(3 weeks, 2 days ago)
Commons Chamber
Jonathan Davies (Mid Derbyshire) (Lab)
It is a pleasure to contribute to this debate following His Majesty’s Gracious Speech, because it is an opportunity both to reflect on things that the Government have done and to look to the future. Progress is being made in so many areas, including in the NHS—I was pleased last week to see the biggest in-month fall in waiting times since 2008—action on cost of living issues and the economy. According to the young people who contributed to a survey I undertook towards the end of last year, the cost of living is the biggest issue holding them back. Measures such as freezing rail fares and ensuring the economy can deliver continued interest rates cuts put extra money in people’s pockets, but there is a huge amount still to do.
Looking ahead, I would be keen to see the Government recognise the value of our UNESCO world heritage sites, as the chair of the all-party parliamentary group on that matter. The Government have opportunities to make offers on education, the economy and the environment. I am also keen that the Government look at the issue of VAT on hospitality, which is a sector that is struggling at the moment. We must also go further and faster with our business rates reform.
I was pleased with some of the steps that the Government took in the first Session of this Parliament on energy, including rolling out the community energy scheme; that will make a massive difference to community institutions such as sports clubs, churches and parish councils, which will be able to generate more of their energy and export it to the grid. I was also pleased with the £600 million for small modular reactors. That is excellent news for people in Derby, who have the skills to bring those forward.
There is so much more to do. Many businesses in my constituency or nearby, such as Denby, are struggling. Denby lacks the grid connections to export the excess renewables produced at the weekend back into the grid. For ceramics producers, the cost of energy is a massive issue that holds the economy back.
Linsey Farnsworth (Amber Valley) (Lab)
I am grateful to my hon. Friend for raising the issue of Denby Pottery, a business in my constituency that is in administration. Will he join me in urging all hon. Members to sign the petition to save Denby Pottery and encourage his constituents to do so as well?
Linsey Farnsworth (Amber Valley) (Lab)
I welcome the package of Bills in the King’s Speech.
By accelerating the transition to renewables and by producing energy for the UK here in the UK, we will strengthen our energy resilience and make bills lower. For that to succeed, another barrier must be addressed. Time and again, manufacturers in my constituency tell me that they are being held back by the constraints on our grid infrastructure, which is stifling expansion and the creation of new jobs for people in Amber Valley.
The combined double burden of high energy prices and insufficient grid capacity has been keenly felt by Denby Pottery, which has sadly gone into administration. I was shocked to learn that for years it had been forced to switch off its solar panels at weekends, rather than sell excess power back to the grid—a cruel irony, given the circumstances. The Minister for Industry, the Under-Secretary of State for Business and Trade, my hon. Friend the Member for Stockton North (Chris McDonald), will be acutely aware from our many meetings on this subject that I will not stop pushing for support for the energy-intensive ceramics industry, and I will not stop fighting to save Denby Pottery unless and until the doors close for the very last time.
National Grid’s plans to upgrade the network are central to increasing capacity across Amber Valley, which in turn will support local businesses. However, I know many residents are deeply concerned about the proposed pylon route, which is set to run through my constituency from top to bottom. I am working hard to ensure that the final route minimises impact and intrusion for residents, schools and businesses.
In Amber Valley, our communities have consistently stepped up to support our nation’s infrastructure, from open cast mining to our ironworks, and that contribution must be recognised. The community benefit fund can be used to support local priorities, such as healthcare, education and skills. No level of funding can fully offset disruption, but it is none the less essential that the communities most affected see a fair and proportionate return. I have raised this issue directly with the Minister for Energy, my hon. Friend the Member for Rutherglen (Michael Shanks), who knows that I will always fight for what is right for my constituents. That is why I want to take the opportunity today to reiterate that, given that Amber Valley is once again being asked to contribute more than others to this nationally significant project, it is only right that my constituents receive a ringfenced and proportionate share of the community fund.
Some in this place seek to use energy policy as an opportunity to play culture wars, but my constituents know more than most that this is not a game. The measures in the King’s Speech will make our energy resilience stronger and our energy supply fairer, while preserving and creating jobs, and making bills cheaper. For my constituents, that cannot come soon enough.
(2 months, 3 weeks ago)
General Committees
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Martin McCluskey)
I beg to move,
That the draft Warm Home Discount (England and Wales) Regulations 2026 be approved.
It is a pleasure to serve under your chairmanship, Mr Dowd. I should say to hon. Members that I have a terrible cold and I can barely hear at the moment, so if I do not answer any questions, it is not because I am avoiding them. The warm home discount scheme has been a key policy in the Government’s approach to tackling fuel poverty and reducing the energy costs of low-income and vulnerable households ever since its inception in 2011.
Linsey Farnsworth (Amber Valley) (Lab)
At a recent coffee morning that I held in the village of Holbrook, constituents raised their worries about energy bills. In 2024-25, 6,219 people, or 14.5% of all households in Amber Valley, received the warm home discount. Particularly in the light of ongoing uncertainty on household energy costs due to international events, I am really pleased that the Government are continuing to support the scheme and that I am a member of this Committee. Does the Minister agree that the Government should be focused on this issue absolutely?
Martin McCluskey
I know that my hon. Friend is a champion for her constituents in Holbrook and across her constituency. Like many hon. Members, she will have seen the increase in the numbers of people this year who are eligible for the warm home discount because of the decision made by the Government to expand the scheme to 6 million households. Her constituents and the constituents of all hon. Members will benefit from that this year.
Last year, the Government expanded the warm home discount scheme, removing the high cost-to-heat threshold to ensure that an additional 2.7 million of the poorest households across Great Britain received the £150 rebate off their energy bills this winter, with nearly 6 million households now eligible overall. The current scheme period ends on 31 March 2026, and new regulations are therefore required to continue the scheme beyond that date. In September, we consulted on continuing the warm home discount scheme up to and including the winter of 2030-31. The consultation respondents, including consumer advocacy groups, charities and industry, strongly supported proposals to continue the scheme and to continue providing rebates to vulnerable households via automatic data matching.
Today, we are discussing these regulations, as well as some additional changes to the scheme that will allow eligible households across England and Wales in or at risk of fuel poverty to continue to receive the rebate for the rest of this decade. Members will note that the regulations relate only to the scheme in England and Wales. The warm home discount scheme will also continue in Scotland to winter 2030-31 with £92 million a year of funding allocated. Fuel poverty is devolved in Scotland and, under these arrangements, the Scottish Government have determined eligibility for the next scheme period in Scotland within the funding envelope. Separate regulations have been laid in this Parliament to continue the scheme in Scotland, and I look forward to discussing these regulations with the House in due course.