The Green Party has announced plans that could save London households £1,500 by lowering transport fares and cutting energy bills.
A range of additional Green proposals would leave Londoners with even more money in their pockets as a result of lower food prices, rents and increased wages for the lowest paid (1). Over the last 12 years, Green Party members of the London Assembly have already made Londoners better off by working successfully to introduce the London Living Wage, redirecting money away from roadbuilding plans, and spearheading major investigations leading to improvements in housing and the environment.
Jenny Jones, the Green Party’s Mayoral candidate, said: "In the Green vision for London, the capital would become a more affordable place to live, work, travel and relax.
"During these times of increasing financial strain, only the Green Party is offering Londoners the possibility of tangible, realistic, everyday savings. In total our policies could save London households £1,500 over the next four years. For many, the money could be the difference between staying afloat and going under."
Under the Green party’s new proposals:
• Fares would be cut across the transport system, paid for by a new London-wide Pay-As-You-Drive scheme (2)
• Energy bills would diminish through the refurbishment of over one million homes by 2015 (3)
• Rents would be lowered through new co-operative and social renting schemes (4)
• Food costs would come down through an expansion of street markets (5)
• The income of the lowest paid workers would be increased through an extension of the London living wage (6).
Jenny Jones continued: "We have been on the London Assembly for more than a decade and we have shown that Greens can make a real difference to Londoners.
"Some tough choices will need to be made over the next few years. But having Greens on the London Assembly means that Londoners have champions who fight for their welfare and wellbeing – and that includes creating a more affordable London."
Notes to editors
(1) £1500 figure is saving over 4 years based on annual average transport savings of £200 a year (see 2 below) and energy savings from home refurbishment of £154 a year (see 6 below) allowing for conservative estimate of annual energy and transport inflation of 5%. Households could save even more if household members are paid a Living wage, pay rent and benefit from expansion of street markets.
(2) The Green Party’s proposals contained in a budget amendment tabled by Assembly members would save on average £40 in 2012/13, before the Pay As You Drive Scheme. The saving with the Pay-As-You-Drive scheme could bring average savings of £200
(3) Annual saving from RE:NEW demonstration projects in 2010/11 was £154 (GLA, March 2011, RE:NEW demonstration projects summary report). Savings over future years would be in excess of this as energy prices are expected to rise, and the Green Deal will deliver more comprehensive refurbishments reducing bills by up to 70%.
(4) A tenant moved from the average private rented home (£1,280/pcm) into the average social rented home (£386/pcm) would save £894 a month, which would also typically represent a long-term saving to the taxpayer in reduced housing benefit payments. For the majority of tenants who will remain in the private sector, better rights and longer tenancies along with a co-operative lettings agency could reduce rent rises to closer to CPI (estimate of 4% instead of recent trends of over 8%) which would mean by 2015/16 new lettings would average £1,615/pcm instead of £1,740/pcm, or £125 a month less (baseline figs taken from Valuation Office for private rent and DCLG for social rent).
(5) Average savings on food could be £465, based on LDA estimate, June 2010, London’s Street Markets. Annual average saving verses supermarket prices.
(6) Moving from the minimum wage (£6.08) to a living wage (£8.30) the average full time employee would earn around £4,000 more a year.
