Economic Update

John Penrose Excerpts

Thursday 3rd February 2022 Commons Chamber

[Rishi Sunak]

The hon. Gentleman is, of course, well informed on these issues. Our intention is that those people will benefit from the £150, which is why we are providing the discretionary fund. It has been sized with a sense of who those people are and how many they are. We will of course provide some guidance to local authorities on whom we would expect the support to go to, but ultimately they will be able to make those decisions for themselves.

[John Penrose (Weston-super-Mare) (Con)]

I thank the Chancellor for an extremely welcome package, which is the latest step in a series of strong reactions to different crises throughout the pandemic and today. He also mentioned improving investment in North sea gas fields, which is very welcome. It is only a temporary set of solutions, however, that will dull the initial economic pain without solving the long-term problem of sky-high energy prices. What conversations has he had with the Energy Secretary, who is sitting next to him, about solutions to deal with those longer-term problems? When we can we expect to hear answers on such things as reforming the price cap and the wholesale energy market?

[Rishi Sunak]

My hon. Friend is very thoughtful on such matters and has, rightly, long made the point that we must also ensure that the long-term energy market is working in all our benefit. The Energy Secretary, the Prime Minister and I have been involved in such conversations for some time. The Energy Secretary is working on a set of measures that will address many of my hon. Friend’s concerns and he should expect to hear from the Government soon.