The warning has come from the Together Association campaign group, which has raised more than 300,000 signatures on a petition to scrap VAT on energy billsaimed at achieving Net Zero climate change goals. It follows Mr Sunak and Ms Truss locking horns this week over the future of taxation in the UK with fears that tax increases are fuelling the cost-of-living crisis. It comes amid reports that Mr Sunak is set to bow to pressure and reverse his opposition to removing VAT from energy bills.
Together Associations Axe the Tax campaign has come amid fears that by November this year the average household fuel bill is set to rise to well above 3,000.
It has hit the heart of a central issue in the Tory leadership contest, with the candidates all offering to look at Net Zero goals which are already unpopular with Tory members and voters.
In April a Techne UK poll for Express.co.uk revealed that seven in 10 voters opposed the Green Levy on fuel bills.
Alan Miller, co-founder of the Together Association, said: The cost-of-living crisis, which is largely a cost of lockdown, is hitting businesses and families harshly.
Whoever becomes Prime Minister needs to take swift action to eliminate VAT and green taxes on fuel and energy.
They risk facing a challenge on the scale seen with Brexit if this is not addressed. We cannot have this situation continue and get worse as we go into autumn.
That is why we at the Together Association are demanding the new Prime Minister commits to Axe the Tax.
So far from the final two only Ms Truss has said she will suspend the Green Levy requirements in a means of bringing down fuel bills.
Others including Penny Mordaunt, who went out of the contest in the MP voting rounds, had also pledged to remove VAT from energy bills using Brexit freedoms. Now Mr Sunak is set to follow suit.
The Together Association has five aims which it wants the new Prime Minister to agree to or face protests:
READ MORE:Truss to pull rug from under unions and forge new emergency law
Without a reduction in green taxes, fuel tax and a cap on energy, they will have no choice but to make staff redundant, putting even more pressure on the treasury. Now is the time to pause, allow these businesses to recover and adapt to higher costs"
Bernie Spofforth, chief executive of IP Patents Global Manufacturing, said: It's not too late, we can and we must take a different path, one that allows businesses to continue to operate, employees to remain employed and parents to provide for their children. We must act now to afford individuals and businesses the freedom required to mount an urgent recovery.
This situation is unsustainable and unacceptable.
Read more:
Axe green taxes! New PM faces a Brexit-style revolution if they fail to cut energy bills - Express
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