Oral Answers to Questions Debate
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Main Page: Jim Dickson (Labour - Dartford)Department Debates - View all Jim Dickson's debates with the Department for Energy Security & Net Zero
(1 day, 11 hours ago)
Commons Chamber
Tristan Osborne (Chatham and Aylesford) (Lab)
Jim Dickson (Dartford) (Lab)
The Secretary of State for Energy Security and Net Zero (Miatta Fahnbulleh)
We know that people are worried about rising energy bills when the cost of living is biting, and we know that we need to provide breathing space. That is why one of the first things that the Prime Minister did in the job was to scrap VAT on electricity bills. That is on top of the £150 that we took off the cost of energy. We are clear that the scale of what we are seeing requires us to make a concerted effort to get bills down. That is why we are running up clean energy to reduce our exposure to global fossil fuel markets and rolling out the warm homes plan so that we can upgrade our homes. Solar, batteries and clean heat can reduce bills by £600 to £800. Critically, we are determined to put the public back in control of an energy system that the Conservatives lost control of, so that it can work in the interest of consumers.
Miatta Fahnbulleh
My hon. Friend is right to give the example of Octopus Energy in his constituency. Through the warm homes plan, we are investing record amounts—billions—in upgrading our homes, because we know that is a key route towards reducing bills. Solar batteries and clean heat insulation can save households between £600 and £800, and we are committed to devolving that to bring about a huge acceleration, street by street, area by area, and estate by estate. That is how we can drive down energy bills for good.
Jim Dickson
Clearly a great deal is being done to protect low-income residents from the effect of rising bills, but given that the energy cap is expected to rise considerably at the start of next year, may I ask the Secretary of State what further conversations she has had with the Treasury to find additional ways of protecting those on the lowest incomes from the effect of rising bills?
Miatta Fahnbulleh
My hon. Friend asks an important question. We are acutely aware that low-income families will be hit hardest by rising prices. We are working with others across Government, including our colleagues in the Treasury, on how we can give people some breathing room. But it is important to emphasise that we have already acted. We have removed VAT from domestic electricity bills, and that comes into force straightaway. We are taking £150 off the cost of bills, and we are also delivering the warm home discount. That means £150 for 6 million of our lowest-earning households. We understand the pressure that households are under, and we will act and stand by people to support them.
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Ms Polly Billington)
In fact, the fuel finder it is a good way of ensuring that people have the transparency that is required for the market to really work. The Competition and Markets Authority has found that, fundamentally, the market works competitively, but if anybody finds anything that they suspect to be price gouging, they should report it to the CMA. I would also like to point out that we have frozen fuel duty. Diesel, for example, is £11 cheaper than it would have been under the previous Government before 2024. It is important for Conservative Members to remember that we are doing what we can to bear down on the cost to the motorist and to ensure that the market works as transparently as possible.
Jim Dickson (Dartford) (Lab)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Martin McCluskey)
I pay tribute to my hon. Friend for combining two of my favourite things, energy efficiency and the pub, in one question. I encourage the Wat Tyler to access the UK Business Climate Hub, which provides advice to businesses on how to reduce energy costs. It may also be eligible for the boiler upgrade scheme, which offers a grant of up to £7,500 to replace a fossil fuel boiler with a heat pump or other clean technology.