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| Sir John Major calls for windfall tax on energy profits | Sir John Major calls for windfall tax on energy profits |
| (35 minutes later) | |
| Former prime minister Sir John Major has called for an emergency tax on the profits of the UK's top energy firms. | Former prime minister Sir John Major has called for an emergency tax on the profits of the UK's top energy firms. |
| Speaking at a lunch in Westminster, the ex-Conservative leader said recent price rises of more than 10% were "unacceptable" and action was needed. | Speaking at a lunch in Westminster, the ex-Conservative leader said recent price rises of more than 10% were "unacceptable" and action was needed. |
| The government could claw back the cost of extra winter fuel payments through a one-off tax, he suggested. | The government could claw back the cost of extra winter fuel payments through a one-off tax, he suggested. |
| Downing Street said it was an "interesting contribution" but the government had no plans for such a tax. | |
| Ministers have rejected calls by Labour leader Ed Miliband for a price freeze, describing it as a "con" and urging hard-pressed consumers to switch suppliers instead. | |
| Three of the so-called "big six" energy firms - Npower, SSE, and British Gas - have announced plans to raise gas and electricity bills by between 8% and 10%. | |
| Analysts expect the others - Scottish Power, E.On and EDF - to follow suit with similar price increases. | |
| Sir John - prime minister between 1990 and 1997 - said price rises of this kind were not justified and it would be "acceptable" for the government to impose a one-off levy to recover the cost of cold weather payments this winter. | |
| Cold weather payments are triggered when the temperature falls below a certain level for a prolonged period. | |
| Fuel poverty campaigners have said the price rises will leave some people with the choice of having to "heat or eat" this winter but energy firms say they are needed to cover the cost of rising wholesale prices and environmental obligations. | |
| Asked about Labour's plan for price freeze if it is elected in 2015, Sir John said "Ed Miliband's heart was in the right place but his head has gone walkabout". | |
| The BBC's political correspondent Robin Brant said this was a serious intervention, representing the most senior Conservative to call for action to "punish" energy firms. |