Oral Answers to Questions

Ian Lavery Excerpts

Thursday 17th October 2013 Commons Chamber

[Mrs Mary Glindon (North Tyneside) (Lab)]

6. What steps he is taking to help households with their energy bills.

[Ian Lavery (Wansbeck) (Lab)]

18. What steps he is taking to help households with their energy bills.

[The Secretary of State for Energy and Climate Change (Mr Edward Davey)]

With your permission, Mr Speaker, I would like to group this question with several others.

I am taking many steps to help, which come under three broad categories—

--- Later in debate ---

[Mr Davey]

The hon. Lady was obviously not at Prime Minister’s questions yesterday, because the Prime Minister called it a con, and he is right. Labour’s energy price freeze is a con. Let me explain to the Opposition why it is a con, because when people see a politician promising something for nothing, they do not believe them. The policy cannot control prices before Labour’s price freeze and it cannot control prices after it, so energy companies are likely to hike prices before and after. Consumers will be worse off as a result of such a measure.

[Ian Lavery]

Energy bills have already risen by £300 and are set to increase by perhaps another £100 this year. In my constituency, more than 36,000 people would benefit if the Government took action to freeze bills this year, which could save up to £120 per household. Why will the Government not stop defending the big six companies and other companies, and get on the side of the consumers and help them out this winter?

[Mr Davey]

We are on the side of the consumer, because we are promoting competition. The hon. Gentleman and his party, through their price freeze, will hurt competition. Let me explain it to him. Whereas we have seen companies entering the market under this Government, a price freeze would hurt small suppliers. If he doubts my word, he should listen to the small suppliers themselves. Nigel Cornwall, of the Energy Suppliers Forum, says that Labour’s policy

“ignores real progress made in increasing competition in the market over recent years”.

Small suppliers do not like Labour’s policy because they know it would hurt consumers.