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Gas and Electricity Costs — [Sir Edward Leigh in the Chair]

18 January 2022

Lead MP

Jamie Stone
Caithness, Sutherland and Easter Ross
Lib Dem

Responding Minister

Greg Hands

Tags

TaxationClimateEnergy
Word Count: 13470
Other Contributors: 13

At a Glance

Jamie Stone raised concerns about gas and electricity costs — [sir edward leigh in the chair] in Westminster Hall. A government minister responded.

Key Requests to Government:

The Government should remove VAT from energy bills, double the warm home discount for vulnerable households, introduce a new social tariff for those in fuel poverty, double the winter fuel allowance for elderly pensioners, and implement a one-off windfall tax on oil and gas companies' super-profits to address the crisis.

How the Debate Unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said:

Lead Contributor

Caithness, Sutherland and Easter Ross
Opened the debate
Household electricity and gas bills are predicted to rise by around 45% in April, reaching £2,000 a year or £165 a month. This could take the total number of households in fuel poverty to no less than 6 million, with 33% of rural Scottish households already living in extreme poverty and another 9% in ordinary fuel poverty. Rural constituencies are more exposed due to the lack of mains gas supply and higher electricity costs per unit compared to gas or oil. The highlands and islands produce over 300% of their electricity demand from renewable sources but pay higher prices due to transmission charging regimes.

Government Response

Greg Hands
Government Response
Responded to concerns raised by MPs about rising energy costs and global price volatility. Emphasized UK's secure energy supply despite increased gas prices, mentioned plans for expanding renewable energy sources like offshore wind capacity over the decade. Addressed specific points on rural support measures such as ECO3 transitioning to ECO4 scheme, extended warm home discount from £140 to £150 and reached 3 million households, highlighted multiple Government initiatives including winter fuel payments, cold weather payments, household support fund worth £421 million. Rejected calls for VAT reduction on domestic fuel and windfall tax proposals.
Assessment & feedback
Summary accuracy

About Westminster Hall Debates

Westminster Hall debates are a chance for MPs to raise important issues affecting their constituents and get a response from a government minister. Unlike Prime Minister's Questions, these debates are more in-depth and collaborative. The MP who secured the debate speaks first, other MPs can contribute, and a minister responds with the government's position.