Oral Answers to Questions

Amanda Solloway Excerpts

Tuesday 21st May 2024 Commons Chamber

[Mrs Sheryll Murray (South East Cornwall) (Con)]

14. What steps she is taking to help reduce energy bills.

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Amanda Solloway)]

The price cap has fallen by 60% since the start of last year, and the Government are taking a comprehensive approach to bring down future energy bills for consumers. That includes reforming electricity markets to make them more effective, investing across the energy system to make it smarter, and investing in energy efficiency to reduce costs for households.

[Andrew Rosindell]

I thank the Minister for her answer, but I want her to understand that for constituents such as mine in Romford energy prices are becoming completely unaffordable, and the Government need to do more. My constituents are also very concerned about the cost of net zero, and we need to know what that will cost them in years to come. Surely the Government need to take the British people with them on these policies, but at present there is a great deal of scepticism.

[Amanda Solloway]

That is certainly one of the Department’s aims. We are very conscious that we must get that energy security while also helping all the vulnerable households—and non-domestic businesses—that need our support.

[Steve Tuckwell]

A significant number of households in my constituency who are experiencing the continued impact of Russia’s illegal invasion of Ukraine and unrest in the middle east have received help in the form of the Government’s cost of living support payments. Those payments are welcome, but does the Minister agree that this important support should continue, along with more information about the help that is available and how to gain access to it?

[Amanda Solloway]

My hon. Friend is a great champion for his constituents, and of course I agree with him about the importance of ensuring that householders know where to obtain information about what they may be able to receive, especially as we are providing them with £108 billion between 2022 and 2025. I recommend that they visit the Help for Households web page on gov.uk to find out what support they may be entitled to.

[Simon Baynes]

Many rural properties on the Welsh borders—including those in Clwyd South and in neighbouring north Shropshire—are not connected to mains gas and therefore use oil or liquefied petroleum gas for heating, and many of the residents are unaware of the support that is available to help with their energy bills. Can the Minister tell the House what support the Government are providing for those residents?

[Amanda Solloway]

My hon. Friend has raised an important issue. We are, of course, helping all those households. The Government supported about 3 million households using alternative fuels with the £200 alternative fuel payments in the winter of 2022-23, and although energy prices, including alternative fuel costs, have fallen significantly since then, we are nevertheless committed to supporting all households with that £108 billion package between 2022 and 2025.

[Mrs Murray]

I have just had some solar panels fitted to my roof and I am pleased to report that they are reducing my bills, but what more are the Government doing to encourage people to produce their own electricity by means of renewables, in order to reduce the pull on the grid and also reduce bills?

[Amanda Solloway]

I am delighted to hear that my hon. Friend has had those solar panels fitted. She will be interested to hear that the Government are considering options to facilitate low-cost finance from retail lenders to help households with the up-front costs of installation, and to drive rooftop deployment and energy efficiency measures.

[Janet Daby (Lewisham East) (Lab)]

I know of too many cases in which people whose properties are connected to heat networks are paying extremely high energy bills. I welcome the Department’s response to the consultation on heat networks, but the Energy Act 2023 only allows for Secretaries of State to introduce a price cap, at their discretion. Some of my constituents are paying bills that are 13 times the level of the cap. Will the Minister consider a mandatory cap to ensure fair prices for heat network customers?

[Amanda Solloway]

The hon. Lady makes an important point. Of course, the price cap is an issue for Ofgem. However, I would be interested to hear some of her suggestions and I am always happy to have a meeting on that particular subject.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

Fuel and extreme fuel poverty across the highlands and islands is higher than anywhere else in the UK, yet families there are forced to pay the highest electricity standing charges in the UK—50% more than in London, for example. That is despite the region exporting in excess of six times the amount of renewable electricity that it uses. When will the Government introduce a highland energy rebate to ensure fairness for people across the highlands and islands?

[Amanda Solloway]

The hon. Gentleman will know that we have had many conversations about this subject. One of the things that the Secretary of State and I have been doing is talking to Ofgem to make sure that it is looking at the standing charges. That has led to a call for input, which has recently had over 30,000 responses.

[Liz Saville Roberts (Dwyfor Meirionnydd) (PC)]

My constituent Beverley Scott, who has cancer, suffered from poor work carried out under the Government’s ECO4 scheme. This included leaving her without heating and damaging her internet. She eventually had to go to the small claims court to get redress for shoddy work, and I know of other people who have had to follow the same route. Given that provider companies, enabled by Government strategy, leave vulnerable householders with no option but to go to court, does the Minister not agree that there should be better oversight and a simpler remedy for people like Beverley Scott?

