Oral Answers to Questions Debate
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Main Page: Martin McCluskey (Labour - Inverclyde and Renfrewshire West)Department Debates - View all Martin McCluskey's debates with the Department for Business and Trade
(1 day, 13 hours ago)
Commons Chamber
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Martin McCluskey)
I am proud that this Labour Government are extending the warm home discount to an extra 2.7 million households, taking the total to nearly 6 million. This will make a vital difference to so many families this winter, including an approximate additional 350,000 households in the south-east.
Laura Kyrke-Smith
Buckinghamshire council has received more than £3 million in Government funding through the warm homes local grant to help residents with heating and energy efficiency this winter through things like upgrading insulation or installing smart heating controls. Will the Minister join me in encouraging eligible households in Aylesbury and the villages to apply, and can he say what impact he thinks this will have on reducing fuel poverty?
Martin McCluskey
I know that my hon. Friend will be doing all she can to encourage her constituents to sign up for these schemes and to ensure that as many households as possible take advantage of schemes like the warm homes local grant so that their houses are retrofitted and made fit for the future. We want people living in warm and dry homes, especially as we come through the winter. My hon. Friend might be interested to know that more than 3,200 households in her constituency have benefited from the warm home discount, and we expect even more to benefit this year with the expansion.
The Government’s extension of the warm home discount to 6 million households to combat fuel poverty was a welcome move. However, the current discount rate of £150 has stalled for a decade, not rising in proportion to energy prices. The average energy debt per person seen by Citizens Advice County Durham is in the region of £500, but advisers have seen several at £2,000-plus recently. Does the Minister agree with me and my colleagues at Citizens Advice County Durham that to truly provide transformational support as well as reduced debt levels in the energy sector, the Government should top up the scheme and reform the warm home discount so that it provides more tailored support?
Martin McCluskey
Like my hon. Friend, I am concerned about levels of energy debt, which I also see in my own constituency. Ofgem is continuing work on the debt strategy, which includes a number of measures, and we are looking at the potential introduction of a debt relief scheme. On the warm home discount, we need to balance the needs of those at risk of fuel poverty with the consideration that the warm home discount has an impact on bills; we need to ensure that we balance that out with current consumers. There is currently a consultation running on the scheme for 2026 to 2031, which closes next Thursday; I encourage my hon. Friend and her local organisations, such as Citizens Advice County Durham, to respond to that consultation.
Helen Maguire (Epsom and Ewell) (LD)
The previous Conservative Government’s failure to invest in renewable energy and insulate our homes led directly to the energy crisis. We know that cold homes drive excessive winter deaths, increase costs to the NHS and deepen social inequality. As we all experience a drop in temperature this week, I think in particular of vulnerable households. Will the Minister urgently bring forward a social energy tariff to reduce energy bills?
Martin McCluskey
The hon. Lady makes a pertinent point about the previous Government’s handling of some of the schemes. We are picking up the pieces and making sure that a similar situation does not and will not ever happen again. That is what we are absolutely focused on as we take this forward over the winter.
Vikki Slade (Mid Dorset and North Poole) (LD)
Many thousands of my residents live in park homes, in places such as Regency Heights and Stoborough Green, and have no ability to choose their energy supplier and limited access to a lot of schemes. What is the Minister’s Department doing to make sure that they have access to the warm homes initiatives? Further, as their properties are often considered chattels, they cannot access some of the other programmes.
Martin McCluskey
The hon. Lady makes a good point. As we look towards the future of the schemes, we are looking at how they can be applied to a range of different types of properties. I know that there have been particular issues with park homes, and I think she may have corresponded with me on that. I am more than happy to meet her to discuss how we take this forward and maybe remedy some of those issues in future schemes.
Does the Minister accept that 22 million households are seeing their bills go up to pay for this policy, which is a handout for 6 million households? Is that not like the Government’s promise to cut bills by £300 when actually, bills have gone up by £200 instead? Does he acknowledge that the best way to help families who are struggling with their bills is to cut electricity bills for everyone? Our cheap power plan would do exactly that and cut electricity bills by 20% in time for winter. Why will the Government not consider it?
Martin McCluskey
It is astonishing that the shadow Secretary of State should come to the House and call vital support for people over the winter a “handout”. It is support for one in six people in this country, and thousands, or millions, of our constituents will take advantage of that support this winter. It is right that we should look to target support at those most in need. I am proud that this is a Government that will provide support, with £150 off bills for 6 million people this winter.
But it is not the Government that are providing support; other households are doing so through their bills. The Minister should be honest about that. Even the chief executive of Ofgem has said that axing the carbon tax would bring down electricity prices. Our cheap power plan would cut people’s electricity bills by 20% now—for everyone, not just for few. If he really cared about families struggling with their bills, he would look at it.
Martin McCluskey
I will not resile from the support that we are offering vulnerable households this winter. It is £150. On what the right hon. Lady says, how is any benefit provided in this country? It is provided by all of us pooling our resources to provide support to the most vulnerable. I am proud of that record. When it comes to her proposal over a carbon tax, let us look at the coalition that she has amassed against her: businesses, church leaders and others who have said that this is not a workable proposal and that it would cause more uncertainty for British businesses.
