Jeremy Hunt, the Shadow Chancellor, strongly criticised the government‘s energy nationalisation plans, including the creation of the publicly owned Great British Energy.
This new company is designed to accelerate investment in renewable energy sources, such as offshore wind.
GB Energy will not operate as a conventional energy supplier but will instead serve primarily as an investment vehicle.
During a debate in the House of Commons on Monday, Mr Hunt argued that past Labour policies on nationalisation often resulted in taxpayer bailouts and said the current plans for nationalising the railway and energy sectors are more extensive than those under Tony Blair or any recent government.
The former Chancellor warned that publicly owned utilities might lead to increased union influence, more strikes and higher costs for taxpayers.
Jeremy Hunt said: “If the Chancellor really cares about fiscal responsibility, she should beware. The reason why unions like publicly owned utilities is that they give them more leverage on pay and more ability to demand bailouts.
“Unlearning the lessons of history will mean more strikes and bigger bills for the taxpayer.”
In response, Chancellor Rachel Reeves highlighted her focus on growth and recent planning system reforms.
Ms Reeves defended the measures, including new housing targets, ending the onshore wind energy ban and speeding up planning appeals, as necessary changes that the Conservative party failed to address.