[Amanda Solloway]

The right hon. Lady makes an incredibly important point. Of course, one of the things that we are determined to do is make sure that those installations are carried out in the correct manner. In fact, we have new regulations in place to make sure that that happens going forward.

[Christine Jardine (Edinburgh West) (LD)]

The Minister will know that I am concerned about the level of standing charges in my constituency, as I have discussed this issue with her before. One of the problems is that people with pre-payment meters often find that, when they go to add the payment, the standing charges wipe everything out. Can the Government and Ofgem find a way to provide more support for those on pre-payment meters to avoid that problem?

[Amanda Solloway]

The hon. Lady and I have had many conversations about this issue. One of the things that we have done is make sure that people who are on pre-payment meters are not unfairly penalised.

[Mr Speaker]

I call the shadow Minister.

[Dr Alan Whitehead (Southampton, Test) (Lab)]

The Minister and her colleagues have repeatedly said today that they care about cutting bills for families, but a recent report by the Resolution Foundation found that the onshore wind ban has hit the poorest households’ income six times harder than that of the richest. Such households have been forced to pay additional electricity bills as a result of the total failure to build onshore wind in England. How on earth can Ministers continue to sit there and claim that they stand up for working families when they continue to block the cheapest form of clean energy there is, which could cut bills for families who desperately need help? Before she leaves office, will the Secretary of State pledge to put this right so that onshore wind can be built again and customers can save money on their future bills?

[Amanda Solloway]

That is absolutely not the case. We stand here incredibly proudly as Ministers in the Department for Energy Security and Net Zero, and we have made a commitment. We are doing more than has ever been done on renewables and offshore wind, and we have done more to help people with the affordability of their bills.

[Sir Desmond Swayne (New Forest West) (Con)]

6. What steps she is taking to help improve energy efficiency in social housing.

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Amanda Solloway)]

The social housing decarbonisation fund is upgrading to EPC C a significant amount of the social housing stock that is currently below that standard. We have already committed over £1 billion of Government funding, with a further £1.25 billion already committed for 2025 to 2028.

[Sir Desmond Swayne]

By how much has the Minister increased the level of insulation, and what significance does she attach to it?

[Amanda Solloway]

I thank my right hon. Friend for his brevity, as always. The amount of social housing that is well insulated has gone up from just 24% in 2010 to 70% today. For housing overall, we have gone from just 14% in 2010 to 50% today.

[Mr Ben Bradshaw (Exeter) (Lab)]

I welcome, through the Minister, the admission by the Secretary of State last week finally that this flagship scheme is failing, although the words she used were that it has been

“a bit slow on the uptake”.

They have had 14 years to devise the most cost-effective way of reducing carbon emissions and people’s bills, making homes warmer and creating good new skilled jobs. When will we have a scheme that actually works?

[Amanda Solloway]

I respectfully say to the right hon. Gentleman that we do have schemes that are working. I remind him that the Department for Energy Security and Net Zero has launched a £1 billion Great British installation scheme, which aims to upgrade around 300,000 of the country’s least energy-efficient homes.

[Mr Speaker]

I call the SNP spokesperson.

[Dave Doogan (Angus) (SNP)]

The Scottish Government are working at pace to replace polluting heating systems and improve energy efficiency in Scotland’s building stock, with £1.8 billion being invested in this parliamentary Session towards heat and energy efficiency measures and £600 million towards new affordable housing. With the Climate Change Committee stating that the Scottish Government’s heat in buildings Bill could become the template for the UK, helping Scotland to decarbonise faster than anywhere else in the UK, would the Minister like to visit the Scottish Government in Edinburgh? I can arrange that for her, so that she can see climate leadership in action.

[Amanda Solloway]

I reiterate that energy efficiency is incredibly important to us on the Government Benches and to the Government. I would be happy to come on a visit to Edinburgh. Indeed, I have already visited there.

[Dave Doogan]

Slightly more enthusiasm might have been welcomed by people living in England in cold and draughty houses. Nevertheless, it is not simply our extensive ambition that leaves the UK behind Scotland, but our delivery, too. Since 2007—[Interruption.] Those on the Government Benches might want to listen to this. Since 2007, per person, the SNP has built 40% more homes than Tory England and 70% more homes than Labour Wales and ensured 65% of the Scottish social rented sector has an energy performance certificate rating of C or above. Insulation levels in Scotland are way higher than in England. It is clear that the UK Government have materially failed to abate the demand side of the energy system to any meaningful extent. What will the Minister do, in the few weeks they have left in office, to atone for this glaring betrayal of bill payers?

