Miliband: Energy Bill Freeze 'Would Save £100m'

Freezing energy prices would save the taxpayer more than £100m in reduced fuel bills for public services such as hospitals and schools, says Labour leader Ed Miliband.

Labour has promised to freeze the price of bills until 2017 and "reset the broken energy market" if the party wins the 2015 general election.

The Opposition leader - speaking during a visit to Crouch End in north London - said £40 million would be cut from NHS costs, £28 million from schools and £21 million from defence if the move was implemented now.

The Tories have dismissed the price freeze idea as a "con", suggesting energy firms would simply push up prices in the run up to any freeze or immediately afterwards.

Controversial energy price rises have seen the average bill go up by an average of nine per cent and made the issue a hot political topic.

Mr Miliband said: "If Labour win the next election, we will freeze energy prices until 2017.

"Labour's price freeze will save families an average £120 and an average small business user would benefit by over £5,000.

Mr Miliband revealed the price freeze pledge at his party's conference

He added: "It's not just Britain's families and businesses that would benefit from this price freeze, it's our vital public services too.

"New figures today show that if David Cameron put in place our freeze today, public services would save £100m.

"And that matters more than ever in an era when there's less money around."

He said savings to the NHS were the equivalent of 1,300 nurses' salaries and that school savings could pay for the salaries of over 700 teachers.

Labour's figures are drawn mainly from answers to a series of parliamentary questions by shadow chief secretary to the Treasury Chris Leslie.

Parliament earlier this week voted against Labour's proposal to freeze energy prices for 20 months but Labour is pushing ahead with the pledge as part of its strategy to win the next election.

The coalition government argues that a price freeze is not workable.

Instead it is putting in place an annual competition check by regulators, while the Conservatives will push for green levies on bills to be rolled back in the Chancellor's autumn statement in December.

Representatives from the 'Big Six' energy companies were also recently grilled by MPs, with E.ON boss Tony Cocker calling for a Competition Commission inquiry to reassure customers.

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