Energy Update

Debate between Anna Firth and Greg Hands

Monday 5th September 2022 Commons Chamber

[Greg Hands]

I commend the hon. Gentleman on his ability to squeeze in so many questions. On additional investment in renewables, the Government are moving to annual allocation rounds on our renewable options. That is a strong achievement. The Government have invested a huge amount in renewables, particularly through the contracts for difference system, which I would urge him to support. He will know that we made an announcement recently on where we are with Centrica and Rough gas storage, and that continues to proceed.

I remind the hon. Gentleman that fuel poverty is a devolved matter, so he may wish to have a word with the Scottish Government, which I have reason to believe he may be close to. He also mentioned businesses, and I remind him that the cost of energy for businesses is right at the top of the in-tray of our new Prime Minister. He mentioned the food and drink sector, and I am sure that is also the case for that sector. He asked about tax, and that will be a matter for the Treasury and for future announcements.

The hon. Gentleman mentioned nuclear budgets, and I am getting a bit fed up with the SNP’s obsessive anti-nuclear behaviour. It is exactly that kind of no-saying that got us into the problem of not having enough nuclear power in this country. Thankfully, earlier this year the Prime Minister rectified that with the British energy security strategy, making sure that we get to 24GW of nuclear power by 2050. As for the cost of Hinkley Point C, the hon. Gentleman will find that the strike price, which was negotiated by the then Chancellor of the Exchequer, George Osborne, and by me, as Chief Secretary to the Treasury, compares very favourably with energy prices today.

Finally, I think I heard a complaint from the hon. Gentleman about budget allocations to councils, which was extraordinary, coming from the SNP. It is the party that has been hammering council budgets in Scotland, and then expecting them to collect the rubbish with vastly decreased levels of budgetary contribution. I again urge him to have a word with his friends in Edinburgh who are running the Scottish Government, to see whether they might be able to do something to improve the budget allocations for Scottish councils.

[Anna Firth (Southend West) (Con)]

I welcome the Minister’s statement and the support for individuals and businesses, but may I raise with him the issue of schools? Southend West is home to 30 excellent schools, and many heads have been in contact with me, concerned that they will not be able to pay the utility bills. One has even trailed in the local press the possibility of opening for only four days a week. Can he assure me that it is the Government’s priority to make sure that our children’s education does not suffer as a result of the energy crisis, as it did as a result of the coronavirus crisis?

[Greg Hands]

I thank my hon. Friend for that contribution. Schools are certainly at the forefront of our thinking for the coming winter. She is right that we need to make sure that schools are properly supported, and there are lessons to be learned from the pandemic as to how that was done. I am sure that her words will be well heard by Ministers, HM Treasury and the Department for Education.