Asked by: Jon Trickett (Labour - Hemsworth)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what the total value has been of contracts held by their Department with (a) G4S, (b) Serco and (c) Capita in each year since 2020.
Answered by Jane Hunt
The total value of contracts held by BEIS with (a) G4S, (b) Serco and (c) Capita in each year since 2020 is detailed in the table below.
| 2020 | 2021 | 2022 | 2023 (committed) |
Capita | £1,176,448 | £1,662,948 | £1,606,198 | £264,050 |
Serco | £3,525,500 | £2,510,000 | £1,986,131 | £6,786 |
G4S |
| £4,308 | £26,880 | £26,880 |
TOTAL | £4,701,948 | £4,177,256 | £3,619,209 | £297,715 |
Asked by: Jon Trickett (Labour - Hemsworth)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, with reference to the report entitled Profiting amid the energy crisis: the distribution networks at the heart of the UK's gas and electricity system, published on 14 March 2022, what assessment he has made of the implications for his policies of the report's findings on the profitability of electricity and gas distribution industries in the UK; and if he will make a statement.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
Network regulation is a matter for Ofgem as the energy regulator. While dividends are a matter for the individual companies and are a normal part of returns to equity capital providers, the return on capital network companies can earn is regulated by Ofgem.
Ofgem uses the RIIO price control to establish a regulatory framework which allows network companies to attract the investment they need to ensure a safe, secure and reliable supply of energy while saving consumers money by keeping returns as low as possible. In the most recent price control for gas distribution and electricity transmission RIIO-2, Ofgem has reduced the allowed return on capital to save consumers £2.3 billion over the five-year price control period. Ofgem will propose a similar reduction in allowed returns in the forthcoming electricity distribution price control.
Asked by: Jon Trickett (Labour - Hemsworth)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, with reference to the report entitled Profiting amid the energy crisis: the distribution networks at the heart of the UK's gas and electricity system, published on 14 March 2022, what assessment he has made of the implications for his policies of the report's findings on the level of dividends paid by electricity distribution and gas distribution network operators to shareholders since 2017.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
Network regulation is a matter for Ofgem as the energy regulator. While dividends are a matter for the individual companies and are a normal part of returns to equity capital providers, the return on capital network companies can earn is regulated by Ofgem.
Ofgem uses the RIIO price control to establish a regulatory framework which allows network companies to attract the investment they need to ensure a safe, secure and reliable supply of energy while saving consumers money by keeping returns as low as possible. In the most recent price control for gas distribution and electricity transmission RIIO-2, Ofgem has reduced the allowed return on capital to save consumers £2.3 billion over the five-year price control period. Ofgem will propose a similar reduction in allowed returns in the forthcoming electricity distribution price control.
Asked by: Jon Trickett (Labour - Hemsworth)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what recent estimate he has made of the costs of electricity and gas transmission and distribution networks to consumers.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
Data from the independent Great Britain energy regulator, Ofgem, show that the average estimated network costs per domestic customer per year in March 2021 were: gas distribution - £121; electricity distribution - £93; electricity transmission - £35; gas transmission - £10. This data is published at https://www.ofgem.gov.uk/energy-data-and-research/data-portal/all-available-charts?sort=created&page=2 (chart: ‘estimated network costs per domestic customer’).
Asked by: Jon Trickett (Labour - Hemsworth)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what estimate his Department has made of the number of households at risk of fuel poverty following the increase in the energy price cap in (a) October 2021 and (b) April 2022 in (i) Hemsworth constituency, (ii) Wakefield local authority area and (c) Yorkshire and Humberside.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
BEIS publish Fuel poverty statistics by Region (Table 1), Local Authority (Table 2) and parliamentary constituency (Table 4) in England, the latest data covers 2019. These are available here: https://www.gov.uk/government/collections/fuel-poverty-sub-regional-statistics#2019-statistics.
The Government’s projection for the number of households in England that were in fuel poverty for the year 2021 is published here: https://www.gov.uk/government/statistics/fuel-poverty-statistics-projections-2021.
The energy price cap from 1 April 2022 will be announced by Ofgem later this year.
Asked by: Jon Trickett (Labour - Hemsworth)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps he is taking to mitigate any potential increase in fuel poverty when a new energy price cap is announced in April 2022.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
It is Ofgem’s role, as the independent regulator, to set the price cap.
The Government is committed to tackling fuel poverty, reducing energy bills and delivering warmer, safer homes for the most vulnerable. The Government considers improving the energy efficiency of homes to be the best long-term method of tackling of fuel poverty. Energy efficiency schemes include the Energy Company Obligation and the Sustainable Warmth Competition.
