Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 19th March 2015 Commons Chamber

[Mr Davey]

Because some people have not looked at the facts. This is the greenest Government ever, but as I have said—[Interruption.] Well, we have seen massive increases in low-carbon energy and a big increase in energy efficiency, so I am afraid that the hon. Lady is completely wrong. Let me explain why some people laugh. It is because the bar for being the greenest Government was not very high—the last lot did such an appalling job. I want to make sure that if Liberal Democrats are in the next Government, it will be the greenest Government by a long way, which is why we have published proposals for five green Bills. We need to build on the success of this Government and go a lot further.

[Mr Philip Hollobone (Kettering) (Con)]

T9. By when does the renewable energies Minister think it might be possible to generate solar energy without subsidy?

Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 5th February 2015 Commons Chamber

[Mr Philip Hollobone (Kettering) (Con)]

16. What steps he is taking to ensure that energy bills for domestic consumers and business users reflect falling wholesale energy prices.

[The Secretary of State for Energy and Climate Change (Mr Edward Davey)]

My hon. Friend raises a vital issue and we have indeed been pressing the larger energy firms on this for some time. The good news is that energy prices have not only been frozen over the last year, but they are now being cut. Moreover, there is now a plethora of lower priced deals out there, especially from the independents, thanks to our policy of promoting competition, encouraging switching, and piling the pressure on the big six with an in-depth investigation of the energy market by the Competition and Markets Authority. I assure my hon. Friend we will continue to fight for the consumer every day.

[Mr Hollobone]

Recent Which? research shows that energy bills are the main financial worry of two thirds of households, and that while there has been a welcome reduction of about 5% in domestic tariffs this could have been as much as 10% had they mirrored the fall in wholesale costs. What more can the Government do to make sure the big energy companies are more responsive to falls in wholesale prices?

[Mr Davey]

Some energy suppliers have reduced their prices by 10%, and OVO Energy recently cut its prices by more than 10%. It is a complicated analysis and, working with the Treasury, we have looked at it in some detail. Wholesale gas costs represent about a quarter of the average bill; other costs are also changing and not all of them are going down. This is complicated, but it is right that the independent competition authorities look at this—they are specifically addressing this issue—because if there is any malpractice in the energy markets they will be able to expose it and have the teeth to tackle it.

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[Mr Davey]

I think that is a little harsh. My Department published the calculator, so far from ignoring this, we are putting into the public domain not just a UK 2050 calculator but, having helped 20 other countries with their calculators, now a global calculator. It shows that people’s lifestyles—not just their meat-eating habits, but their transport and so on—all have an impact on climate change. The calculator enables people to look at the types of choices we may need to make in the future.

[Mr Philip Hollobone (Kettering) (Con)]

T4. What percentage of the domestic energy market was captured by the big six energy companies in 2010, and what is the percentage now?

[Mr Davey]

In 2010, the big six, created under the previous Government, had a share of the retail market of more than 99%. As a result of the competition we have encouraged, there has been a big increase in the number of independent competitors, whose market share has increased from less than 1% to more than 10.5%, and is rising fast.

Nuclear Management Partners (Sellafield)

Debate between Philip Hollobone and Ed Davey

Tuesday 13th January 2015 Commons Chamber

[Mr Davey]

Let us be clear that those costs relate to decommissioning the legacy waste. In answer to the hon. Member for Newport West, I was referring to the negotiations with EDF and its partners on the strike price for the new build at Hinkley Point C. That will include the cost of decommissioning, so that is in the price. Legislation went through this House under the previous Government to set up the nuclear liabilities fund and to ensure that it is independent and ring-fenced so that the moneys that go into it are properly managed. We have done a huge amount of work to ensure that that ring-fenced resource will grow and meet the future decommissioning costs.

[Mr Philip Hollobone (Kettering) (Con)]

Which international comparators of decommissioning governance structures were used before arriving at this decision?

[Mr Davey]

I wish there were some to look at. Sellafield is unique and if my hon. Friend can point me to a similar site, I will visit it.

