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Treasury

Answer

Mr. Battle: To ask the Chancellor of the Exchequer if he will express in real terms, and where the year of privatisation equals 100, the utility component of the retail prices index including VAT in (a) the latest available period and (b) 1979 for (i) gas prices, (ii) electricity prices, (iii) electricity and gas prices, (iv) water prices and (v) electricity, gas and water prices. [5302] Mr. Jack: [holding answer 25 November 1996]: The information requested is given in the table. As the table shows, even including the introduction of VAT for electricity and gas, prices have rise more slowly than overall retail prices since privatisation. Water price changes reflect the large-scale capital investment and environmental programmes, to which the privatised utilities are committed. _________________________________________________________________________________________________. Gas{1} Electricity{1} Electricity and Water{1} Electricity, gas gas{2} and water{2} Year of privatisation 1986 1990 1990 1989 1990 1979 76 98 93 73 91 October 1996 80 98 96 146 103 _________________________________________________________________________________________________. {1} Source ONS. {2} Using 1990 weights. The components of the retail prices index for electricity and gas, and for electricity, gas and water assume a privatisation year of 1990--the year that the electricity utilities were fully privatised. These figures have been deflated by the RPI, and include VAT for electricity and gas.

Secondary information

Type

Written question

Reference

5302; 286 c745-6W;286 c743-4W

Session

1996-97

Subjects

Energy Electricity Natural gas Prices Water charges

Contains statistics

Yes