Oral Answers to Questions Debate

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Kelvin Hopkins

Main Page: Kelvin Hopkins (Independent - Luton North)

Oral Answers to Questions

Kelvin Hopkins Excerpts
Thursday 19th March 2015

(9 years, 1 month ago)

Commons Chamber
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The Secretary of State was asked—
Kelvin Hopkins Portrait Kelvin Hopkins (Luton North) (Lab)
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1. What steps he is taking to help households improve their energy efficiency

Ian Lavery Portrait Ian Lavery (Wansbeck) (Lab)
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11. What steps he is taking to help households improve their energy efficiency

Amber Rudd Portrait The Parliamentary Under-Secretary of State for Energy and Climate Change (Amber Rudd)
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Making households more energy efficient is the surest and safest way to reduce energy bills. Thanks to the energy companies obligation and green deal schemes, more than 1 million homes have been made more energy efficient, helping households stay permanently warmer for less. In Luton North, more than 2,726 households have been helped by ECO alone, which is nearly the twice the national average in respect of households.

Kelvin Hopkins Portrait Kelvin Hopkins
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The truth is that millions of low-income families are still living in poorly insulated and cold homes, and paying very high fuel bills. Cuts to the energy companies obligation have meant that nearly half a million fewer households will receive vital upgrades to make their homes warmer and cheaper to heat, and, in any case, half of that budget goes to households that are not in poverty. Have this Government’s policies not been a failure, leaving millions of families too cold in their homes, struggling to pay heating bills and in need of a Labour Government to make their lives better?

Amber Rudd Portrait Amber Rudd
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I do not share the hon. Gentleman’s interpretation. Fuel poverty under this Government has gone down. The changes to the ECO specifically took £50 off the bill, but reserved the amount that was to help the vulnerable and those on low incomes. So we have continued to focus on low-income and vulnerable people, to ensure that they are the first households to be made warmer for less.

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Ed Davey Portrait Mr Davey
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Talking of taste, Mr Speaker, I thought that the question from my right hon. Friend for Bexhill and Battle (Gregory Barker) was very tasteful, and that he made a very sensible point. I am grateful to him. I think it is clear that, although there are some differences between us on some aspects of energy policy such as onshore wind, the two parties have been able to work together in the country’s interest to achieve our objective of providing affordable, secure, green energy. I am grateful to the Minister of State for what he said earlier, although he did make me laugh when he claimed that the Chancellor was the force behind the tidal lagoon.

Kelvin Hopkins Portrait Kelvin Hopkins (Luton North) (Lab)
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What discussions has the Secretary of State had with the Chancellor about the damage that could be caused to community energy co-operatives by the proposed exclusion of co-operatives from future tax allowance schemes?

Ed Davey Portrait Mr Davey
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We have discussed the matter extensively with the Treasury, and we have introduced something called social investment tax relief. It is better than its predecessor, because it gives community energy companies tax relief not just on equity finance but on debt finance, thus expanding the instruments.

There is an issue concerning which types of organisation should be able to claim the tax relief. The whole purpose of supporting community energy is to support schemes that give real benefits to the community, and energy co-operatives do not necessarily do that, although they benefit their membership. However, we have been working with the community energy sector as well as the Treasury, and I think that if the hon. Gentleman reads today’s update, he will see that we have come up with a very effective solution.