Windafll Tax on Energy Companies

I notice that around 80 Labour MPs (News 27 August) have written to the Prime Minister demanding a windfall tax on Energy Companies thus proving that we would get as much intelligent service had we elected 80 wooden rocking horses in their places. Presumably these MPs have such a low grasp of Economics that they fail to realise that the principal shareholders in these energy companies are Pension Funds. That is right, Pension Funds to which their constituents contribute and from which they hope to one day get a pension. The Prime Minister has previously raided these selfsame funds in another ill-advised tax grab and this would be yet another reduction in value for these funds and their members.

The other spectre that is raised by the notion of a windfall tax is of course what would these 80 MPs have us do in bad years for the energy companies. i realise we have set a bad precedent with Northern Rock, but it could be suggested that if these companies had really bad years the Treasury could be called on to bail them out because of windafll taxes paid in superb years.

On the other hand, what else do you expect from 80 rocking horses?