jenrick said: “It’s outrageous that as people face soaring bills the chancellor is slapping £200 worth of levies and taxes on the price of energy.”
The party said the policy would be funded in the short term through cuts to quango budgets of 7.5%.
It claims this would generate £2.5 billion a year by the end of the decade.
Reform also said it would unwind renewable subsidies over time to make the policy cost neutral.
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