Oral Answers to Questions

Chris McDonald Excerpts

Tuesday 24th March 2026 Commons Chamber

[Jo White (Bassetlaw) (Lab)]

5. What steps he is taking to attract private sector investment for a fusion reactor.

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

Fusion energy really is the energy of the future. Our fusion strategy, with a fusion prospectus to follow, has a strong focus on inward investment, very much ensuring that Britain is the world-leading place to invest in fusion energy.

[Jo White]

Last December, Donald Trump’s media and technology group purchased a Californian-based fusion energy company, putting his son Donald Jr. on the board in a $6 billion deal. The race is on for fusion energy production at scale. Will the Minister join me in welcoming the appointment of ILIOS consortium, led by Kier and Nuvia, to construct a fusion power plant in north Nottinghamshire? I am sure he agrees that will mean jobs and new skills and training for my constituency and beyond.

[Chris McDonald]

I do indeed welcome the £200 million design and build contract for ILIOS with, as my hon. Friend mentioned, Kier and firms like Turner & Townsend who can be relied on to deliver. We have allocated £1.3 billion over the spending review period for fusion. Britain has been firmly in the lead for research in this area; we need to be in the lead in its application, too.

I know that my hon. Friend’s constituents will benefit, but right now it would be difficult for constituents in Scotland to benefit, because the SNP cannot decide whether fusion energy is nuclear energy. I can tell SNP Members that it is, and they should be supporting nuclear energy across the whole country.

[Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)]

The Treasury Bench would be particularly disappointed if I did not once again showcase what we have at Dounreay: a licensed site, a skilled workforce and a population who would greatly support playing a role in the development of fusion for the future. May I suggest that the Scottish Enterprise network might put its hand in its pocket to bring that forward, if that is helpful to His Majesty’s Government?

[Chris McDonald]

I share the hon. Member’s affection for Dounreay—I have family based in Reay and Thurso and have enjoyed many a holiday on the north coast of Scotland. As he said, it has a talented and experienced nuclear workforce, and I very much hope that they will play a part in Britain’s nuclear future.

[Stephen Gethins (Arbroath and Broughty Ferry) (SNP)]

6. What steps his Department is taking to support communities in Scotland with the cost of energy bills.

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[Mary Glindon (Newcastle upon Tyne East and Wallsend) (Lab)]

11. What discussions he has had with private sector representatives on securing investment in clean energy industries.

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

After a lot of hullabaloo about the oil and gas industry, we now get to turn to the areas where we are doubling down—namely, on our vast natural resource in clean energy industries and offshore wind, where we managed to attract £90 billion-worth of private sector investment in 2024, in collaboration with the sector councils. Whereas the Conservative Government were happy for those associated jobs to be in Denmark and the Netherlands, we are reindustrialising Blyth, the Tyne and the Tees.

[Mary Glindon]

Allocation round 7 was a resounding vote of confidence from developers, and our supply chains will welcome that. At a roundtable I hosted last year, the Secretary of State set out the innovative principles behind the clean industry bonus. However, competing against lower-cost regions, such as the middle east, remains a pressing concern for fabricators in the future. Will the Minister ensure that the CIB is as robust and creative as possible so that developers buy from British yards?

[Chris McDonald]

My hon. Friend is right that the allocation round was incredibly successful. Of course, the Conservatives wanted to cancel it, given their opposition to clean industry jobs across the UK. In the north-east, where my hon. Friend is from, we are forecasting an increase of 20,000 jobs. I know that the Smulders yard in her constituency will seek to benefit from that because, as the Chancellor of the Exchequer said, it matters to this Government where things are made. We want those supply chain jobs here in the UK—jobs the Reform party would take away from constituents like hers and mine, with its anti-net zero ideology.

[Graham Stuart (Beverley and Holderness) (Con)]

The Minister will be aware that major hydrogen projects in the Humber area, including those led by National Gas, are ready to go. They are vital to our region, which has £18 billion of value-add and 360,000 jobs, but without certainty from Government, investors cannot commit. When will the Government open the allocation rounds for the hydrogen transport and storage business models so that this investment can actually move forward?

[Chris McDonald]

I appreciate the right hon. Member’s concerns, having spoken to the hydrogen industry myself, and the representation he has made to me and to the Energy Minister on this issue. I can assure him that the hydrogen strategy will be out soon.

[Mr Angus MacDonald (Inverness, Skye and West Ross-shire) (LD)]

12. What steps he is taking to support rural homes that use heating oil.

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[Josh Fenton-Glynn (Calder Valley) (Lab)]

T2. Manufacturers have been grappling with energy costs long before the current Iran conflict, hitting Calder Valley firms. Siddall & Hilton, which makes fences, is seeing costs four times higher than European competitors, and finishing company H&C Whitehead has seen its energy bills double to £22,000 a month. Will the Minister meet me to discuss how we can support smaller firms and ensure that Government support schemes help energy-intensive firms?

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

My hon. Friend is right to point out the importance of finishing companies. I know that some spinning and weaving businesses are included in the supercharger, but finishing is often not, even though it is done in the same factory. Clearly, whether they are waterproofing sou’westers or fireproofing mattresses, these businesses are important. I would be happy to meet my hon. Friend to discuss the upcoming supercharger review and what options there may be for those businesses.

[Claire Coutinho (East Surrey) (Con)]

Will the Secretary of State be honest and tell the country why he is ideologically obsessed with shutting down the North sea? Is it because he does not think we need the £25 billion of tax revenue it would generate? Is it because he prefers to import gas with higher emissions, or is it because he has never bothered to speak to the thousands of workers who are losing their jobs right now because of his policies?

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[Chris Coghlan (Dorking and Horley) (LD)]

The green firms that innovate the most, and young firms, have been shown to be particularly credit constrained. Will the Minister meet me to discuss what measures the Government are taking to increase credit supply, raise research and development, and increase economic growth?

[Chris McDonald]

We now have record public sector investment in the development of this technology, with £86 billion to 2030. As a techno-optimist, I agree with the International Energy Agency that we can now solve 75% of these problems using technology, and I would be happy to meet the hon. Gentleman to discuss the matter further.

[Mohammad Yasin (Bedford) (Lab)]

For as long as the UK depends on oil and gas, global conflicts will continue to drive price hikes for my constituents in Bedford and Kempston, who face soaring bills when the price cap ends in June. Does the Secretary of State agree that lower bills should come before company profits, and will he levy a windfall tax on the fossil fuel companies, which are making billions from this crisis?