Liz Truss makes a 'screaming U-turn' on the 'one-off tax' on electric companies

While Tory ministers have not branded the new plan a windfall tax, Labor believe it will indeed be, Ed Miliband claiming the government has been 'kicked and screamed' to introduce a limit on how much money power companies can earn

Liz Truss is accused of making another U-turn screaming (

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Labour has accused ministers of making another U-turn by finally agreeing to cap the prices charged by wind farms and nuclear power stations.

Ed Miliband said the Tories had been "kidded and shouted" to introduce a limit on how much money power companies can make.

Revenue from renewable energy producers and nuclear power plants will be capped under a new government plan to ensure they do not benefit from record energy prices.

While gas prices have soared over the past year, the price of electricity has also risen, meaning many UK wind farms and solar farms have been paid far more than the normal for their products, even if their costs have not increased significantly. .

Without giving many details, the government said it would try to break the link between high gas prices and the amount made by power producers.

Announcing the decision tonight, Business Secretary Jacob Rees-Mogg said: "UK businesses and consumers should pay a fair price for energy.

Ed Miliband said the Tories had been "dragged and kicked and shouted" to introduce a limit (

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"With prices soaring in the wake of Putin's heinous invasion of Ukraine, the government is taking swift and decisive action.

"We have worked with low-carbon generators to find a solution that will ensure that consumers do not pay significantly more for electricity generated from renewable and nuclear energy."

The government said it planned to introduce a price limit, but provided few details on how it would work.

Mr. Miliband, who is the secretary of state for Labor affairs, said ministers had "finally accepted the principle of Labor's call for a windfall electricity excess profit tax...