Annual Energy Statement

Debate between Philip Hollobone and Ed Davey

Thursday 6th November 2014 Commons Chamber

[Mr Davey]

The Government were comfortable with a non-binding target, which is the type of target that was agreed by the last Government in the 2020 deal, but, like the last Government, we were concerned about having a binding target. We believe that our existing energy efficiency policies will be able to meet a non-binding target at the European Union level of 27%, because they are very ambitious. We also believe that should there be a review of that energy efficiency target— which there will be, according to the European Council conclusions—we shall need to look again at energy efficiency as one of the lowest-cost ways of going green as we develop our policies for the fourth and fifth carbon budgets.

[Mr Philip Hollobone (Kettering) (Con)]

The Secretary of State has said that interconnector capacity should double by the 2020s. Would he be kind enough to give us more details? For instance, what is the size of the present interconnector with France and to what extent is it currently used? What is the capacity of the new channel tunnel cable and the new cable connecting us with Norway, and are there any plans for interconnectors with both Northern Ireland and the Republic of Ireland?

[Mr Davey]

My hon. Friend has asked very detailed questions. Let me refer him to two recent publications. At the end of last year I published a policy statement on interconnectors, because I think this is a critical issue that has been long overlooked, and Ofgem has published proposals for a new regulatory regime to facilitate investment in interconnectors. However, we will gather the information for which my hon. Friend asked specifically, and I will send it to him in writing.

Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 3rd April 2014 Commons Chamber

[Mr Davey]

The energy Minister, my right hon. Friend the Member for Sevenoaks (Michael Fallon), has been working tirelessly on this matter with our officials. I hope the Opposition will recognise the huge efforts that officials in my Department, under his leadership, have been putting into it. We have been talking to all parties, including the Commission, to make sure that interpretations are based on the law, and we will do whatever we can to help.

[Mr Philip Hollobone (Kettering) (Con)]

rose—

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[Mr Hollobone]

For competition to work best, domestic consumers have to be able to switch their suppliers easily. Residents in Kettering want to pay the lowest prices for their electricity and gas, but many constituents, especially those who are elderly or not online, find the complexity of bills overwhelming and far too confusing. What can the Secretary of State do to take the hassle out of switching supplier?

[Mr Davey]

My hon. Friend makes a good point. One aim of the retail market review put forward by Ofgem was to reduce the complexity and confusion in the amount of tariffs, which many people thought was a barrier to competition and switching—the previous Government refused to do this. But I do not think we can rest there, and one reason I have been so supportive of things such as collective switching and engaging with the third sector—Age Concern, Citizens Advice and National Energy Action—to develop the big energy saving network is to ensure that we are reaching out to those people who find switching, even when the tariffs are more simplified, a difficult process and a hassle. We are doing everything we can to make sure that the benefits of switching and competition can be enjoyed by all.

Energy Markets Competition Assessment

Debate between Philip Hollobone and Ed Davey

Thursday 27th March 2014 Commons Chamber

[Mr Davey]

I think that recommendations made by the Select Committee to Ofgem are matters for Ofgem. In the Energy Act 2013, we set out a new approach for my Department, working with Ofgem, and provided for the introduction of a strategy and policy statement. We have made the reforms that we believe are needed to ensure that Ofgem works well with the Government in promoting competition. I am delighted to note that, although the Labour party still seems to want to abolish Ofgem, it supports its proposal for a market investigation reference.

[Mr Philip Hollobone (Kettering) (Con)]

I am sure that residents of Kettering will welcome the inquiry into the electricity and gas markets.

I was interested to hear what the Secretary of State said about vertical integration. Surely the problem is the small number of energy suppliers that are vertically integrated. If 20 energy suppliers were vertically integrated, there might be the requisite level of competition. If a small number of energy suppliers were not vertically integrated, that might work. Surely the lethal combination for consumers is a small number of suppliers that are vertically integrated. I shall be extremely surprised if the inquiry does not conclude that that vertical integration needs to end.

[Mr Davey]

I am pleased that the competition assessment is focusing on vertical integration, because I think that it needs to be looked at. Ofgem proposed the introduction of a market making obligation because it wanted to tackle some of its concerns about vertical integration. However, the consultation document states:

“We recognise that there are benefits to vertical integration in terms of cost efficiency…and in terms of supporting investment to maintain security of supply. However there are also costs in terms of barriers to entry.”

The report is balanced, and, unlike the Labour party, has not rushed into making a judgment. Everything cannot be the fault of vertical integration. The gas market is not vertically integrated, but I believe that there are serious problems related to competition in the domestic gas supply market.

Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 16th January 2014 Commons Chamber

[Mr Davey]

I do not know the case that the hon. Lady talks about, but the Government are as concerned as anybody about energy prices, energy bills and the impact on people around our country. That is why we have been hyperactive in this area; we have done far more than the previous Government. I mentioned the comparisons we can now make between energy bill rises under the previous Government and under this one. As I said, gas bills went up twice as much under the previous Government, but electricity bills increased by an average of 9% in the previous Parliament whereas in this one they have increased by 4%. We know that that still means bills are going up and we need to help people, but Labour’s record in this area was shocking.

[Mr Philip Hollobone (Kettering) (Con)]

If people are to be encouraged to switch supplier to cut their energy bills, we must make it as easy as possible for them to find an alternative supplier. One big barrier to that is utilities charging steep termination charges. Can the Department do anything to get rid of or reduce those charges?

[Mr Davey]

We certainly are looking at all aspects of switching to ensure that it is easier and quicker. Ofgem’s retail market review will make a big difference here and it is being implemented now, with simpler and clearer bills, and fewer tariffs. We are also working with the industry to reduce the time involved; I believe that before this Parliament finishes we will have halved the switching times, which will really help people such as my hon. Friend’s constituents.

Energy Bills

Debate between Philip Hollobone and Ed Davey

Monday 2nd December 2013 Commons Chamber

[Mr Davey]

I am surprised that the hon. Lady mentions SSE, because it has announced a £50 price cut from next year and a pledge to keep prices flat until spring 2015, subject obviously to wholesale energy costs. I would have thought that she would welcome SSE’s announcement.

[Mr Philip Hollobone (Kettering) (Con)]

The best way to cut electricity and gas bills would be to abolish VAT on them. Will the Secretary of State, as an enthusiast for the European Union, confirm that it is the European Union that prevents VAT from being removed? What efforts have he and the Chief Secretary to the Treasury made in Brussels to get a derogation from those restrictions?

[Mr Davey]

I am being tempted by my colleagues on the Back Benches. I hope they can cast their minds back to a former Conservative Government who wanted to put VAT at 17.5% on energy bills while my party campaigned against that. As I want to ensure that our coalition parties are working closely together, I respectfully repeat that that proposal would be against the law.

Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 28th November 2013 Commons Chamber

[Mr Davey]

We have not had specific discussions on the proposal announced today, so I am afraid I cannot give the hon. Gentleman any background detail. However, as I have told the hon. Member for Stoke-on-Trent North (Joan Walley), we will work across the Government, particularly with the Department for Business, Innovation and Skills, to do what we can to help the people affected by the announcement.

[Mr Philip Hollobone (Kettering) (Con)]

Work starts this week on the installation of nine super-efficient General Electric wind turbines at the Burton Wold wind farm extension, which will generate 14 MW of green electricity and power 11,000 homes. Will the Secretary of State congratulate First Renewable on its £45 million investment in the Kettering economy?

[Mr Davey]

We are seeing major investment in all sorts of renewables, including onshore wind and the farm to which my hon. Friend has referred. I very much support his call and congratulate the companies involved.

Annual Energy Statement

Debate between Philip Hollobone and Ed Davey

Thursday 31st October 2013 Commons Chamber

[Mr Davey]

There are two things that can help my hon. Friend’s constituents and others like them; first, collective purchase. There are heating oil clubs where people come together to get better deals, and that is helping some people. Secondly, I hope that he is aware of the campaign being pushed by the Minister of State, my right hon. Friend the Member for Sevenoaks, to get people to buy early. If people buy early, they can get heating oil much cheaper than if they buy it later, in the winter months.

[Mr Philip Hollobone (Kettering) (Con)]

Will the Secretary of State consider legislating for the re-separation of electricity generation from electricity supply, and gas production from gas supply, so that consumers can get the transparency they need in their bills, something Ofgem is not able to achieve?

[Mr Davey]

My hon. Friend should look at the Ofgem proposals, which have backing in the Energy Bill. They will make a big difference to those markets. I am keen to ensure that forward markets—not just the day-ahead market, but the six-month, 12-month and the two-year market—are far more liquid. We have an illiquid market and that is where the big six can exercise market power. The Government and Ofgem are tackling that. The Opposition are not.

