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Written question asked by Markus Campbell-Savours (Labour) on Monday, 1 June 2026, in the House of Commons. It was due for an answer on Wednesday, 3 June 2026. It was answered by Michael Shanks (Labour) on Tuesday, 9 June 2026 on behalf of the Department for Energy Security and Net Zero.


Electricity: Prices

Question

To ask the Secretary of State for Energy Security and Net Zero, what progress his Department has made in reducing the influence of gas prices on wholesale electricity prices.

Answer

Government is accelerating the deployment of low-cost renewable electricity technologies to reduce our reliance on international fossil fuel markets.

The existing Contracts for Difference (CfD) scheme has been successful in bringing forth new renewable assets at fixed, competitive prices. These CfDs are already beginning to decouple electricity and gas markets, protecting consumers from higher electricity bills when gas prices increase.

In April, Government announced plans to offer legacy low-carbon generators – which provide around 30% of our power today – the option of a fixed price CfD. These contracts will build on the success of existing CfDs, further delinking electricity generation from volatile gas prices.


Secondary information

Type
Written question
Reference
5842
Session
2026-27
Subjects
Electricity Natural gas Prices Wholesale trade
Link
View this Written question on www.parliament.uk