Energy Price Freeze Debate

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John Bercow

Main Page: John Bercow (Speaker - Buckingham)

Energy Price Freeze

John Bercow Excerpts
Wednesday 2nd April 2014

(10 years, 1 month ago)

Commons Chamber
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John Bercow Portrait Mr Speaker
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I should inform the House that I have not selected the amendment.

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John Robertson Portrait John Robertson
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I thank my hon. Friend for that; he is of course right.

Let us face it: we are where we are. It does not really matter what the Con-Dem Government have done in the past four years, or what the last Labour Government did in the previous 13 years. The problem is what is happening now. Fuel poverty is a bigger problem today than it ever was. We could say that that is a result of bad government and that it is this Government’s fault because they have been in power for four years and they should have done something. Well, they did do something. The Secretary of State talked about getting reports and asking for suggestions, and he has done that. His predecessor also did it, resulting in the Hills report.

The Hills report stated that nearly 2.4 million people were still in fuel poverty, and the gap between their bills and what they could afford was getting wider. It also found that about 3,000 people could be expected to die over the course of a winter as a result of Government policy. That was not necessarily all to do with energy, however; it referred to Government policy overall, and it applied to all Governments. This was a good report, and it was commissioned by a Liberal Secretary of State. But what have the Government done since then? How many lives have been saved since the Hills report? What action have they taken to tackle fuel poverty?

The answer, Secretary of State, is that you have done absolutely nothing. Sadly, more people are dying now than when the Hills report first came out. An energy freeze might not be the answer to everything, but if you are happy with the way Ofgem is running things, with the way the energy market is conducting itself and with the present state of affairs, then do as you are doing now: do absolutely nothing—

John Bercow Portrait Mr Speaker
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Order. May I very gently exhort the hon. Gentleman not to use the word “you”? I know that he is doing it for the purpose of emphasis, but it is undesirable if it is widely mimicked. He is felicitous of phrase—he can express himself in a different way.

John Robertson Portrait John Robertson
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I apologise, Mr Speaker. Thank you for pointing out to anyone who might have thought I was talking to you that I was actually talking to the Secretary of State.

It is up to the Secretary of State to look at this problem. He has called the proposal from my right hon. Friend the Member for Don Valley a “con”, but I do not think it is a con if we try to do something. I believe that we need to fix the industry, because the big six are not doing the job that they should be doing. It is they who are conning people. It is a bit rich for the Secretary of State to say that we are conning the public, when it is the energy companies that are doing the conning. They are the ones putting up the bills, and the public have to respond by paying them their money.

So let us have a freeze. Let us look at the energy companies and see what they are doing, and if we have to fix the situation—as I believe we will—let us try to do it in a window lasting between 18 months and two years. If we can fix it in that time, and if the energy companies end up out of pocket, it will be up to the Government to fulfil the need that has been lost, rather than the general public, because the freeze will have been imposed by the Government of the day, which I hope will be a Labour Government. The most important thing is to look after the people in this country who are living in fuel poverty. In Scotland, 1 million people classify themselves as fuel poor. When we add that to the figure for England, it takes us well above the 2.4 million figure that we had years ago. We need to do something about that.

The energy companies have shown their true face recently. The chief executive officer of British Gas—a company that had a monopoly on gas supply for years—has said if a price freeze were imposed, there would be blackouts. If the Secretary of State believes that that is right, it will be up to him to sort out the problem, because it is the duty of the Government to ensure that the lights do not go out. The CEO might try to blame people for proposing a freeze, but I believe that a freeze would be helpful in sorting out the energy business in the long term.

The Secretary of State has not expressed the hatred for Ofgem that some of those on my Front Bench have done. I believe that it has got worse, rather than better, over the past two years, despite the discussions that the Select Committee and others have had with it. It has never worked quickly. Some might say that that is a good thing, because if it worked quickly, it might make mistakes. They would prefer that it took its time, in order to ensure that it did the right thing. However, I believe that it takes so long to act because it is frightened to make certain decisions and because it does not think it will have the backing of the Government.