(1 week ago)
Commons Chamber
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.