Green levies - why scrapping them wouldn't lower your bills as much as claimed

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Green levies - why scrapping them wouldn't lower your bills as much as claimed
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Ofgem has confirmed the true amount of electricity bills taken up by 'green levies' - and it is much less than claimed.

Under the 1 April 2022 price cap, environmental levies represent 9% of electricity bills, or 12% when combined with social levies.

Some policies are a mix of social and environmental, such as the Energy Company Obligation , which funds things like insulation, helps to lower bills for those who need it and cuts emissions."Energy bill increases are being driven by record-high wholesale gas prices - not green levies which represent a small fraction of bills," a UK government spokesperson told Sky News.

"They are actively helping to limit electricity price increases by reducing the need to import expensive gas from places like Russia and essentially funding Putin's war," she said. The government defines a subsidy as"government action that lowers the pre-tax price to consumers to below international market levels".What could happen to green levies?

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