Jim Pickard in the FT carries details of a leaked letter from Gerge Osborne to Ed Davey laying down the law on crucial green energy issues. The letter includes the demand that Davey sends a “strong signal” that the government is in favour of “unabated gas”:

…I have been handed a letter from the chancellor to Ed Davey, energy secretary, which suggests that the wind subsidies are onlya microcosm of a wider battle over the green agenda raging in Whitehall.

Last week the review of Rocs was put on hold; Davey and Osborne were clearly unable to reach an agreement over how far to cut the subsidies.

The letter from the chancellor suggests that Osborne was in fact open to the smaller cut in onshore wind Rocs: but only in return for some much larger concessions from Davey.

You can read the full article here, subject to free registration.

* Newshound sets the agenda, as you would expect from a Red Setter