[Amanda Solloway]

Unlike the hon. Gentleman, we have not abandoned our targets, and there has been good progress and improved household energy efficiency. Around half of our homes—48% in England—have now reached the Government’s 2035 target of achieving an EPC rating of C, up from 14% in 2010.

--- Later in debate ---

[Dan Carden (Liverpool, Walton) (Lab)]

15. What estimate she has made of the number of households receiving compensation after being involuntarily fitted with prepayment meters.

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Amanda Solloway)]

The energy suppliers are responsible for paying compensation. They have carried out 150,000 assessments so far, with 2,500 customers due compensation. A total of 1,502 payments have been made, with 1,000 more planned.

[Dan Carden]

Despite the energy ombudsman ruling that one of my constituents should not have been placed on a prepayment meter due to her vulnerabilities, she has not been awarded a penny of compensation under the scheme. As the Minister has just outlined, only 1,500 people, out of 150,000, have had any compensation awarded at all. That is 1%, so why is the number so small? Could it be that the energy suppliers themselves, overseen by Ofgem, are deciding who is entitled to these payments? Both sat idly by as agents forced their way into people’s homes to install the prepayment meters.

[Amanda Solloway]

I thank the hon. Gentleman for his question and for the opportunity to provide clarity. The forced installation of prepayment meters is clearly unacceptable, and the Government have done everything we can to counteract it. However, I reiterate that 150,000 investigations were carried out, in 2,500 of those cases compensation is due and, instead of 1%, the actual figure on compensation is 60%.

[Keir Mather (Selby and Ainsty) (Lab)]

16. What estimate she has made of the number of households that were in fuel poverty in winter 2023-24.

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Amanda Solloway)]

The policy on fuel poverty is devolved. Statistics for England estimate that 3.17 million households were in fuel poverty in 2023, which is more than 1.5 million fewer than in 2010.

[Keir Mather]

The best way to cut fuel poverty is through a nationwide home upgrade scheme, but the Secretary of State seems unaware of the reality when it comes to home upgrades. Her officials said in recent documents given to the High Court that progress to decarbonise the UK’s building stock has been slow, that policy gaps remain and that the Government are lagging behind. Why will she not admit in public what her Department tells her in private?

[Amanda Solloway]

This Government are committed to making sure that we not only get energy efficiency but support people with their energy bills.

[Vicky Ford (Chelmsford) (Con)]

Thanks to Government grants, a social housing provider in my Chelmsford constituency, CHP, has made some great investments in social housing to help energy efficiency, reduce bills and lower fuel poverty, but it would like to go further. Will the Minister discuss with me the ways in which we can help to share the benefits of those savings so that some of them can be invested in improving energy efficiency and lowering bills in even more homes?

[Amanda Solloway]

My right hon. Friend makes the important point that energy efficiency is crucial to lowering bills. That is why we have the social housing decarbonisation fund, which supports local authorities and housing associations in upgrading social housing stock below energy performance certificate level C.

[Justin Madders (Ellesmere Port and Neston) (Lab)]

17. What recent discussions she has had with businesses and investors on the Government’s net zero targets.

--- Later in debate ---

[Dr James Davies (Vale of Clwyd) (Con)]

T3. I welcome Ofgem’s ongoing review of standing charges in electricity bills. In the North Wales and Merseyside region, the standing charge is 67.04p per day, compared to an average of 60.10p across the UK. Will the Minister commit to coming back to the House to provide further comment on this geographical variation once Ofgem has published the findings of its review?

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Amanda Solloway)]

My hon. Friend makes an important point and is right to pick up on this matter. I reassure him that I have encouraged and pushed Ofgem to do more on this issue. Electricity standing charges include network costs, which reflect the cost of maintaining and upgrading the transmission and distribution networks across the country. I am of course happy to meet him to discuss this subject further.

--- Later in debate ---

[Patricia Gibson (North Ayrshire and Arran) (SNP)]

T7. Will the Minister confirm whether the Government have dropped their commitment to consulting on a social energy tariff? If they have not, can we have an update on progress, given that a social energy tariff would lift 2.2 million households out of poverty?

[Amanda Solloway]

A social tariff means lots of different things to different people, but what it ultimately means is ensuring that we support all vulnerable people. The hon. Member will be aware that the Government are doing many things to support people; there is the warm home discount, the cost of living payment, which is £900, and a variety of other measures.

[Mark Eastwood (Dewsbury) (Con)]

T6. While it is important that we support renewable energy sources, does the Minister agree with me that solar panels should go on rooftops, not on farmland?

[Dan Carden (Liverpool, Walton) (Lab)]

T8. Does the Minister think that a regulator that allows the poorest to pay the highest bills, and that has overseen the doubling of energy bills since 2021 and the collapse of 30 energy companies in the same period, is fit for purpose?

