Oral Answers to Questions

Michael Shanks Excerpts

Tuesday 29th April 2025 Commons Chamber

[Chris Vince (Harlow) (Lab/Co-op)]

8. What assessment he has made of the potential impact of Great British Energy on job creation in industrial communities.

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Michael Shanks)]

Great British Energy will support the creation of thousands of high-quality, well-paid jobs right across the country and help rebuild the UK’s industrial heartlands. Just last week, the Prime Minister announced £300 million for Great British Energy to kick-start supply chains here in the UK. Once the Great British Energy Bill finishes its final stages in Parliament, we will come forward with more exciting plans for our domestic clean energy champion.

[Chris Vince]

I welcome the £300 million of investment for GB Energy announced last week. I think we all recognise the opportunities of the green energy transition, but what opportunities are there for my Harlow constituents to be part of that publicly owned energy company?

[Michael Shanks]

My hon. Friend is absolutely right to point out that, with Great British Energy and our clean power mission, we are trying to create the jobs that will deliver that transition here in the UK, which is something that the Conservatives failed on for many years. We expect that funding, and much more that will come from Great British Energy, to mobilise more than £1 billion in private investment in domestic supply chains, driving forward manufacturing and industry here in the UK and the good jobs that go with it.

[Sir Gavin Williamson (Stone, Great Wyrley and Penkridge) (Con)]

What assessment has the Minister made of the number of jobs that Great British Energy will create in the People’s Republic of China?

[Michael Shanks]

I think the right hon. Gentleman gives the game away there. Although the Conservative party did not particularly care where the supply chains were, we in the Labour party are committed to delivering good, well-paid jobs in this country. If he was so concerned about investing in British supply chains, he might have bothered to vote for Great British Energy in the first place.

[Mr Speaker]

I call the shadow Minister.

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

When GB Energy was first proposed, we were told it would employ 1,000 people and create 650,000 jobs. Fast-forward to February this year and that number has been revised down to 200 to 300, with a vague commitment to 1,000 at some point in the next 20 years. As the general secretary of the GMB said yesterday,

“they are going to open a shiny new office…on a high street full of charity shops because they are closing”

the city of Aberdeen down. GB Energy is a white elephant. If the GMB can see it, why cannot the Minister? Surely he agrees that the way to deliver jobs, growth and energy security and to protect communities such as Aberdeen is to lift the ban on licences, replace the energy profits levy as soon as possible and declare the North sea open for business.

[Michael Shanks]

I am not quite sure which one of the variety of parts in that speech the hon. Gentleman would like me to respond to. As usual, he steamrolls through his question faster than he ran the marathon— I congratulate him on that. He happens to be the only person in Aberdeenshire who is against investment in his community. When Labour Members voted to deliver investment through Great British Energy—not through jobs in the headquarters but through the investment it makes in supply chains and innovation in his city—he voted against it, and he will have to answer to his constituents for that.

[Douglas McAllister (West Dunbartonshire) (Lab)]

9. What steps he is taking to support the nuclear power sector.

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Michael Shanks)]

Nuclear power is a critical part of our clean power ambitions. We are making strong progress on Sizewell C and Great British Nuclear is driving forward its small modular reactor competition. We have also seen the nuclear regulatory taskforce set up by the Prime Minister, and we are ending the legacy of no new nuclear being completed in the 14 long years when the Conservatives were in power.

[Douglas McAllister]

The transition to net zero is a chance to create decent, high-skilled jobs for the future. That includes the next generation of small nuclear reactors, which could revolutionise our energy market and deliver cleaner affordable energy. The SNP has vetoed nuclear energy projects in Scotland for almost 20 years, determined to leave Scotland behind. Is Scotland missing out on the economic opportunities that nuclear offers?

[Michael Shanks]

Planning matters, including the siting of new nuclear, are devolved to the Scottish Parliament, so it is rightly for it to decide. However, I agree that Scotland is missing out on the huge potential of new nuclear. If the ideological block introduced by the SNP were lifted, billions of pounds could be invested in Scotland, with the countless skilled jobs that go with that. That could well be delivered next year if a Scottish Government are elected that take the industry and opportunity of Scotland seriously and deliver those well-paid skilled jobs—that would come by electing a Scottish Labour Government.

[Llinos Medi (Ynys Môn) (PC)]

Data from the last year showed that Ynys Môn saw a drop of 57% in jobs linked to the nuclear industry; the worst figure for a UK constituency. Despite Wylfa being recognised as the best site for new nuclear in Europe, we saw no development from the last Government. Will the Secretary of State and the Minister give us the recognition and acknowledgment that Wylfa needs new nuclear and that that will be seen in the near future?

[Michael Shanks]

The hon. Lady has raised with me that point and the wider question of energy jobs in her constituency a number of times, and I thank her for that and for the way she has done so. Wylfa is an important site and continues to be one that the Government are considering. We will take forward those decisions in due course. As I have said to her on a number of previous occasions, we are committed to delivering the jobs that go with that and Wylfa remains an important site.

[James Wild (North West Norfolk) (Con)]

10. What steps his Department is taking to help reduce industrial electricity prices.

--- Later in debate ---

[Harriet Cross (Gordon and Buchan) (Con)]

12. What assessment he has made of the adequacy of the resilience of the national grid against the potential disruption of offshore energy infrastructure.

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Michael Shanks)]

Before I answer the hon. Lady’s substantive question, I want to offer her my huge congratulations on smashing to smithereens on Sunday the previous record held by a female MP in the London marathon.

Great Britain has a highly resilient energy network with diverse sources of supply. The national energy system operator can balance the system in a wide range of scenarios, including potential disruptions to offshore infrastructure.

