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Rachel Reeves has dropped the Conservatives’ “absurd” ban on onshore wind farms in a bid to revive the economy, saying the new Labour government’s economic legacy was the worst since World War Two.
The Chancellor has ordered officials to compile a dossier on the state of the economy after 14 years of Tory rule.
Speaking at the Treasury Department, she said she had repeatedly warned about the poor state of government finances during the general election and that “what I have seen in the last 72 hours has only confirmed that”.
“Our economy has been hampered by delayed decisions and delayed decisions… putting political self-interest above the national interest,” she said.
It happened like this:
- She warned public sector workers that they would have to make “tough choices” when it came to pay.
- She said she was prepared for “short-term political pain” to repair Britain’s foundations.
- Labour’s housing targets include building part of the ‘green belt’ while its boundaries are reviewed.
- Municipalities will also receive new, mandatory targets for housing construction.
- But she promised that Labour will not use its large majority to breach its tax promises.
- New Treasury analysis commissioned by Ms Reeves has found that if the economy had grown at the OECD average since 2010, it would have been £140 billion bigger, with £58 billion more going to public services.
In one of the first major changes within Labour since taking power, the party has abolished the de facto ban in England, which had been in place since 2015.
Ms Reeves also said Labour would look at whether onshore wind energy should be designated as nationally important infrastructure, a move that would ensure large farms would receive planning approval more quickly.
“We will make Britain build again… we will make Britain grow again,” she vowed, adding: “From today we will end the absurd ban on new onshore wind power in England.”
She added: “We must recognise that there are always trade-offs. Any development can have environmental impacts, put pressure on services and provoke local opposition voices, but we will not succumb to a status quo that responds to the existence of trade-offs by always saying no.”
The energy sector and environmental activists welcomed this move.
Under the previous rules, onshore wind energy was treated differently to other developments, effectively halting plans if there were objections.
Labour had said it would lift the ban within weeks if it came to power.
The party wants to double onshore wind energy production as part of its plans to switch to cleaner energy by 2030.
According to experts, it is one of the cheapest forms of new energy. It can reduce dependence on expensive gas and contribute to a reduction of climate emissions.
Emma Pinchbeck, CEO of Energy UK, said: “It is excellent to see the new government prioritising planning reform as a key driver of economic growth and improving our energy security.
“Unblocking the planning system, lifting the de facto ban on doubling onshore wind and ensuring adequate resources for planning authorities are crucial steps that the sector has long called for,” she said.
But she warned that the previous ban had significantly limited the scope for new development.
Industry body RenewableUK chief executive Dan McGrail said lifting the ban was “long overdue and we are delighted that Labour has made this one of its top priorities.
“This shows the new government is determined to take swift action to tackle some of the long-standing barriers that have hindered the UK from developing vital new clean energy infrastructure.”
According to him, public support for onshore wind energy is ‘explosive’, with 78 percent in favour of the technology in official polls.
Modern turbines are more efficient and powerful than older wind farms, he added.
Alethea Warrington, senior campaigner at climate organisation Possible, described the announcement as a “really positive step forward for our climate, our economy and our energy bills”.
“This is a sensible, practical step that reflects the strong support of the British public for onshore wind energy, which cuts across all political parties and all constituencies.”
During his race for the Conservative Party leadership two years ago, Rishi Sunak promised that he would “never relax the ban on onshore wind power in England, but instead focus on building more turbines at sea”.