Grangemouth Refinery

Debate between Philip Hollobone and Ed Davey

Wednesday 23rd October 2013 Commons Chamber

[Mr Davey]

We will not have access to all the information, because the site is the property of a private company, as I am sure the hon. Gentleman would recognise, but we have made it very clear to INEOS, and indeed to the joint owners of the refinery, that we stand ready to assist. I do not think that I can take up his proposal, but he should not take that as an indication of any lack of resolve on the part of Government to do everything possible.

[Mr Philip Hollobone (Kettering) (Con)]

I understand that INEOS believes the plant to be loss-making. What assessment has the Secretary of State or his counterpart in the Department for Business, Innovation and Skills made of the source of those losses? Given that the plant is so important in producing a third of Britain’s ethylene product, what assessment has been made of the knock-on effect on all the other companies that depend on that product throughout the United Kingdom economy?

[Mr Davey]

On my hon. Friend’s latter point, we have already made that assessment, as I have said, and at the moment we are convinced that the chemical supplies required can be supplied from other sources. With regard to why the petrochemicals plant is making a loss, I can only tell him what INEOS has said publicly: that the cost of pensions and salaries make the plant unprofitable. However, as I have said throughout my answers, the Government will remain balanced and even-handed on this issue, so we are not going to say that one party is right and the other is wrong, because we want both sides around the table.

UK Nuclear Energy Programme

Debate between Philip Hollobone and Ed Davey

Monday 21st October 2013 Commons Chamber

[Mr Davey]

Of course the Government have considered the national security implications; we looked at them in some detail. My right hon. Friend the Foreign Secretary and, indeed, others have looked at cyber-security as a whole to make sure that this country is protected, not just from potential investors in the UK but more broadly. I believe that this Government have put in place the sort of protections that I think my hon. Friend is seeking.

[Mr Philip Hollobone (Kettering) (Con)]

If all goes well and the plant is built to time, it will generate its first electricity in 10 years’ time, in 2023. If we have a blocking high-weather pressure system with no winds and freezing temperatures this winter, the plant margin could be as low as 5%. What is the risk of the lights going out some time over the next 10 years due to the lack of investment in our generating capacity by the previous Government?

[Mr Davey]

I do not believe there is a risk, but that is no credit to the Labour party. It has happened because this Government have got their act together on energy security in the short term, the medium term and the long term. Today’s announcement will help energy security in the long term, but we had two announcements in July—one from Ofgem and the National Grid to look at the short term and make sure that we have the balancing extra reserves ready to come on line at the peak; and then my Department’s announcement on next year’s capacity market, which was about ensuring capacity in the medium term. If we put the short-term, medium-term and long-term strategy together, I can reassure my hon. Friend that the lights will stay on.

Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 11th July 2013 Commons Chamber

[Mr Davey]

The hon. Gentleman will know that Project TransmiT is run by Ofgem, as the independent regulator. Clearly, it would be improper for us to put pressure on the independent regulator. He will also know that we have worked very closely with the Scottish Government on issues such as those relating to the Scottish islands, where there is particular concern about transmission charges. I am sure the hon. Gentleman supports the Government’s announcement last week that we will publish a consultation on strike prices for renewables on the Scottish islands.

[Mr Philip Hollobone (Kettering) (Con)]

Is the Secretary of State aware that this country has a problem with not having enough transmission and distribution electricity engineers and that that is holding up new generation projects from being connected to the grid? What can he do to try to resolve the problem?

[Mr Davey]

My hon. Friend makes a very good point. It is important that the frameworks and policies that we put in place are stable and long-term in order to encourage people to invest in skills. He will be aware that Ofgem’s long-term settlement with the National Grid Company for the networks has been widely welcomed and will give incentives for investment.

Petrol Prices

Debate between Philip Hollobone and Ed Davey

Wednesday 15th May 2013 Commons Chamber

[Mr Davey]

The difference in the tax levied in the United States on petrol and diesel might be one of the main explanations. I have not made a study on the difference in price between Northern Ireland and the Republic of Ireland either, but that might also have something to do with duty differentials.

[Mr Philip Hollobone (Kettering) (Con)]

My constituents will be very concerned about the price-fixing allegations and will want the oil company executives, if found guilty, to go to prison. Today’s findings have come about as a result of unannounced inspections by the European Commission. To what extent does the Secretary of State believe that the OFT, Ofgem and the Financial Services Authority are undertaking unannounced inspections in their inquiries? If they are not, should they not be encouraged to do so?

