Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what recent assessment his Department has made of the impact of (a) rising fuel costs and (b) introducing a commercial energy price cap on (i) small businesses and (ii) the hospitality industry.
The Government continues to engage with businesses to understand the impacts of high global energy prices.
The price cap for households was put in place because the Competition and Market’s Authority found that a loyalty penalty exists for the disengaged households. The CMA did not find evidence of this in the business sector.
The price cap prevents suppliers making excess profit, but it cannot reduce wholesale energy costs. The cap allows suppliers to recover the efficient costs of supplying its customers.