Oral Answers to Questions

Debate between Huw Irranca-Davies and Baroness Morgan of Cotes

Tuesday 5th November 2013 Commons Chamber

[Huw Irranca-Davies (Ogmore) (Lab)]

1. What assessment the Office for Budget Responsibility has made of the effects on the economy of recent changes in energy prices.

[The Economic Secretary to the Treasury (Nicky Morgan)]

The Office for Budget Responsibility has not published any assessment of the effects of the recent energy price increases on the economy. The OBR’s last published forecast, “Economic and fiscal outlook” was issued in March 2013, and an updated forecast will be provided alongside the autumn statement. The Government are committed to doing all we can to keep energy bills down to support hard-working families.

[Huw Irranca-Davies]

I welcome the hon. Lady to her post. Is she aware that last year wholesale energy prices rose by 1.7%, but energy bills by 9.1%? Is it not time that the Government stopped defending the big six energy companies and actually called for a freeze on prices while we reset the energy market?

[Nicky Morgan]

It is very interesting to hear what the hon. Gentleman says, but the first thing he needs to do is explain to his constituents why he voted for the decarbonisation target, which is going to add £125 to energy bills. Secondly, it was the last Labour Government who created the big six. We started off with 20; they left us with the big six. Thirdly, this Government have set out very clearly how they will help households—by reviewing green levies, by encouraging switching, which I am pleased to see the Leader of the Opposition has taken up, and by increasing competition.

National Policy Statements

Debate between Huw Irranca-Davies and Baroness Morgan of Cotes

Wednesday 1st December 2010 Commons Chamber

[Huw Irranca-Davies]

Let me make a tiny bit of progress.

This short debate is informed by the ongoing consultation—or perhaps I should say, for the benefit of the hon. Member for Ealing Central and Acton (Angie Bray), reconsultation—on the national policy statements. The coalition Government have taken this opportunity to pause, to reflect, and to revise them. In a way, that is a good thing, because it has allowed more time for deliberation, but—let us be frank—it will also have cost a vital eight or nine months by the time that the final NPSs are produced in January. That is a luxury that has inevitably led to a delay in our national efforts to secure a long-term energy security future.

[Nicky Morgan (Loughborough) (Con)]

Is it not the case, though, that the report by the Energy and Climate Change Committee criticised the previous Government for leaving it quite so long to get to the stage where the NPSs were being considered? It published its report in March 2010, when the Government had had from 2005 onwards to put them in place.

[Huw Irranca-Davies]

Indeed. The hon. Lady will have noticed that between March 2010 and now an election got in the way. The national policy statements were in place, and this Government, had they so chosen, could have picked them up and run with them, or alternatively, as happened when we came into office in 1997 and had our policies ready to go having worked them up with the civil service, they could have got on with it straight away. We will be nine months delayed by the time we have these documents before the House for full consideration.