Energy Prices

Caroline Dinenage Excerpts

Wednesday 19th October 2011 Commons Chamber

[Caroline Flint]

That is one of the reasons why in 2007 we started discussions across Europe, as part of the new third energy package, to ensure that national regulators had more powers and to introduce more competition and transparency. That is what my right hon. Friend the Member for Doncaster North (Edward Miliband) has been calling for ever since he was Energy Secretary, including now, as leader of the Labour party. It is interesting that we are only now beginning to see signs that the Government are getting behind the Miliband deal. [Laughter.] It is absolutely true.

The Secretary of State likes to lecture us about the need to check and switch, but what does his own Energy Minister say? Earlier this year he poured his heart out to the Select Committee on Energy and Climate Change about his struggle to find a cheaper deal. He said:

“I went on line to compare my tariffs and I was so confused by the options that I decided to stick where I was”.

That is what is happening to our constituents up and down the country. If the Minister himself cannot work out how to get a better deal, what hope is there for the rest of us? No wonder 80% of people are paying more for their energy than they need to.

[Caroline Dinenage (Gosport) (Con)]

I recognise the passion with which the right hon. Lady speaks. I share her passion, because many people in my constituency, particularly pensioners, have been struck with fuel poverty. However, I am beginning to ask myself whether she has been asleep for the last 13 years as prices have gone up. This has not suddenly happened overnight; the problem has got increasingly worse over the last 13 years. What does she say about that?

[Caroline Flint]

I am afraid that the problem has got even worse in the last year. Prices have been going up, even though wholesale prices have been going down. In its recent reports Ofgem has quite rightly complained about the way the energy big six blame wholesale prices when they put their prices up, but when wholesale prices go down they are not as quick to send them down the other way. It is just not good enough.