Labour leader Sir Keir Starmer will vow on Friday to “get working within months to build clean power across the United Kingdom” if his party wins the general election.
At an event in Scotland – and joined by Scottish Labour leader Anas Sarwar – the prime ministerial hopeful will reiterate his plans for Great British Energy, first announced at the party’s conference in 2022.
Headquartered north of the border, the new, publicly owned company will generate homegrown green energy up and down the country, with the party claiming it will help to “turn the page” on the cost of living crisis by driving down bills.
But the Conservatives claimed it was a “vanity project” of former Labour leader – and now shadow energy security and net zero secretary – Ed Miliband, that will “leave taxpayers picking up the bill”.
Sir Keir will outline how initial investments will be made within weeks, including in wind and solar projects, and as the firm grows, it will look into floating offshore wind, hydrogen, and carbon capture and storage, in the hope of making Scotland “a world-leader in cutting edge technologies”.
The party said the pledge would be paid for through a windfall tax on oil and gas companies.
Sir Keir will say: “Family financial security depends on energy security. The pain and misery of the cost of living crisis was directly caused by the Tories’ failure to make Britain resilient, leaving us at the mercy of fossil fuel markets controlled by dictators like Putin.
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“It doesn’t have to be this way. Our clean power mission with Great British Energy will take back control of our destiny and invest in cheap, clean homegrown energy that we control.
“We will turn the page on the cost of living crisis. The choice at this election is clear – higher bills and energy insecurity with the Conservatives, or lower bills and energy security with Labour.”
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Sir Keir Starmer first announced the policy in 2022
But Energy Security and Net Zero Secretary Claire Coutinho claimed the project was both unfunded and would “turn off the taps to North Sea oil and gas”, risking 2,000 jobs.
“By sticking to the Conservatives’ clear plan, energy bills are at the lowest point since 2022,” she added. “But we must go further.
“That’s why we are taking bold action to guarantee the future of the energy price cap, as we back new nuclear power and offshore wind, keeping bills low and ensuring families are not lumbered with the cost of reaching net zero.”
Image: Rishi Sunak and Claire Coutinho will argue the Tories are better placed to bring down energy bills. Pic: Reuters
The SNP’s Westminster leader, Stephen Flynn, had an even bleaker assessment of the plan, claiming it was “threatening to destroy 100,000 Scottish jobs and deter billions of pounds of investment”.
He added: “The fact is Starmer’s plans would take Scotland’s energy wealth and spend it on nuclear projects in England.
“In contrast, the SNP wants every penny to be spent in Scotland – reducing household bills, creating Scottish jobs, and securing our green energy future.
“It’s no wonder the Labour Party has given up campaigning in the North East and huge swathes of Scotland – because Starmer knows how deeply unpopular his damaging policies are.”
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However in a boost to Sir Keir, the plans were endorsed by Sir Patrick Vallance, the UK’s pandemic-era scientific adviser.
In a sensitive intervention for a former top civil servant, Sir Patrick wrote in The Times: “The prize is huge: lower energy bills, good jobs, more innovative businesses, energy security, and climate leadership.”
Great British Energy also got the backing of one campaign group, Britain Remade, who called it “hugely welcome”.
But its founder, Sam Richards, warned Labour “won’t be able to get spades in the ground as quickly as they need to – unlocking the benefits of cheap power and lower bills – unless they tackle head-on Britain’s outdated planning system”.
Environmental campaigners Friends of the Earth also called the plan “great news” but warned the Labour Party not to “rest on its laurels” when it came to reducing carbon pollution from transport and heating.
Elsewhere on the campaign trail on Friday, the Conservatives will be talking about tackling anti-social behaviour, unveiling plans to give fly-tippers points on their driving licenses, “kick out” anti-social tenants and roll out “hot spot” policing controls.
And the SNP will be making further demands on Labour, calling for them to hold an emergency budget straight after the election to “reverse Tory austerity cuts, boost NHS funding, and invest in economic growth”.
Lola’s Cupcakes, the bakery chain which has become a familiar presence at commuter rail stations and in major shopping centres, is in advanced talks about a sale valuing it at more than £25m.
Sky News has learnt that Finsbury Food, the speciality bakery business which was listed on the London Stock Exchange until being taken over in 2023, is within days of signing a deal to buy Lola’s.
City sources said on Thursday that Finsbury Food was expected to acquire a 70% stake in the cupcake chain, which trades from scores of outlets and vending machines.
Lola’s Cupcakes was founded in 2006 by Victoria Jossel and Romy Lewis, who opened concessions in Selfridges and Topshop as well as flagship store in London’s Mayfair.
UK economic growth slowed as US President Donald Trump’s tariffs hit and businesses grappled with higher costs, official figures show.
A measure of everything produced in the economy, gross domestic product (GDP), expanded just 0.3% in the three months to June, according to the Office for National Statistics (ONS).
It’s a slowdown from the first three months of the year when businesses rushed to prepare for Mr Trump’s taxes on imports, and GDP rose 0.7%.
Caution from customers and higher costs for employers led to the latest lower growth reading.
This breaking news story is being updated and more details will be published shortly.
Prospective bidders for Claire’s British arm, including the Lakeland owner Hilco Capital, backed away from making offers in recent weeks as the scale of the chain’s challenges became clear, a senior insolvency practitioner said.
Claire’s has now filed a formal notice to administrators from advisory firm Interpath.
Administrators are set to seek a potential rescue deal for the chain, which has seen sales tumble in the face of recent weak consumer demand.
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Claire’s UK branches will remain open as usual and store staff will stay in their positions once administrators are appointed, the company said.
Will Wright, UK chief executive at Interpath, said: “Claire’s has long been a popular brand across the UK, known not only for its trend-led accessories but also as the go-to destination for ear piercing.
“Over the coming weeks, we will endeavour to continue to operate all stores as a going concern for as long as we can, while we assess options for the company.
“This includes exploring the possibility of a sale which would secure a future for this well-loved brand.”
The development comes after the Claire’s group filed for Chapter 11 bankruptcy in a court in Delaware last week.
It is the second time the group has declared bankruptcy, after first filing for the process in 2018.
Chris Cramer, chief executive of Claire’s, said: “This decision, while difficult, is part of our broader effort to protect the long-term value of Claire’s across all markets.
“In the UK, taking this step will allow us to continue to trade the business while we explore the best possible path forward. We are deeply grateful to our employees, partners and our customers during this challenging period.”
Susannah Streeter, head of money and markets at Hargreaves Lansdown, said: “Claire’s attraction has waned, with its high street stores failing to pull in the business they used to.
“While they may still be a beacon for younger girls, families aren’t heading out on so many shopping trips, with footfall in retail centres falling.
“The chain is now faced with stiff competition from TikTok and Insta shops, and by cheap accessories sold by fast fashion giants like Shein and Temu.”
Claire’s has been a fixture in British shopping centres and on high streets for decades, and is particularly popular among teenage shoppers.
Founded in 1961, it is reported to trade from 2,750 stores globally.
The company is owned by former creditors Elliott Management and Monarch Alternative Capital following a previous financial restructuring.