Will the Minister commit to an emergency home insulation programme beginning this winter for people on the lowest incomes so we can drive down their bills now and, more importantly, for good? Will he also acknowledge, given our recent conversation, the realities of rural fuel poverty? In Westmorland, like in many other rural communities, 25% of houses were built before 1900, making them so much harder to insulate and more expensive to heat. Will the warm home discount be tailored to cut bills in rural communities too?
Martin McCluskey
I was pleased to meet the hon. Gentleman yesterday to discuss some of the issues in his constituency. As we look at future schemes, we will look at how they can apply to different types of housing across the country. As for this winter, the support that we have put in place is the warm home discount, which is on offer to 6 million people across the country—that is one in six households—and comes to £150 off bills. That is the support we are offering this winter. If he has other suggestions about how the warm home discount should operate, as I said to my hon. Friend the Member for City of Durham (Mary Kelly Foy) earlier, a consultation is running that closes next Thursday and I encourage him and organisations in his constituency to respond to that.
Tom Gordon (Harrogate and Knaresborough) (LD)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Martin McCluskey)
We are reviewing the system of consumer protection and oversight for home retrofit installations, as the system we inherited is deeply flawed. We are committed to creating a simpler, stronger system of standards and oversight that will give consumers the confidence they deserve. We will consult on proposals for retrofit system reform early next year.
Tom Gordon
The Minister will not be surprised to hear me talking about spray foam insulation once again. One of the biggest frustrations that people have is that they do not have faith or trust in Government schemes because of the failure of the installation of spray foam insulation under the previous Government. What steps is the Minister taking to ensure that mortgage lenders do away with the blanket ban on providing mortgages to people with spray foam insulation, what steps has he taken to reform TrustMark, and what consideration has he given to fixing the problem once and for all?
Martin McCluskey
It is fair to say that I am gripped by this problem, because without confidence in the consumer protection around the installation of these schemes, we will not hit the targets for clean power by 2030, nor create the warm and safe homes that we need. I appreciate the constructive manner in which the hon. Gentleman has addressed the issue. As I discussed with him last month, we are working with lenders and financial institutions to resolve the accessibility of some outstanding financial products, but it is now not the case that all lenders have a blanket ban—we are making some progress on that. We will conduct further assessments to quantify the extent of spray foam, and I am keen to work closely with the hon. Gentleman and others who have examples from their constituencies that can inform how we design the future system.
Anna Dixon (Shipley) (Lab)
I thank the Minister for his comments. Last week on the Public Accounts Committee, we heard about the shocking scandal of faulty cavity wall insulation under the energy company obligation 4 scheme, for which the last Government outsourced oversight to TrustMark. I have heard from constituents across Shipley who potentially face bills of tens of thousands of pounds to put right shoddy work. They are living in damp and mouldy homes. How is the Minister ensuring that those homes are remediated without cost to homeowners, and how will trust be restored in these schemes for the future?
Martin McCluskey
When I came to this brief, I too was shocked at the extent of the failures of the external wall insulation scheme under ECO4. We have set out the actions that we are taking to ensure that properties are remediated at no cost to the householder. Looking to the future system, the three principles that I believe we should follow are that work should be done right the first time; the system should be simple and easy to navigate from the consumer’s point of view; and when things go wrong—I do not want them to, but when they do—there needs to be swift remediation through the system to ensure that it delivers for consumers.
Gordon McKee (Glasgow South) (Lab)
Dr Al Pinkerton (Surrey Heath) (LD)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Martin McCluskey)
We have set out our plans for clean power by 2030, which is the best way to get bills down for good. This winter, one in six households will receive the warm home discount—a £150 discount on energy bills for those who need it most.
Dr Pinkerton
The National Audit Office recently reported that 98% of the 23,000 homes fitted with external wall insulation under the previous Government schemes are at risk of damp and mould unless they are swiftly remediated. What steps is the Minister taking to ensure that homes in Surrey Heath insulated under those schemes are remediated in a timely and trustworthy manner, and what assessment has he made of the role that home insulation will play in our wider efforts to reduce bills but also protect climate and nature?
Martin McCluskey
The hon. Member will have heard my earlier response regarding ECO4 and the appalling situation facing people across the country. To be very clear, all those affected by the ECO4 situation will receive letters offering them a free audit; many have already received those letters. I encourage hon. Members across the House to make sure that their constituents are taking up that offer, because that is the gateway to remediation. Earlier I set out the principles for designing the future system and ensuring that we do not get into a situation like this ever again. As for his final comment on—
Shockat Adam (Leicester South) (Ind)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Martin McCluskey)
Having inherited a flawed system of oversight and regulation established by the previous Government, we now have much closer oversight of TrustMark, including a board observer and clear reporting requirements. TrustMark has also improved its processes and systems, and our warm homes plan will set out a strengthened consumer protection regime for the ECO4 scheme shortly.
