Economic Outlook and Furlough Scheme Changes

Debate between Jesse Norman and Caroline Lucas

Tuesday 16th June 2020 Commons Chamber

[Jesse Norman]

That may well be true, but I would highlight and remind my hon. Friend that one scheme, the bounce back loan scheme, is specifically targeted at small and medium-sized enterprises, and indeed micro-enterprises. Those loans are on very concessionary terms and do not require personal guarantees up to a threshold, so the organisations that my hon. Friend mentions should be able to benefit.

[Caroline Lucas (Brighton, Pavilion) (Green)]

May I add my voice to many others in paying tribute to our much-missed colleague, Jo Cox?

The pandemic has further highlighted the deep connection between human health and thriving ecosystems, with the destruction of nature both increasing pandemic risk and driving climate change. With the news of record job losses, will the Minister prioritise the job creation potential of nature restoration at a national level and agree that not one single shovel-ready project will end up indiscriminately destroying nature? Secondly, will his Department establish a new taskforce on jobs for nature, to maximise the number of people employed in protecting the natural world, rather than destroying it? He says the Treasury will recalibrate whether there is more to be done on the green economy; I assure him that there is, and he just needs to get on and do it.

[Jesse Norman]

Having been an energy Minister, I am extremely aware of the many good things that we have done and continue to do, but I thank the hon. Lady for her contribution.

Fuel Poverty

Debate between Jesse Norman and Caroline Lucas

Tuesday 21st March 2017 Commons Chamber

[Jesse Norman]

Mr Deputy Speaker, I had until recently hoped to be greeting your female colleague—Madam Deputy Speaker—as you and I have spent so much time in the Chamber over the past few days. In her absence, it is a delight to welcome you to the Chair.

I thank colleagues on both sides of the House for their contributions to this debate. I will respond to some of their many points but, first, I will recap the situation. The most recent statistics, as highlighted by my hon. Friend the Minister for Climate Change and Industry in his opening remarks, show that there were approximately 780,000 fewer homes in the lowest energy efficiency rating bands—E, F and G—in 2014 compared with 2010, which demonstrates real, sustainable progress towards the 2020 and 2025 milestones. It is clear from the statistics that the fuel poverty milestones and target are backloaded and that the scale of improvements required to reach each of the target dates increases over time.

Today, the energy company obligation regulations are being debated in the House of Lords. They seek to increase the proportion of support directed at low-income homes. Although the ECO policy has reduced in size compared with the scale of recent years, support for low-income households has been protected. In fact, the regulations for the new scheme to launch on 1 April 2017 represent an increase from £310 million to £450 million a year.

Combined with immediate support on the cost of energy bills provided via the warm home discount, there will be at least £770 million of support for low-income and vulnerable consumers over 2017-18. That is a significant commitment towards some of the households that are faced with the challenge of keeping their home warm. It is therefore far from true that, as the hon. Member for Brighton, Pavilion (Caroline Lucas) said, the Government are turning their back on the situation. Quite the opposite.

The shadow Minister, the hon. Member for Sheffield, Brightside and Hillsborough (Gill Furniss), criticised what she described as the Government’s “quite abysmal” record. I can do no better than to point out that, in the years from 2003 to 2010, the last Labour Government succeeded in increasing the number of fuel-poor households from 2.41 million to 2.49 million. The result of what she regards as an effective energy policy was to increase the number of people in fuel poverty.

Regulation, particularly for landlords, will also play an important role in making progress towards the milestones, as will other actions such as the safeguard tariff for pre-payment meters and the roll out of smart meters. In the longer term, the Government will be assessing the resources and policy mix required to meet the 2030 fuel poverty target. However, flexibility is important given the long-term, structural nature of fuel poverty. We should not, in 2017, seek to say precisely how best we can meet the target or commit future Governments to 13 years of spending in a particular way given that so much could change in the energy sector and in applicable technologies.

[Caroline Lucas]

On the Government’s commitment to this agenda, can the Minister answer the fact that the notional annual spend on the overall ECO programme has reduced from an original £1.3 billion to £640 million? The new cap on heating measures with the ECO leaves a big gap in provision for low-income or vulnerable consumers who cannot now afford to repair or replace existing gas boilers. What is his answer to that?

[Jesse Norman]

If the hon. Lady had attended closely to my opening remarks, she would have heard me acknowledge that the scheme has been reduced in size but that funding for more vulnerable groups has been increased. If we combine that with the wider support through the warm home discount, let alone the national living wage and other applicable measures, we see that the Government are doing a great deal in that area.