Ofgem rules require energy suppliers to offer customers at risk of debt, or in debt, the facility to repay their debt in instalments and require suppliers to take into account a customer’s ability to pay, where they are facing financial difficulties.
In order to further help consumers, the Government has already introduced the extra £500m Household Support Fund for those more in need this winter, on top of other schemes like the Warm Home Discount, which is being increased to £150 and extended to an extra 780,000 households, to support the most vulnerable.
Asked by: Jon Trickett (Labour - Hemsworth)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps he has taken to ensure consumers are protected from increases in consumer energy bills following supplier failures.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
The Government and Ofgem ensure all consumers going through Supplier of Last Resort process will not go off supply and will have their credit balances protected.
Millions of domestic energy consumers on their supplier’s standard variable and default tariffs are protected by the energy price cap. The price cap limits the rates a supplier can charge for these tariffs. The cap level is set by the energy regulator Ofgem and represents a fair price for energy based on the actual costs associated with supplying energy to consumers’ homes.
Asked by: Jon Trickett (Labour - Hemsworth)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if he will publish the number of customers whose energy supplier has closed since August 2021 in (a) each English region, and (b) Scotland, (c) Wales, (d) Northern Ireland.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
The Government and Ofgem strive for orderly market exits and that customers are protected, with their supply uninterrupted. The available data the Government can share on the number of customers whose energy supplier has exited the market since the beginning of August 2021 is in the table below. Government does not hold regional customer data.
Company | Date | Customers transferred |
Hub Energy | 9 August | c. 6,000 domestic, c.9,000 non-domestic |
MoneyPlus Energy | 7 September | c. 9,000 domestic |
PFP Energy | 7 September | c. 82,000 domestic, c. 5,600 non-domestic |
Utility Point | 14 September | c. 220,000 domestic |
People’s Energy | 14 September | c. 350,000 domestic, c.1,000 non-domestic |
Green Supplier Limited | 22 September | c. 255,000 domestic, non-domestic |
Avro Energy | 22 September | c. 580,000 domestic |
Symbio Energy | 29 September | c. 48,000 domestic, non-domestic |
Igloo Energy | 29 September | c. 179,000 domestic |
ENSTROGA | 29 September | c. 6,000 domestic |
Colorado Energy | 13 October | c. 15,000 domestic |
Pure Planet | 13 October | c. 235,000 domestic |
Daligas | 14 October | c. 9,000 domestic & non-domestic |
GOTO Energy | 18 October | c. 22,000 domestic |
Bluegreen Energy Services Limited | 1 November | c. 5,900 domestic, non-domestic |
Ampoweruk Ltd | 2 November | c. 600 domestic, c.2,000 non-domestic |
Zebra Power Limited | 2 November | c. 14,800 domestic |
MA Energy Limited | 2 November | c. 300 non-domestic |
Omni Energy Limited | 2 November | c. 6,000 domestic |
CNG Energy Limited | 3 November | c. 41,000 non-domestic |
Social Energy Supply Ltd | 16 November | c. 5,500 domestic |
Neon Reef Limited | 16 November | c. 30,000 domestic |
Orbit Energy Limited | 25 November | c. 65,000 domestic |
Entice Energy | 25 November | c. 5,400 domestic |
Zog Energy Limited | 1 December | c. 11,700 domestic |
Asked by: Jon Trickett (Labour - Hemsworth)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps he plans to take under the Energy Retail Market Strategy to (a) ensure that consumers can always choose the lowest price and (b) escalate duties on energy companies to finance investment in low-carbon technologies.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
The Government is inviting views on how future policy can best achieve the vision set out earlier this year in the Energy Retail Market Strategy, and how the lessons from recent market developments should inform this to ensure the energy retail market is resilient, sustainable, and continues to protect consumers as we move to a net zero energy system. The Government aims to publish an updated Strategy as soon as possible, once the market has stabilised.
Asked by: Jon Trickett (Labour - Hemsworth)
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 implications for his policies of OFGEM's final proposals for the Review of the Consolidated Segmental Statement.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
As set out in their Statutory Consultation published in June 2021[1], OFGEM’s proposal for the Review of the Consolidated Segmental Statement (CSS) will ensure that the CSS better meets its aims, including providing transparency and market intelligence, ensuring consumers are treated fairly and supporting policy development. Further details can be found in the Final Impact Assessment published alongside the consultation.