Energy Company Charges

Mark Spencer Excerpts

Tuesday 4th February 2014 Commons Chamber

[Robert Halfon (Harlow) (Con)]

After the debate, I think that I will enter the Olympics because I do not think that I have ever walked so fast in my life as when this debate started slightly early.

I am hugely grateful to my hon. Friend the Member for Ynys Môn (Albert Owen)—I call him my hon. Friend on purpose—not only because he has campaigned on this issue for far longer than I have and since before I was even in this House, but because he was a huge support in tabling the motion and in going to the Backbench Business Committee. I also thank him for his speech.

I would also like to thank my hon. Friend the Member for New Forest East (Dr Lewis), the hon. Member for North Down (Lady Hermon), the right hon. Member for Dwyfor Meirionnydd (Mr Llwyd) and all those who came with me to the Backbench Business Committee, particularly my hon. Friend the Member for Chatham and Aylesford (Tracey Crouch), who is winding up the debate and has done an enormous amount of work on this issue. I also thank the 177 Members who have signed the motion, making it one of the best supported Back-Bench motions in the history of such motions. That reflects the fact that this is an all-party issue and not just a Conservative issue, a Labour issue or a Unionist issue.

Organisations, such as Which?, have done a huge amount of work to promote consumer rights in this field and they keep me posted on what is happening. We must remember that Which? has led a campaign on this matter for quite a long time.

[Mr Mark Spencer (Sherwood) (Con)]

I am sure that the House will recognise that my hon. Friend is a tremendous campaigner—an award-winning campaigner—on these matters. I think that it is worth putting that on the record at the start of his comments.

[Robert Halfon]

I am proud to call my hon. Friend a friend and I appreciate his remarks.

It is no secret that consumers are feeling hard pressed. The cost of utility bills has gone up exponentially in the past three years. Since 2007, the average electricity bill has gone up by 20% in real terms and gas bills have gone up by a shocking 43%, proving that they are a major burden on the cost of living. Citizens Advice has warned that energy bills are rising at up to eight times the rate of earnings. It is no surprise that polling shows that the rising cost of energy bills is a top concern for the British public.

I welcome the efforts that the Minister and the Government have made to help, including by forcing companies to put consumers on the lowest possible tariff, providing a rebate to every domestic electricity customer, reducing bills by £130 for 2 million of the poorest households and protecting pensioners’ cold weather payments. However, with price increases, companies making large profits and general dissatisfaction with energy companies across the United Kingdom, it is clear that the energy market is not working at its prime.

The payment of energy bills by direct debit is often associated with companies overestimating a household’s energy usage, resulting in overcharging and a large amount of credit being built up. Understandably, that upsets many customers and it has rightly received a lot of attention from the media.