Industrial Strategy Consultation

Debate between Lord Marlesford and Lord Prior of Brampton

Monday 23rd January 2017 Lords Chamber

[Lord Prior of Brampton]

I hope that I can assure the noble Lord that we will not obstruct—or rather, we will try not to obstruct—the industrial strategy. I am reminded of that old lie, “I’m from the Government—I’m here to help you”. I keep in mind that we will try not to build in too much bureaucracy. We have an ambition to reduce the cost of red tape by £10 billion over the course of this Parliament. Of course, electricity prices are critically important, particularly to industries such as the steel industry and indeed to all energy-intensive industries, so that will be very much part of the industrial strategy, as it emerges over the next three months.

[Lord Marlesford (Con)]

To follow on from what my noble friend Lord Howell and the noble Lord, Lord Stoddart, said about energy policy, how can the Government quote Hinkley Point as an example of affordable energy policy when it will cost £20 billion to construct but with a level of subsidy for its output which, at the end of its 40 years of life, will raise that £20 billion to £100 billion? That is paid by the consumer, whether industrial or domestic, and the cost of a gas-fired station with the equivalent output over the same period would be £3 billion.

[Lord Prior of Brampton]

I should make it clear that I was not quoting Hinkley as an example of our affordable energy policy but as an example of our infrastructure policy. We need to have a mix of different energy sources.