GB Energy WILL be headquartered in Aberdeen – Sir Keir Starmer has confirmed – weeks after the planned location was leaked.
Few details have been released about what GB Energy will do but the PM has said it will be an “investment vehicle” plugging cash into renewables projects.
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He made the announcement while addressing the Labour party conference in Liverpool.
The Prime Minister told the Labour Conference: “We said, GB Energy, our publicly owned national champion, the vehicle will drive forward our mission on clean energy, we said it belonged in Scotland, and it does.
“But the truth is, it could only really ever be based in one place in Scotland.
“So today, I can confirm that the future of British energy will be powered as it has been for decades, by the talent and skills of the working people in the Granite City with GB Energy based in Aberdeen.”
During the campaign, the Labour leader told The Scottish Sun he would cut bills by “£400 or £500, permanently” by 2029 through billions of investment in green energy.
But asked when bills would drop for consumers, Scottish Labour boss Anas Sarwar kicked the can down the road and refused to give a date
Mr Sarwar said: “I think it’s important to stress that it’s not a case of GB Energy is opened and investment is made in a project, and that means straight away the day after bills come down.
“I think people understand that to build a wind farm, previously it’s taken 10 years to build a wind farm. We have to build faster than that.
“We want bills to come down. But bills will come down partly with GB Energy making the investments in the longer term.”
He later said that upgrading the grid would “bring down energy bills”, but said that would take at least “six years”.
Mr Sarwar was also forced to defend one of his closest allies after Scotland Secretary Ian Murray was forced into an embarrassing climbdown after saying £150million available to him was “made up”.
Mr Murray wants his office to become a spending department – something that requires a budget.
But on Sunday, he claimed the figure was “made-up” by a journalist, before being forced to retract the accusation on Monday.
Sources say the cash for Mr Murray won’t be available until next year at the earliest and the figure may change.
Pressed on why the money isn’t being used to pay for the winter fuel payment in Scotland via the Scotland Office, Anas Sarwar said that “longer term funding” should not be used to “fill that gap”.
Instead, consequentials from the extension of the Household Support Fund in England should be used to “broaden” the winter fuel payment in Scotland – suggesting the cut by Rachel Reeves was too harsh.
The Scottish Labour leader said: “That isn’t a universal benefit, but is a targeted benefit to those pensioners that need it most. I think that’s the right grown up thing to do.”
The UK Government said £79million of extra cash would be split between Wales, Northern Ireland and Scotland through the fund – likely to mean £35.5million for Holyrood ministers.
