Energy Update

Brendan O'Hara Excerpts

Monday 5th September 2022 Commons Chamber

[Greg Hands]

I am concerned to hear about the hon. Lady’s constituent. Indeed, many of all our constituents are facing difficulties and prospective difficulties at this time. In relation to her constituent’s car, the Government have reduced fuel duty at the cost of about £5 billion to the Exchequer, and that will help people to run their cars. We are acutely aware of the difficulties faced by consumers, but we have risen to the challenge. The £37 billion package announced for this year so far is a considerable amount of public spending to help consumers with bills, and there will be more to come.

[Brendan O’Hara (Argyll and Bute) (SNP)]

Many people across rural Scotland depend on heating oil to heat their homes. Today I spoke to someone who was quoted 110p a litre, with a minimum delivery of 500 litres. Of course, once heating oil is gone—when the tank is empty—it is gone. If people cannot afford to refill the tank, they cannot heat their house. With winter approaching, that is a potential death sentence for vulnerable people in an already economically fragile part of Scotland. What will the Government do to help those people, and what reassurances can the Minister give to those who rely on heating oil that they will be protected from skyrocketing fuel prices this winter?

[Greg Hands]

I thank the hon. Member for that question because many consumers, up and down this United Kingdom, are dependent on heating oil. They are off the gas grid and heating oil is the principle means of heating their home. We need to be keenly aware of that, as the Government are.

It is worth recognising that there is a competitive market for heating oil. I often speak with the UK and Ireland Fuel Distributors Association, which is a trade body, and with consumer groups in relation to heating oil. Obviously, prices have risen; they are closely related to the price of kerosene, for example, which has been quite volatile this year.

I remind the hon. Gentleman that households that have an electricity charging point will benefit from the £400 payment, and others will benefit from the payments to the more vulnerable, so it would not be right to suggest that those who use heating oil are not recipients of Government assistance. There is also the £1.1 billion home upgrade grant, through which the Government have committed to improve funding for energy efficiency and clean heating upgrades for those dependent on heating oil and other liquid fuels.