Hinkley Point

Debate between Philip Hollobone and Ed Davey

Tuesday 19th March 2013 Commons Chamber

[Mr Davey]

I pay tribute to the hon. Gentleman and the other Select Committee members who have not only grilled me on this and other issues but made inquiries into the matter and been generally supportive. On the details of negotiations, clawbacks and the actual price, I am afraid that I must disappoint him; I will not be drawn on those. We are determined to get a price that represents value for money, that is fair and affordable and that bears scrutiny.

[Mr Philip Hollobone (Kettering) (Con)]

When does the Secretary of State expect the first regular stream of electricity to start flowing from the plant?

[Mr Davey]

Assuming that we can conclude the negotiations with EDF on the funded decommissioning plan and the strike price, and assuming that one or two of the remaining regulatory approvals are granted and that construction can therefore begin later this year or early next year, EDF believes that it can start generating power by the end of this decade or early in the next decade. Of course, one should not be held to clear timetables in these matters, as we all know the dangers of overrun, but when I have discussed it with officials and EDF, I have been impressed by the amount of careful pre-planning done to ensure that the delays seen in Flamanville, in Finland and elsewhere are not repeated here.

Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 14th March 2013 Commons Chamber

[Mr Davey]

The green deal is going well, as the industry says. I welcome Nationwide’s product because it shows that there is more competition in the market. It shows what the green deal is spurring. It is not just green deal plans that will be a mark of the programme’s success; it is green deal self-funded plans, which will be a result of the green deal assessments being made. They would not be made in the way that they are if we had not gone forward, and the hon. Lady should welcome that.

[Mr Philip Hollobone (Kettering) (Con)]

Domestic LED lighting can use as little as 5% of the power of a normal light bulb. Though more expensive initially to buy, LED light bulbs require very little maintenance and have a very long life. What incentives are there in the green deal or elsewhere to promote domestic LED lighting?

[Mr Davey]

My hon. Friend makes an important point. We strongly support LED lighting. There are issues about whether different types of lighting can come under the green deal because light bulbs can be taken away, and if the cost of those is in the electricity meter for the next tenant or the next owner-occupier, that would not be fair and would not, therefore, abide by the green deal rules. However, we agree with my hon. Friend: there is a strong case for people investing in LED.

Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 31st January 2013 Commons Chamber

[Mr Davey]

The hon. Gentleman is absolutely right. The single energy market is an important development for Europe and the UK. The coalition Government have been united in support of developments in the single energy market in Europe. It is in Britain’s interests and we will pursue it.

[Mr Philip Hollobone (Kettering) (Con)]

Although the UK has substantial reserves of gas in the North sea, we import a lot of gas. That has an effect on our energy security. What are the latest figures for the proportion of gas that we import from Russia and by sea from the middle east?

Gas Market Fraud

Debate between Philip Hollobone and Ed Davey

Tuesday 13th November 2012 Commons Chamber

[Mr Davey]

It is my understanding that the investigations go across the whole of the country. If I am wrong about that, I will write to the right hon. Gentleman, but that is my understanding.

[Mr Philip Hollobone (Kettering) (Con)]

Domestic energy consumers may have an electricity bill, may have a gas bill and may have both, but those who have electricity bills may not realise that an increasing proportion of our electricity is generated from gas-fired power stations. This country is increasingly reliant on gas, so this potential scandal extends far further than most of our constituents might realise.

Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 17th May 2012 Commons Chamber

[Mr Davey]

I am surprised the hon. Lady reaches that conclusion. Since the 21p tariff came in 10 weeks ago, there have been more than 26,000 installations with 86 MW of capacity, which is equivalent to the installation rate achieved in August 2011, when the tariff was at 43p. The installation rate in the period is 1.7 times what it was in the same period last year.

[Mr Philip Hollobone (Kettering) (Con)]

Feed-in tariffs are not the only way to encourage solar PV installations. Can more be done with building regulations, especially to encourage solar to be built in to new-build properties at the start?

