Inflation

Lord Howell of Guildford Excerpts

Monday 23rd May 2022 Lords Chamber

[Baroness Penn (Con)]

My Lords, we do not believe that windfall taxes are simple or easy, but we are also pragmatic, and we want to see energy companies which have made extraordinary profits at a time of elevated prices investing those profits back into British jobs and growth. If that does not happen, no option is off the table. When it comes to further help for families across the country that are facing real difficulty, the Government are looking very carefully and stand ready to do more.

[Lord Howell of Guildford (Con)]

My Lords, is it not time to go to the roots of this terrible energy price and inflation problem? Those roots are largely international; at this moment, there is ample gas around the world and ample oil capacity to offset Russian exports and bring prices very sharply down. Should we not make it a diplomatic and foreign policy priority to bring pressure on those who could increase capacity quickly to do so, and to do so in the interest of the consumer, prices and indeed the entire European situation—and the Ukraine situation as well?

[Baroness Penn (Con)]

My noble friend makes a good point. Of course, the Government have published their energy security strategy, which looks at the number of those issues. The point about international co-operation can also be very well applied to food security and food exports; I know that the Prime Minister and the Foreign Secretary have had conversations with their counterparts in recent weeks to look at what more we can do to ensure food exports, for example from Ukraine.