Third Delegated Legislation Committee
Monday 7th September 2026
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18:07
Speaker 1
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Speaker 1
Households experiencing fuel poverty or energy debt and ensure that support can reach them more efficiently. Data use and public trust must go together. These regulations will help public authorities identify they make limited, targeted changes to existing powers while retaining strong privacy and transparency safeguards. I commend the draft regulations to the committee.
18:07
18:07
Speaker 3
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Speaker 3
Thank you, Sir Desmond. It's an honour to serve under your chairmanship again today. This instrument extends an existing power in the Digital Economy Act 2017 that enables data sharing between public authorities and energy suppliers, and these changes will enable, as we've heard already, the reduction or cancellation of customers debt to their energy supplier in certain circumstances. These regulations will specifically permit the sharing of information to support the delivery of a debt relief scheme, will amend the list of fuel poverty measures to enable specified person to disclose information on energy suppliers for the reduction or cancellation of customers debt, and amends the 2018 regulations of the Department of Energy Security and Net Zero and the Department for science, Innovation and Technology to the list of specified persons that may share information.
That last one. Sir Desmond may need updating, and I hope that ministers will make sure that this session is not a waste of time, and that we will not find ourselves here again soon. Making another regulation to add the departments to that list of regulations. Members will know that His Majesty's most loyal opposition has long criticised the government's broader energy policy. We are clear that consumer debt is rising because impossible net zero targets, such as achieving full clean power by 2030, have driven up energy bills across the country.
We reiterate our calls for the government to take a serious approach to tackling the root cause of higher energy prices, rather than raising taxes to pay for temporary solutions. This government should, therefore, we believe, adopt our cheap power plan to scrap the carbon tax on electricity generation from gas, as well as removing VAT on domestic energy bills, maximise extraction of our own oil and gas resources in the North Sea, and commit to reliable, secure power generation from both gas and nuclear.
Whilst these regulations have noble intentions, Mr. Chairman, they do nothing to address the underlying problem and cost for consumers. They simply paper over the cracks of a Labour government that is already failing to deliver the promises it made to the public.
That last one. Sir Desmond may need updating, and I hope that ministers will make sure that this session is not a waste of time, and that we will not find ourselves here again soon. Making another regulation to add the departments to that list of regulations. Members will know that His Majesty's most loyal opposition has long criticised the government's broader energy policy. We are clear that consumer debt is rising because impossible net zero targets, such as achieving full clean power by 2030, have driven up energy bills across the country.
We reiterate our calls for the government to take a serious approach to tackling the root cause of higher energy prices, rather than raising taxes to pay for temporary solutions. This government should, therefore, we believe, adopt our cheap power plan to scrap the carbon tax on electricity generation from gas, as well as removing VAT on domestic energy bills, maximise extraction of our own oil and gas resources in the North Sea, and commit to reliable, secure power generation from both gas and nuclear.
Whilst these regulations have noble intentions, Mr. Chairman, they do nothing to address the underlying problem and cost for consumers. They simply paper over the cracks of a Labour government that is already failing to deliver the promises it made to the public.
18:08
18:08
18:08
18:08
Speaker 5
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Speaker 5
Under your chairmanship. Liberal Democrats do support this motion. The principle here is inherently good. The government already holds the information needed to identify households in difficulty, and letting that information reach the people who can act on it with proper safeguards is exactly what the Digital Economy Act was meant to enable. We've seen an open banking. What happens when data is shared responsibly with consumers interests at the heart of it, and has real potential to apply the same thinking more widely, widely, for example, into property data.
And I hope the minister sees these regulations as a template rather than a one off. And as households across the country, including in Harpenden, Berkhamsted and Tring are still carrying debt, much of which was built up during energy crisis through no fault of their own. And that debt is a drag on everything else in their lives. That's only set to worsen as well as the energy price cap rises. And if the debt relief scheme, I realize that's not in this instrument, but if it can support those in need, it should happen as quickly as possible.