Shockat Adam
Hundreds of my constituents in Leicester South installed external cladding as part of the ECO4 scheme. Despite using TrustMark contractors, my constituents have been left to pay hundreds of thousands of pounds in fines because those contractors failed to obtain correct planning permission. To make matters worse, when these homeowners approach the contractors to complain, they discover—surprise, surprise—that they have all gone bust. These are not rich people, and they now face stress and financial hardship, so will the Minister please meet me and my Highfields residents to discuss how this issue can be redressed?
Martin McCluskey
I share the hon. Member’s concerns about this issue, which is the result of a shocking dereliction of duty by the previous Government in the oversight of these schemes. I am aware of the particular situation in Leicester, and we are undertaking specific work to engage with the community there to ensure that people take up the offer of an audit and therefore get their homes remediated. I am more than happy to meet the hon. Member and any affected Members who have this situation with ECO4 in their constituency.
Rachel Taylor (North Warwickshire and Bedworth) (Lab)
Mr Lee Dillon (Newbury) (LD)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Martin McCluskey)
The warm homes plan will be funded to £13.2 billion, and we will announce it before the end of the year.
Martin McCluskey
While I cannot comment on specific planning decisions, I can reassure the hon. Member that the planning regime considers the importance of peat for biodiversity, water and carbon storage in decisions about renewable infrastructure, and there are existing protections for peatland habitats and deep peat in the national planning policy framework.
Chris Vince (Harlow) (Lab/Co-op)
Martin McCluskey
The warm homes plan, which will be launched before the end of the year, will address issues in rural homes. The hon. Member may also be interested to know that a consultation on alternative heating fuels was launched today, and she and some of her constituents may want to submit a response to it.
Josh Fenton-Glynn (Calder Valley) (Lab)
Healthy peatlands are among the most carbon-rich environments on the planet, acting as a carbon store and reducing flood risks. The Department for Environment, Food and Rural Affairs draft policy says that disturbing these peatlands leads to negative carbon impacts. We cannot be in a situation where building wind farms comes at a carbon cost. Will the Minister please look at bringing DESNZ policy in line with DEFRA policy?
Martin McCluskey
My hon. Friend will have heard me respond on peatlands a moment ago. As I said, there are existing protections for peatland habitats in the national planning policy framework, but I am more than happy to meet him to discuss the Government’s plans for clean power and the impact of them.
In October 2024, I asked the Secretary of State about the previous Government’s idea of pumpwatch. He said,
“I will not comment on the Budget, obviously. We are very sympathetic to pumpwatch”.—[Official Report, 8 October 2024; Vol. 754, c. 159.]
The Competition and Markets Authority has looked into this, and the Government seem to be bringing something forward called fuel finder. It is apparently due to be launched at the end of the year. Can the Minister update us on what that will mean and how the public will know about it? Cheaper fuel at the pumps is really important.
Martin McCluskey
The House recently discussed in Committee some of the regulations that will make fuel finder a reality. As the hon. Member said, it will be launched by the end of the year. It will enable people to see real-time fuel information, and we will produce an API to allow things like Google Maps to list it. That will be launched before the end of year.
Linsey Farnsworth (Amber Valley) (Lab)
Reform-led Derbyshire county council has recently abolished its climate change committee and scrapped its aim to tackle the causes and impact of climate change. Will the Minister outline the steps that his Department is taking to ensure that local authorities continue to address climate change effectively and meet national targets?
Polling by National Energy Action has shown that four in 10 adults with prepayment meters have found themselves without credit and unable to access heating or power in the past 12 months. Families often face immense distress as standing charges continue to accrue as a debt that must be cleared before energy can be accessed again. Does the Minister agree that Ofgem must explore practical reforms to ensure that households are not penalised for maintaining access to energy?
Martin McCluskey
I know that my hon. Friend is fighting for her constituents on this issue, and I know of the burden that energy is placing on bills and, in particular, standing charges. My hon. Friend may be aware that Ofgem has announced proposals to require suppliers to offer their customers tariffs with lower standing charges, which will be on offer from early 2026, but further work needs to be done in this area.
Last year, 2,000 acres of farmland in my constituency were approved for solar by the Government, and now a further 2,000 are being eyed up immediately next door. Together, those plants will build the first UK solar city, bigger than the Vatican and Monaco put together. When will the Government bring forth the land use strategy, and when will they impose minimum compensation for those who are currently losing their countryside and their communities?
Martin McCluskey
I shall be more than happy to meet the hon. Member, as I am sure will the Minister for Climate, my hon. Friend the Member for Leeds North West (Katie White), when she returns from COP30.
On a point of order, Mr Speaker. Given the very serious news coming out of the Mossmorran plant this morning, and given that the news broke after Members were able to submit an urgent question, might you inform me, and indeed the rest of the House, how it might be possible for the Government to bring forward a statement on the situation today? Hundreds of workers, the entire community and the wider energy system need to know as soon as possible what the situation is and what the Government are doing to resolve it.