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Osborne and Davey agree green deal

Osborne and Davey agree green deal
George Osborne and Energy Secretary Ed Davey have thrashed out an energy policy deal which will see a 10% cut in subsidies for wind farms.

Mr Davey said the "modest" cut was the right decision, but admitted there had been an argument within the Cabinet over the figure - with Mr Osborne thought to have pushed for a cut of 25%.

"It’s based on the evidence, we’ve done a major consultation, talked to industry, talked to independent third parties, and the evidence shows that yes there should be a cut in subsidies, but it should be a modest 10% cut," the Lib Dem told the Today programme.

"That will bring forward investment between £20bn and £25bn, with probably hundreds of thousands of jobs coming forward on the back of that. The economy needs that investment, and our climate change challenge needs this green energy.”

Green Box: Osborne and Davey agree green dealClick to open

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