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Scottish Power's £800M Loan To Spanish Owner Angers Mps

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MPs have raised fresh concerns that Scottish Power is "milking the British consumer", after finding the company that recently raised energy bills to record levels has lent £800m to its foreign sister company.

Scottish Power claimed last week that it could not afford to keep tariffs at current levels, adding 19pc to average gas bills and 10pc to electricity bills.

This means the average dual-fuel customer will see their bill increase by £175 per year to just under £1,400.

However, The Daily Telegraph can disclose that Scottish Power had so much "surplus liquidity" that it lent £800m to the American operations of Iberdrola, its Spanish parent company.

It handed over the ten-year loan in 2009 and about half the sum has yet to be repaid. The loan was made at market rates, and therefore is not a cross-subsidy. However, last night, MPs called for more transparency over concerns that money that could be invested in the UK for the benefit of British customers is "draining overseas".

Why invest in the UK when it's a global economy. Don't the MP's get what globalisation means?

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Perhaps the government should nationalize them?

Would cost a fraction of the banking nationalisation. And I'm sure Scot Power don't have a few thousand employees all earning over a million a year. If they did they wouldn't have profits to invest.

Generally I welcome the energy price hikes. Merv King and George Osborne explaining why inflation is so low while the energy companies announce double digit rises and the public sector strikes are about to kick in. It exposes the lies these people are telling. And I just love the mock outrage about rising prices, coming from those who have celebrated rising housing costs. What a bunch of lying hypocrites.

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  • 429 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?

      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%

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