But what has also been mentioned is tackling the root causes of energy prices and Lib Dem policies. For example, on the link between electricity and gas prices are absolutely what we should be looking at to make sure that cost is tackled. But I just have a few questions for the Minister. I'm really pleased to hear about the the privacy and protect that data is at the heart of it. But just to would love to hear more about holding suppliers to account on ensuring they're using it for personal purposes and protected accordingly.
And she's also addressed the question about the Department for science, Innovation and Technology. But I'd also like to ask what mechanisms there are to share what's been learned here and what's working with other departments, remaining fuel poverty and vulnerability schemes. We're looking at the possibility of using smart data to deliver to our communities. Thank you.
And I hope the minister sees these regulations as a template rather than a one off. And as households across the country, including in Harpenden, Berkhamsted and Tring are still carrying debt, much of which was built up during energy crisis through no fault of their own. And that debt is a drag on everything else in their lives. That's only set to worsen as well as the energy price cap rises. And if the debt relief scheme, I realize that's not in this instrument, but if it can support those in need, it should happen as quickly as possible.
But what has also been mentioned is tackling the root causes of energy prices and Lib Dem policies. For example, on the link between electricity and gas prices are absolutely what we should be looking at to make sure that cost is tackled. But I just have a few questions for the Minister. I'm really pleased to hear about the the privacy and protect that data is at the heart of it. But just to would love to hear more about holding suppliers to account on ensuring they're using it for personal purposes and protected accordingly.
And she's also addressed the question about the Department for science, Innovation and Technology. But I'd also like to ask what mechanisms there are to share what's been learned here and what's working with other departments, remaining fuel poverty and vulnerability schemes. We're looking at the possibility of using smart data to deliver to our communities. Thank you.
18:10
18:10
Speaker 6
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Speaker 6
Thank you very much, chair. I rise to speak really further to the very brief exchange with the minister. And as the previous speaker said, principally, this regulation is both fairly benign and also very welcome in terms of helping people that are struggling with their bills. But fundamentally, chair, if we're changing the law, I think it's beholden on us when changing the law to understand who is within the scope of that change and what adverse impacts there may be as a result.
And there will be a cohort of people who are just about managing to pay their bills, and there will be a cost with this measure. Welcome, though it has largely been by the committee in terms of the speeches so far. But what is unclear to me is, firstly, what is the cost? What is the cost in terms of that, for it to be substantive in terms of actually helping people in a meaningful way with their energy debt, then one assumes there is a significant cost as a result of being able to share this data in order to write off those bills, and for the minister to therefore make the claim that it is helping in the way that she did.
One assumes that she will know what the cost is of the change to the law that she is bringing to the committee. But with that cost, I think it's also beholden to understand who will pick up the cost of that measure. And what I was surprised that the minister didn't touch on in her remarks was that cohort just above. So there will be some people that can pay the addition in their energy bills without any difficulty whatsoever.
But we all represent constituents, and indeed, the government frequently talks about the pressure of cost of living, those who are just struggling. Indeed, to coin a phrase, those who need some breathing space, those who are just about affording their bills , and they won't be covered by the protections in this regulation. Quite the reverse. They will be the ones that bear the cost. So just when she comes to wind up, you know, one assumes the minister hasn't brought a change in the law without being clear what the cost of that change is, nor what impact there may be on some of those struggling to pay their bills will be.
So she could just clarify those two figures. What is the cost of the amount of debt that is going to be written off, and how many people potentially are within scope of them being pushed into that cohort because their bills will go up. And of course, we didn't have those figures. I hope she's now got the inspiration from the bench to to answer those points, Minister.
And there will be a cohort of people who are just about managing to pay their bills, and there will be a cost with this measure. Welcome, though it has largely been by the committee in terms of the speeches so far. But what is unclear to me is, firstly, what is the cost? What is the cost in terms of that, for it to be substantive in terms of actually helping people in a meaningful way with their energy debt, then one assumes there is a significant cost as a result of being able to share this data in order to write off those bills, and for the minister to therefore make the claim that it is helping in the way that she did.
One assumes that she will know what the cost is of the change to the law that she is bringing to the committee. But with that cost, I think it's also beholden to understand who will pick up the cost of that measure. And what I was surprised that the minister didn't touch on in her remarks was that cohort just above. So there will be some people that can pay the addition in their energy bills without any difficulty whatsoever.
