New low-carbon cost controls to be introduced
The government has confirmed that the Levy Control Framework (LCF), which caps the cost of low-carbon electricity subsidies, is to be replaced. The Spring Budget, issued on Wednesday 8 March, said that the LCF had helped to control the cost of low-carbon subsidies, but that a new mechanism would be introduced later this year. Meanwhile, further details on carbon pricing into the 2020s will be outlined at the Autumn Budget. On the retail side, the government reaffirmed that a green paper examining markets that were not working fairly or efficiently would be issued shortly; a series of initial steps to support consumers will include evaluating how terms and conditions can be made clearer, and legislating to allow consumer bodies to ask the courts to order civil fines against companies that break consumer law.