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    Autumn statement 2013
    David Cameron accused of 'smoke and mirrors' on energy bills

    Labour accuses PM of secret deals with big six firms, while charity says cuts to green levies will come at expense of poorest.

    Ed Miliband will point out that most fuel bills are at a record high, while accusing the PM of making secret deals with the big six firms.

    David Cameron stands accused of using "smoke and mirrors" tactics over his pledge to cut energy bills, with critics claiming that fuel prices will be at a record high this winter and cuts to energy efficiency schemes will come at the expense of some of the poorest households.

    The government has pledged to bring down energy costs by taking £50 off bills and offering new homebuyers up to £1,000 to help install insulation, double glazing or green boilers as part of Thursday's autumn statement, which will be set out by George Osborne.

    The chancellor confirmed on Sunday that the measures would be funded by a further crackdown on tax avoidance and also by scaling back the Energy Company Obligation, a scheme to help poor households use less energy.

    Osborne also hinted that more benefit cuts are needed to ensure the economy is "sustainable", telling the BBC's Andrew Marr Show he was "clear more action will be required on welfare". It is understood the autumn statement will contain more details of a £100bn cap on welfare spending after the next parliament, but there will be no further benefit cuts before 2015.

    It will also detail more help for small businesses, including a likely freeze on business rates, while Nick Clegg is announcing an extra £250m of funding for the government's new business bank to be based in Sheffield, near the deputy prime minister's own constituency.

    However, the main focus of the autumn statement has so far been on energy costs, as the coalition scrambles to respond to Labour's promise of a price freeze after 2015 if it wins power.

    The big six firms - British Gas, EDF, EON, Npower, Scottish Power and SSE - will come under pressure to announce official price cuts or freezes within days of the government's detailed plans being published, which are estimated to save the typical family £50. One energy company, EDF, has already said the announcement means it will not have to raise bills again for another year and it is understood that Npower is in a similar position.

    However, Ed Miliband will point out on Monday that most fuel bills are at a record high. The Labour leader will accuse Cameron of making secret deals with the big six energy firms, claiming that fuel costs this winter will be £120 higher on average than last year.

    Speaking at the Volkswagen National Training Centre in Milton Keynes, Miliband is expected to say Labour would deliver "not smoke and mirrors on electricity and gas bills or cosy deals with the big six that mean bills still rise this winter, but a real price freeze and action to reset the market to stop them overcharging again in the future".

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