Electricity: Prices

(asked on 21st October 2025) - View Source

Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, what steps his Department is taking to help ensure that lower wholesale costs of renewable generation are reflected in consumer electricity bills; and whether he plans to review (a) the application of green levies on electricity compared with gas and (b) the market arrangements under which the price of electricity is linked to the cost of gas generation.


Answered by
Michael Shanks Portrait
Michael Shanks
Minister of State (Department for Energy Security and Net Zero)
This question was answered on 29th October 2025

Delivering lower bills and a secure energy supply for families and businesses is at the heart of the Government’s sprint towards homegrown, clean energy.

The quicker we transition to homegrown clean power, the quicker we can build a system that will bring bills down for good.

Any decisions regarding green levies will be informed by robust research and analysis of the distribution of levies on energy bills. We will ensure we keep fairness and affordability at the forefront of our minds throughout this process.

The ever-increasing participation of renewables in the wholesale market also means that over time, cheaper electricity produced by renewable technologies will determine the price more often, because we will not need gas to meet demand as frequently.

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