Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what assessment her Department has made of the potential impact of the 1 January 2024 Ofgem price cap increase on the number of households that require additional support for fuel bills.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The Government frequently assesses the merits of energy cost support policies and the impacts various policy ideas would have on the most vulnerable households.
Energy prices have significantly fallen in the past year alone and the Q1 2024 price cap of £1,928 has more than halved compared to the previous year when the Q1 2023 price cap peaked at £4,279.
The Government also recognises the challenges posed by cost-of-living pressures, including the impact of energy bills, and is already providing extensive financial support to households. This includes a package of support to assist households and individuals with rising costs of living that will total over £104 billion, or £3,700 per household on average, over 2022-2025. Millions of vulnerable households will receive up to £900 in further Cost of Living Payments.
These payments are in addition to established financial support which is available for low income and vulnerable households this winter through the Winter Fuel Payment worth between £250 - £600 and the Cold Weather Payment providing £25 during very cold weather. The Government continues to provide support through the Warm Home Discount, which provides low-income and vulnerable households with an annual £150 rebate off their energy bill every winter.
Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether she has made a recent assessment of the potential merits of introducing a social tariff on energy as a result of the Ofgem price cap increase from 1 January 2024.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The Government recognises the challenges posed by cost-of-living pressures, including the impact of energy bills, and is already providing extensive financial support to households. This includes a package of support to assist households and individuals with rising costs of living that will total over £104 billion, or £3,700 per household on average, over 2022-2025.
As cost-of-living pressures decrease, the Government is continuing to support those most in need as prices come down. The Government is providing £900 of cost-of-living payments throughout 2023/24 to help vulnerable households, and this is an increase on the £650 provided the previous year.
Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what assessment her Department has made of the potential impact of the 1 January 2024 Ofgem price cap increase on the number of households in fuel poverty.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The Department for Energy Security and Net Zero has not yet assessed the potential impact of the Ofgem price cap increase on the number of fuel poor households. Updated fuel poverty estimates for England will be published in February.
The price cap announcement means prices will be lower than at the start of 2023.
The Government continues to provide targeted financial support to vulnerable households through the Cost of Living Payments, Warm Home Discount, Winter Fuel Payment and Cold Weather Payment.
Multiple targeted energy efficiency schemes remain in place to deliver measures to fuel poor households including the Energy Company Obligation.
Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what assessment her Department has made of the trends in the number of complaints (a) accepted and (b) resolved by the Energy Ombudsman since 2010.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The Energy Ombudsman (‘EO’) is an independent body providing a free service for energy consumers unable to settle a dispute with their supplier. Although the Department has close links to the EO, we do not regulate it. Ofgem is responsible for appointing the EO and assesses its performance every two years (latest assessment is here: https://www.ofgem.gov.uk/publications/biennial-assessment-ombudsman-services-under-adr-regulations-2019-2021.
DESNZ ministers meet regularly with the EO and I visited its offices recently. Ministers also meet regularly with Ofgem and suppliers to make clear that the Government expects suppliers to provide a high standard of service and do more to prevent customer disputes.
Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what assessment her Department has made of trends in the total value of all financial remedies from complaints resolved by the Energy Ombudsman since 2010.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The Department has not assessed the trends in the total value of all financial remedies from complaints resolved by the Energy Ombudsman since 2010. The Energy Ombudsman is an independent, not for profit company appointed by Ofgem as the alternative dispute resolution (ADR) body for the energy sector under the Alternative Dispute Resolution for Consumer Disputes Regulations 2015. Under the Regulations, Ofgem is required to carry out an assessment on the Ombudsman’s performance every two years.
Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what assessment she has made of the adequacy of Time and Trouble Awards issued by the Energy Ombudsman.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The Department has not made an assessment of the adequacy of Time and Trouble Awards issued by the Energy Ombudsman. The Energy Ombudsman is an independent, not for profit company appointed by Ofgem as the alternative dispute resolution (ADR) body for the energy sector under the Alternative Dispute Resolution for Consumer Disputes Regulations 2015. Under the Regulations, Ofgem is required to carry out an assessment on the Ombudsman’s performance every two years.
Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what assessment her Department has made of the adequacy of the Energy Ombudsman's enforcement powers.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The Energy Ombudsman (‘EO’) is an independent body providing a free service for energy consumers unable to settle a dispute with their supplier. Although the Department has close links to the EO, we do not regulate it. Ofgem is responsible for appointing the EO and assesses its performance every two years (latest assessment is here: https://www.ofgem.gov.uk/publications/biennial-assessment-ombudsman-services-under-adr-regulations-2019-2021.
DESNZ ministers meet regularly with the EO and I visited its offices recently. Ministers also meet regularly with Ofgem and suppliers to make clear that the Government expects suppliers to provide a high standard of service and do more to prevent customer disputes.
Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what data her Department holds on the number of complaints submitted to but not accepted by the Energy Ombudsman since 2010.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The ombudsman services are an independent body that provides a free service for energy consumers who are not able to reach a settlement about a dispute with their regulated energy provider. Although the Department has close links to the Energy Ombudsman, we do not directly regulate them or hold the data in question.
The Energy Ombudsman Complaints Data is published quarterly and their Alternative Dispute Resolution data annually which you can find here https://www.energyombudsman.org/reports-and-data
Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what data her Department holds on the extent of energy provider compliance with Energy Ombudsman decisions since 2010.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The ombudsman services are an independent body that provides a free service for energy consumers who are not able to reach a settlement about a dispute with their regulated energy provider. Although the Department has close links to the Energy Ombudsman, we do not directly regulate them or hold the data in question.
The Energy Ombudsman Complaints Data is published quarterly and their Alternative Dispute Resolution data annually which you can find here https://www.energyombudsman.org/reports-and-data
Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, how many Energy Bills Support Scheme Alternative Funding payments were awarded by type of accommodation applied for in (a) Cynon Valley constituency, (b) Rhondda Cynon Taf local authority, (c) Wales and (d) the UK.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The table below provides a breakdown of the numbers of households by accommodation types that were paid or approved for payment under the Energy Bills Support Scheme Alternative Funding (EBSS AF) in Wales and the UK.
Breakdowns of the same data at constituent or local authority level would be disclosive.
EBSS AF: Total number of households paid or approved for payment as of 11 July 2023
Region | Wales | UK |
Care Homes | 1,100 | 20,740 |
Farmers | 350 | 7,750 |
Heat Networks | 850 | 17,930 |
Home Owner | 360 | 6,590 |
House Boats | 10 | 2,950 |
Park Homes | 1,800 | 42,230 |
Tenants in Council, Association or Temporary Accommodation | 890 | 12,270 |
Tenants in Private Accommodation | 700 | 21,480 |
Travellers and All Others | 830 | 16,540 |