Labour to set up new publicly-owned company to ‘harness green energy’

Labour will set up a new publicly-owned green energy company as a rival to foreign investors in the vital industry, Keir Starmer has announced.

Great British Energy would “harness the power of Britain’s sun, wind, and waves to cut energy bills and deliver energy independence”, the Labour leader told the party’s conference.

In a speech in which Sir Keir lambasted the Tories for “losing control of the economy”, he also announced first-time buyers would be put ahead of buy-to-let landlords for new homes.

On energy, he said GB Energy would work “alongside the rapidly expanding private sector, to establish the UK as a clean energy superpower and guarantee long term energy security”.

The firm would be modelled on companies in many European, Asian, and American countries, which work in partnership with the private sector to increase capacity.

“Labour will make sure that the public money we spend building-up British industry spurs on private investment, stimulates growth and the British people enjoy the returns,” Sir Keir said.

“Labour won’t make the mistake the Tories made with North Sea oil and gas back in the 1980s. Where they frittered away the wealth from our national resources.”

It would drive forward Labour’s plan for 100 per cent clean power by 2030 – a “goal that will put us ahead of any major economy in the world”, Sir Keir said.

But the move was criticised as too little by the Labour pressure group Green New Deal Rising, while calling it a step in the right direction.

“To achieve a transformative Green New Deal we need full public ownership of our energy sector,” said spokeswoman Hannah Martin.

At a conference brimming with confidence that the party is on the road to power, he told its faithful that – like 1945, 1964 and 1997 – “this is a Labour moment”.

With Corbynism banished, Labour was now the “party of the centre-ground”, on “climate change, growth, aspiration, levelling-up, Brexit, economic responsibility”.

Invoking a phrase Tony Blair used in the 1990s, Sir Keir said: “Once again, the political wing of the British people and we can achieve great things.”

But he warned: “Let’s not kid ourselves: the next two years will be tough. The Tories want a fifth term and they will stop at nothing to achieve it.

“And because of their record, because of the state of Britain, they are getting desperate. With so little that’s good to defend, they will lash out.

“We need to be prepared, disciplined, focused, spend each day working to earn the trust of the British people. Meet their attacks with hope, provide the leadership this country so desperately needs.”