Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the impact of the escalation of conflict in the Middle East on Industrial Gas prices.

As was the case when Russia invaded Ukraine, the UK will be exposed to price competition in international oil and gas markets, which is pushing up wholesale prices as other countries seek to replace lost supplies from the region. That reflects our position, regardless of our domestic production, as a price taker not a price maker in these markets, leaving us exposed to their volatility, no matter where the fossil fuels come from.

On business and industry, we are taking action to expand the British industry supercharger from April to reduce costs for the most energy-intensive businesses, and a significant proportion of businesses are on fixed-term contracts that shield them from market volatility for the contract duration. However, we recognise that at the point of contracting, businesses are exposed to international fossil fuel markets, and clearly, for both businesses and consumers, much will depend on the length of this crisis.

Just as we are looking across Government at the situation that households face, the Government are absolutely focused on the impact of the crisis on business and industry, and we will not hesitate to act.