[Amanda Solloway]

We are ensuring that energy businesses are able to survive, and not just through the price caps. This is also a matter for Ofgem.

[Chris Clarkson (Heywood and Middleton) (Con)]

My constituency is home to Scout Moor, one of the largest onshore wind farms in Europe, but the north-west also has amazing potential for offshore wind; an example is the Morgan and Morecambe development off the coast of Lancashire. Such projects require huge amounts of infrastructure to be realised. Notwithstanding the reassurances that my right hon. Friend has already given, will she ensure that community consent is part of any infrastructure projects of this kind?

--- Later in debate ---

[Richard Foord (Tiverton and Honiton) (LD)]

T9. Under Ofgem’s price cap, which has just come into effect, people with the most poorly insulated rural homes can expect to pay an additional £340 on their annual energy bills. Will the Minister expand insulation schemes, particularly for people living in rural areas?

[Amanda Solloway]

The hon. Gentleman’s question covers a few issues. One of the most important things is to look at how the standing charges are made up. That is why we have encouraged Ofgem to answer our call for input. Insulation schemes are incredibly important as well, which is why the Government are committed to supporting so many of them.

[Alexander Stafford (Rother Valley) (Con)]

Hydrogen is the only viable alternative to natural gas for a balanced, reactive and carbon-zero electricity grid. The UK has 32 gas power plants, all of which could be cheaply and easily retrofitted to burn hydrogen as a natural gas. What is the Department doing to encourage this sort of retrofitting, so that we can allow technologies to decarbonise electricity generation and take advantage of the many benefits of hydrogen?

[Marion Fellows (Motherwell and Wishaw) (SNP)]

In the last 12 months, one in five households, or one in four young households, in energy debt have turned to illegal money lenders to help pay for bills and everyday essentials. The End Fuel Poverty Coalition has stated that the crisis could mean that young households spend years at the mercy of these loan sharks. What assessment has the Minister made of the merits of working with Ofgem and energy suppliers in order to introduce support to alleviate this record-high energy debt?

[Amanda Solloway]

The hon. Member makes an incredibly important point, and I have had many conversations with her on this matter. I can reassure her that I meet Ofgem regularly to discuss this, as the issue is very close to my heart—hence the call for input. To give her further reassurance, I can tell her that earlier this week, I met energy suppliers, and I also have ongoing meetings with Citizens Advice and other stakeholders.

[Sir Jeremy Wright (Kenilworth and Southam) (Con)]

Like others, I welcome what the Government have already done to extend the permitted development rights for rooftop solar and car park canopies, but may I encourage my hon. Friend to tell others in Government who have responsibility for planning that there are considerable benefits to car park canopies, particularly in hotter summers?

[Mr Gregory Campbell (East Londonderry) (DUP)]

There has indeed been a significant increase in domestic insulation schemes in recent years. However, will the Minister agree to increase the number of conversations with devolved institutions, so that we can see a genuinely nationwide revival of insulation schemes that, individually, can do more to reduce the dependency on high energy costs for those at maximum risk, in social housing and elsewhere?

[Amanda Solloway]

Clearly, energy efficiency is incredibly important, which means that making sure that we get the correct insulation schemes is also incredibly important. I give the hon. Gentleman my assurance that we are doing everything we can to ensure that that insulation takes place.

[Cherilyn Mackrory (Truro and Falmouth) (Con)]

Given the floating offshore wind manufacturing investment scheme funding recently awarded to Wales, can the Minister please advise me on when A&P Falmouth, which is to be a vital part of the supply chain for the only successful project in allocation round 4, will be put on the reserve list? The Minister has promised to meet me on several occasions. Can I ask that we expedite that much as possible?

--- Later in debate ---

[Alison Thewliss (Glasgow Central) (SNP)]

My constituent from Govanhill is being passed backwards and forwards between Utilita Energy and the Department for Work and Pensions. He receives income-related employment and support allowance and should be entitled to the warm home discount, but neither Utilita nor the DWP is able to give him the money he is entitled to. He applied in September last year. Will the Minister intervene and make sure he gets the money he is due?

[Amanda Solloway]

I encourage the hon. Lady to write to me on this particular issue and I will look into it.

[Alicia Kearns (Rutland and Melton) (Con)]

I put on record my heartfelt thanks to the Secretary of State and the Minister for Nuclear and Renewables for the action they took last week to put food security, alongside renewable energy, at the heart of local planning decisions. What are the Government doing to ensure that all councils immediately enact that policy, because it is both for local councils and for Government? Will existing soil assessments stand for nationally significant infrastructure projects, or will they be redone?