Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the potential impact of the upcoming Contract for Difference Auction Round 4 on energy bills.

The Government is committed to minimising energy costs for businesses and consumers.

The precise bill impact of Allocation Round 4 (AR4) will be dependent on future wholesale electricity prices, which remain uncertain. Although difficult to predict with certainty, the Government expects AR4 to have a relatively small impact on household bills. AR4 will deliver capacity which is a critical part of the Government’s strategy to reduce system costs and will increase energy independence by contributing towards the transition to a low carbon electricity system.