Labour is still searching for an energy fix for a new world

The chancellor is right to focus on pure affordability, but £100 handouts and delayed decisions won’t shield consumers from the next wave of price hikes

Amid the myriad of small measures, virtually everything in John Healey’s budget came back to the cost of energy. The higher energy prices that have resulted from the Iran war have pushed up inflation, are eating into households’ incomes, are a drag on businesses – and are the main reason why the forecast for GDP growth next year was cut from 1.6% to just 1%.

And energy was the focus of Healey’s sole surprise in his consumer-facing policies – the £100 payment to 20m households in A-D council tax bands to help with fuel bills this winter. It will be funded, in effect, by tapping the banks for a few quid for 15 months via the bank surcharge.