[Harriet Cross]

The UK currently has about 15 GW of offshore wind capacity, which supplies about 17% of our energy. In order to reach the Government’s 2030 targets, this will have to increase by three times to 40 to 50 GW in just five years, and to achieve that we will have to rely on Chinese wind infrastructure and technology. What specific risk assessment have the Government carried out into the impact of this exposed vulnerability and reliance on China for what will be a significant amount of our energy supplies?

[Michael Shanks]

I will not comment on individual investment cases, but in every single case the Government make an assessment and we look at the national security implications seriously, just as the Conservatives did when they were in government. I would just gently say that the reason the supply chains in this country are as weak as they are is that they were underfunded and under-invested for years by the Conservatives. There could have been a decision, at the point when they took ambitious steps to move towards clean power, to build the supply chains here, but they chose not to do so; they chose to tow things into our waters instead. We are reversing that, but it cannot happen overnight.

--- Later in debate ---

[Claire Young (Thornbury and Yate) (LD)]

Following the publication of the Severn estuary commission report on tidal power, will the Government produce a national policy statement to support tidal range energy, and will they publish a review of the available opportunities?

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Michael Shanks)]

I have had a number of meetings on this issue since coming into post. Clearly, tidal could play an important part in an energy mix. We have been clear that we are supportive of it in principle, but questions about its cost benefit and value for money must be answered. We are happy to continue looking at it in future, as projects develop and more detail comes forward.

[Mr Jonathan Brash (Hartlepool) (Lab)]

T4. I welcome the Government’s view that nuclear power is essential to our clean power goals. What steps is the Department taking to ensure that new nuclear can be built wherever that is possible across the country, including in my constituency?

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[Mr Speaker]

Order. I have a lot of Members I need to get in. These are topical questions—they are meant to be short and punchy.

[Michael Shanks]

My hon. Friend is right to point out that public charging points are critical. That is why the regulator, Ofgem, allocated £22 billion over the next five years to maintain and upgrade the infrastructure. I have had a number of meetings with network operators about this question, and I work closely with my colleagues in the Department for Transport to ensure we are rolling out more points.

[Monica Harding (Esher and Walton) (LD)]

My constituents continue to face higher electricity bills—among the highest in the country at approximately £961 per year. One of my local hairdressers tells me that their electricity has gone up from £150 to £450 a month. Will the Government commit to bolder policies by easing restrictions on solar and wind power and driving investment in renewables to help struggling businesses?

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[Sir Julian Lewis (New Forest East) (Con)]

As we need some oil and gas while on the road to a clean energy economy, does it not make sense to produce our own, rather than importing it from other countries and thus increasing the global carbon footprint?

[Michael Shanks]

A consultation has just closed on the future of North sea energy. We have been very clear that our manifesto commitment was to not issue new licences for exploring new fields, but we will manage existing fields for the entirety of their lifespan.

--- Later in debate ---

[Tim Farron (Westmorland and Lonsdale) (LD)]

Will the Secretary of State ensure that GB Energy has a focused plan to deliver, and to help the 1,500 farmers in my constituency to tap the latent energy in their becks and rivers, so that we can support farming as well as the battle against climate change?

[Michael Shanks]

The hon. Gentleman makes a very important point about the role that local community energy can play; I think that is what he is alluding to. We are committed to ensuring that. Great British Energy local has already made some announcements in this space, including on local energy funding in England. We will have much more to say in due course, but we want to ensure a partnership, so if the hon. Gentleman writes to me, I will make sure that what he says gets to GB Energy.

[Graeme Downie (Dunfermline and Dollar) (Lab)]

The Scottish National party celebrated the closure and demolition of Longannet coal power station in my constituency without having a plan for its future. The former First Minister pressed the button on the charges herself. What conversations do Ministers plan to have with the site owner, Scottish Power, about the future of the site, and what role might there be for the UK Government in bringing investment and jobs to my constituency?

[Michael Shanks]

My hon. Friend is right to make the point about Longannet. We have conversations with Scottish Power on a number of issues, including this. He again emphasises the important role that nuclear could play in Scotland in the future. It could obviously be an important site for a range of uses, but if the ideological ban on nuclear by the SNP were lifted, we could look at other opportunities for such sites.

[David Mundell (Dumfriesshire, Clydesdale and Tweeddale) (Con)]

When I was at the Scotland Office, I was regularly lobbied by retired senior executives from the electricity industry who wanted to state their concerns about how long it would take to reboot the network in Scotland if there was a major outage. Obviously, I sought the necessary assurances from those running the network, but in the light of what has happened in Spain and Portugal, I would be reassured if Ministers sought those assurances again.

--- Later in debate ---

[Seamus Logan (Aberdeenshire North and Moray East) (SNP)]

The Minister will be aware of the switch-on of Moray West offshore wind farm at Buckie, in my constituency, last week, creating jobs, delivering clean energy and helping our nation to achieve net zero. Does the Minister accept that the current transmission charging regime poses significant and immediate threats to investment in offshore wind in Scotland? Will he meet me and industry representatives to explore that matter further?

[Michael Shanks]

We were delighted to switch on the wind farm; the Secretary of State for Scotland was there to push the button last week. It is a fantastic example of the potential of offshore wind. Of course, I am happy to meet the hon. Gentleman. I have already met him, and had a very enjoyable conversation, and I am very happy to talk about the issue. The review of the electricity market arrangements that we are going through will look at the issue of transmission charges. It is an important conversation to have, and I am happy to speak to him on the subject.

[Perran Moon (Camborne and Redruth) (Lab)]

The United Kingdom was particularly susceptible to changes in international gas prices during the energy crisis, and bills and prices soared as a result. Under this Government, GB Energy is installing solar panels in hospitals in my Camborne, Redruth and Hayle constituency, but will the Minister remind us which party presided over the worst cost of living crisis in memory—