Oral Answers to Questions Debate
Full Debate: Read Full DebateDepartment: Department for Business, Energy and Industrial Strategy
Tim Farron
Main Page: Tim Farron (Liberal Democrat - Westmorland and Lonsdale)Department Debates - View all Tim Farron's debates with the Department for Business, Energy and Industrial Strategy
(2 years, 4 months ago)
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Greg Hands
I thank my hon. Friend for that thoughtful question. Obviously, all these things are under review, but I remind him that we replaced the social tariff with other support schemes for bill payers under the coalition. That remains our position, but we—both the Department and the Treasury, and indeed, the whole Government—study these positions and issues very closely indeed.
Tim Farron (Westmorland and Lonsdale) (LD)
It is very clear that the rising price of heating people’s homes will be devastating and go well beyond anything the Government have done to help households so far. For people living off-mains who are reliant on heating oil, for example—19,000 households in Cumbria alone—there is no cap whatever. They have seen their prices more than double over the past 12 months. What will the Minister do to ensure people in rural communities like mine are not hit even harder than the majority?
Greg Hands
As the hon. Gentleman knows, we reflected on this issue in an earlier question. The Government are providing support for those who are off the gas grid. For example, those who pay an electricity bill will qualify for the £400 reduction this year. We have also put £1.1 billion into the home upgrade grant, on top of the £2.5 billion already deployed, to make sure vulnerable households, which could well include some of his constituents, are able to profit from the energy measures being put forward by the Government. His question on the price cap is a reasonable question to put. The information I have directly from the trade body UKIFDA—the UK and Ireland Fuel Distributors Association—is that a price cap would be extremely difficult for its members, the people in the retail market for heating oil, because it becomes very difficult for a small business to hedge. However, it is something I discuss with MPs, the industry and the trade body regularly to see what more can be done, and the situation is under constant review.