[Mr Davey]

I am sure local authorities will look at that proposal, but the key thing is to ensure that our new, more stable and predictable regime supports the solar industry, as we believe it will. We need to ensure that the message goes out that the solar industry is back in business and on a sound footing. There will be many more solar installations compared with what happened under the solar installation regime we inherited from the Labour party.

Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 17th February 2011 Commons Chamber

[Mr Davey]

I do not think I have been promoted. However, I can reassure the hon. Lady that we are taking a cross-Government approach to the funding of citizens advice bureaux. That is why the Department has been so strong in making sure that national funding for the National Association of Citizens Advice Bureaux, which supplies technology and IT for all local bureaux, has been maintained, and I would have thought that she welcomed the extra money—£27 million—announced by my right hon. Friend the Secretary of State at the weekend, for which she and others have been calling.

[Mr Philip Hollobone (Kettering) (Con)]

19. If he will take steps to require Royal Mail to ensure the retention of the (a) colour of and (b) royal monogram on post boxes.

[The Parliamentary Under-Secretary of State for Business, Innovation and Skills (Mr Edward Davey)]

Royal Mail has publicly stated that it cherishes its distinctive and much-loved red post boxes and that it is absolutely committed to ensuring that they remain a distinctive part of our communities. The Government believe Royal Mail should continue to use the royal cypher on post boxes and we are in discussions with the palace about that.

[Mr Hollobone]

The red pillar box is one of the great symbols of our great nation, and it would be a national shame if pillar boxes were to disappear as a result of privatisation. Will the Minister require the Royal Mail to keep red pillar boxes, or ensure that some form of listed heritage status is applied to them so that we do not lose this great British symbol?

[Mr Davey]

I share my hon. Friend’s interest in red post boxes, so I visited the British postal museum and archive only last week, and I can tell him that Britain’s post boxes were originally green, but the public complained that they were too camouflaged, so chocolate brown was tried instead. That colour required too much paint, however, so we ended up with red, and we are on the fifth shade of red. I can also tell my hon. Friend that it would cost almost £1.7 million to repaint the nation’s 115,000 post boxes, and given that Royal Mail has 300 litres of red paint in stock I think he can sleep easily in his bed at night about the colour of our post boxes.

Post Office Network

Debate between Philip Hollobone and Ed Davey

Tuesday 2nd November 2010 Westminster Hall

[Mr Davey]

Again, the hon. Lady shows that her party does not understand business and certainly does not understand the post office network. The previous Government did not write the inter-business agreement between Royal Mail and Post Office Ltd, and nor should they have; it was an agreement between two separate organisations.

[Mr Philip Hollobone (in the Chair)]

Order. That was an enjoyable debate. I ask all those who were taking part to leave quickly and quietly. We are now moving on to a debate on the education maintenance allowance.

Oral Answers to Questions

Debate between Philip Hollobone and Ed Davey

Thursday 14th October 2010 Commons Chamber

[Mr Davey]

May I begin by welcoming the hon. Lady to her new role? I look forward to many weeks in Committee considering the Bill. She will know that there is an agreement between Royal Mail and Post Office Ltd, called the inter-business agreement, and it is that agreement—not a Government guarantee—that decides that relationship. We expect and believe that that inter-business agreement will continue.

[Mr Philip Hollobone (Kettering) (Con)]

14. If he will take steps to ensure that his Department’s one-in, one-out plan for business regulation will include new business regulations originating at EU level.

[The Parliamentary Under-Secretary of State for Business, Innovation and Skills (Mr Edward Davey)]

This Government are determined to reverse the rise in regulation that is constricting enterprise and stifling growth. We have introduced the one-in, one-out system of regulatory control for domestic regulation, to bring about a fundamental change in the way that regulations are drawn up, introduced and implemented.

We will also take a rigorous approach to tackling EU regulations. The Government will engage earlier in the Brussels policy process; take strong cross-government negotiating lines; and work to end the so-called “gold-plating” of EU regulations, so that when European rules are implemented into UK law, it is done without putting British businesses at a competitive disadvantage.

[Mr Hollobone]

May I urge the Minister to include EU regulations in the one-in, one-out system, as I understand that compliance with EU regulations costs this country some 3% of its annual gross domestic product?

[Mr Davey]

May I reassure my hon. Friend that once the system is embedded with respect to domestic regulation affecting businesses and the third sector, the Government plan to extend it to other areas, including EU law?