But we all represent constituents, and indeed, the government frequently talks about the pressure of cost of living, those who are just struggling. Indeed, to coin a phrase, those who need some breathing space, those who are just about affording their bills , and they won't be covered by the protections in this regulation. Quite the reverse. They will be the ones that bear the cost. So just when she comes to wind up, you know, one assumes the minister hasn't brought a change in the law without being clear what the cost of that change is, nor what impact there may be on some of those struggling to pay their bills will be.
So she could just clarify those two figures. What is the cost of the amount of debt that is going to be written off, and how many people potentially are within scope of them being pushed into that cohort because their bills will go up. And of course, we didn't have those figures. I hope she's now got the inspiration from the bench to to answer those points, Minister.
18:20
Speaker 1
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Speaker 1
I'm grateful again, Sir Desmond, it's a pleasure to conclude this debate. I'm grateful to the members for their contributions, for the broad consensus that households facing fuel poverty and energy debt should receive support quickly, fairly and effectively. At the heart, this instrument makes three targeted changes. First, it enables information sharing to support households experiencing energy debt. Secondly, it enables the department responsible for data policy to participate in information sharing under the fuel poverty objective, including work associated with the National Data Library.
And thirdly, it provides certainty for the Department of Energy Security and net zero following the machinery of government changes in 2023. Taken together, these three measures will help ensure support reaches households that need it most. There are a few different points that I just want to briefly pick up on the point regarding the name of the department. Indeed, we will not be coming back. That's the whole reason why we've not withdrawn it and done it all again. It is the most efficient way of doing it.
I'll give way if he wants to. Okay.
And thirdly, it provides certainty for the Department of Energy Security and net zero following the machinery of government changes in 2023. Taken together, these three measures will help ensure support reaches households that need it most. There are a few different points that I just want to briefly pick up on the point regarding the name of the department. Indeed, we will not be coming back. That's the whole reason why we've not withdrawn it and done it all again. It is the most efficient way of doing it.
I'll give way if he wants to. Okay.
18:20
18:20
18:20
Speaker 1
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Speaker 1
The honourable gentleman is an experienced member of this House, and he'll understand how machinery of government changes work. And of course, we could withdraw it, and we could all bring everyone back in a few months time. The most efficient way to do that is to proceed with the department as it is, and the powers will come to the DCMs. I'm sure he's very aware of that from his time in government, but that's the answer to the Shadow Minister's question.
I'm grateful to the honourable lady for her point. I think it's absolutely right that we should take learnings from this. And indeed, towards the end of my speech, I spoke about some of the protections and some of the detail there and some of the figures, and the honourable gentleman there asked me some questions around who's in scope and who will benefit from the scheme. Again, if he'd been listening to my contribution and I will repeat the the comments that I made.
The precise design of any scheme remains under development by the Government and Ofgem, and these regulations do not themselves establish or fund such a scheme. They provide the legal data sharing basis that would allow appropriate design scheme to operate effectively. As much as all of these points are incredibly important around data poverty, fuel poverty, debt, poverty and I see it in my own constituency of Barnsley South. We're not here to debate that.
We're here to debate data sharing. That's what we've done, and I commend these regulations to the House.
I'm grateful to the honourable lady for her point. I think it's absolutely right that we should take learnings from this. And indeed, towards the end of my speech, I spoke about some of the protections and some of the detail there and some of the figures, and the honourable gentleman there asked me some questions around who's in scope and who will benefit from the scheme. Again, if he'd been listening to my contribution and I will repeat the the comments that I made.
The precise design of any scheme remains under development by the Government and Ofgem, and these regulations do not themselves establish or fund such a scheme. They provide the legal data sharing basis that would allow appropriate design scheme to operate effectively. As much as all of these points are incredibly important around data poverty, fuel poverty, debt, poverty and I see it in my own constituency of Barnsley South. We're not here to debate that.
We're here to debate data sharing. That's what we've done, and I commend these regulations to the House.