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To ask the Secretary of State for Health and Social Care, if she will make it his policy to increase the price of unhealthy food to subsidise healthier foods.
To ask the Secretary of State for Health and Social Care, if she will make it his policy to increase the price of unhealthy food to subsidise healthier foods.
We have a comprehensive strategy to improve diets, and to make the healthier choice the easier choice. The Government’s measures with regards to healthy food are focused on consumer behaviour and providing a safety net to those families who need it the most.
Between 2015 and 2020, we have reduced the sugar content of soft drinks by 46% through the Soft Drinks Industry Levy, and our voluntary sugar reduction programme has reduced sugar in breakfast cereals by 14.9%. We are also supporting families from low-income households to eat a healthier diet by investing in the Healthy Start scheme, and our School Fruit and Vegetables Scheme has provided nearly 415 million portions of produce to approximately 2.2 million pupils in 2023/24.
From October 2025, we will be introducing an online and television watershed to restrict advertising of unhealthy food and drink, as well as restrictions on the promotion of less healthy foods by volume price, restricting offers such as three for two, both in store and online.
Food prices are steady and have been reducing. There is a very recent small uptick, but generally food inflation has been low. As the Minister of State, my hon. Friend the Member for Camborne and Redruth (George Eustice), explained to the hon. Lady earlier, we do monitor the levels of expenditure on food very closely.
Food prices are steady and have been reducing. There is a very recent small uptick, but generally food inflation has been low. As the Minister of State, my hon. Friend the Member for Camborne and Redruth (George Eustice), explained to the hon. Lady earlier, we do monitor the levels of expenditure on food very closely.
The consumer prices index is at the highest it has been for over two and half years, largely driven by rising food prices. Since the Government stubbornly refuse to measure and act on levels of food poverty, what will the Secretary of State do for the millions of people her Government have ignored for years now who cannot afford to eat?
The hon. Lady will be aware that we have an incredibly thriving food and farming sector that employs one in eight of us. It is worth more than £100 billion a year to our economy. Our food innovation is second to none: we produce more new food products every year than France and Germany combined. Food inflation continues to be low, and our thriving sector’s
exports are improving. They have gone up this year and we are doing everything we can to create a sustainable environment for the future.
The hon. Lady will be aware that we have an incredibly thriving food and farming sector that employs one in eight of us. It is worth more than £100 billion a year to our economy. Our food innovation is second to none: we produce more new food products every year than France and Germany combined. Food inflation continues to be low, and our thriving sector’s
exports are improving. They have gone up this year and we are doing everything we can to create a sustainable environment for the future.
The pound has fallen, the cost of imports has risen and Brexit is costing the wine industry £413 million more in imports alone. From Marmitegate to the Toblerone gap, we have seen rising prices across the food industry. Customers are paying more for food while those working in farming and food production have been hit even harder. And it is getting worse. What is the Secretary of State doing to mitigate these factors?
If I may say so, that was nonsense. Food prices have been dropping after peaking in 2008, and they do move up and down. On the hon. Lady’s point about the resilience of the food and drink sector, exports this year are well up on last year and growth in the sector is booming. We are doing everything we can on food innovation and getting young people into apprenticeships in increasingly high-technology jobs. This is a well-organised sector with great potential.
If I may say so, that was nonsense. Food prices have been dropping after peaking in 2008, and they do move up and down. On the hon. Lady’s point about the resilience of the food and drink sector, exports this year are well up on last year and growth in the sector is booming. We are doing everything we can on food innovation and getting young people into apprenticeships in increasingly high-technology jobs. This is a well-organised sector with great potential.
The reality is that food inflation is at 5%. This is happening on the Secretary of State’s watch. It is her responsibility and her crisis. People are struggling now. The sector is calling for security: security of labour; security in the market; security of trade; and security in knowing the plans for the sector on leaving the EU. Labour can provide the sector with confidence today—we have a clear plan. Why will the Secretary of State not share her plan? Is it because there is no plan?
My Department has been working closely with the Department for Business, Innovation and Skills to look at how we can help Port Talbot with its energy costs. We have already made announcements about how we are going to reduce the impact of carbon policies on the steelworks in Port Talbot, and we will continue to look at further ways of helping, including considering how energy-intensive industries across the board can reduce their electricity costs by changing the way in which they generate power.
My Department has been working closely with the Department for Business, Innovation and Skills to look at how we can help Port Talbot with its energy costs. We have already made announcements about how we are going to reduce the impact of carbon policies on the steelworks in Port Talbot, and we will continue to look at further ways of helping, including considering how energy-intensive industries across the board can reduce their electricity costs by changing the way in which they generate power.
The Sustainable Product Engineering Centre for Innovative Functional Industrial Coatings—SPECIFIC—national innovation centre in Neath Port Talbot relies on EU
funding to use Tata British steel to develop buildings that are completely decarbonised. Such buildings lower household and business energy bills and help the UK to achieve its carbon reduction targets. Will the Minister support SPECIFIC in developing its use of British steel in its innovative projects, and replace any EU funds that might be lost as a result of Brexit?
The best way to deliver lower energy bills for businesses and households is to have a robust and competitive energy market. There are now over 40 energy suppliers in the domestic retail energy market, which is up from 13 in 2010, and independent suppliers have over 17% of the dual fuel market. Competition is improving, but we are not complacent, and we look forward to implementing the recommendations from the Competition and Markets Authority’s final report on the issue.
The best way to deliver lower energy bills for businesses and households is to have a robust and competitive energy market. There are now over 40 energy suppliers in the domestic retail energy market, which is up from 13 in 2010, and independent suppliers have over 17% of the dual fuel market. Competition is improving, but we are not complacent, and we look forward to implementing the recommendations from the Competition and Markets Authority’s final report on the issue.
What steps her Department is taking to reduce energy bills for (a) businesses and (b) households.
I really welcome the initiative by CEMEX in my hon. Friend’s constituency. My Department is working closely with the Department for Business, Innovation and Skills, as well as with the energy-intensive industrial sectors, including the cement sector, on ways in which companies can reduce their emissions while maintaining their competitiveness, and the use of alternative fuels is an important part of that.
I really welcome the initiative by CEMEX in my hon. Friend’s constituency. My Department is working closely with the Department for Business, Innovation and Skills, as well as with the energy-intensive industrial sectors, including the cement sector, on ways in which companies can reduce their emissions while maintaining their competitiveness, and the use of alternative fuels is an important part of that.
As a method of controlling its energy costs, CEMEX, which operates a large cement plant in my constituency, has adopted an alternative fuel, called Climafuel, which is derived from household waste and has the benefit of making use of material that would otherwise go to landfill. That is a great example of the circular economy. What steps can my hon. Friend take to encourage other energy-intensive industries to consider the use of alternative fuels?
The CMA has said that the energy sector for larger businesses is competitive, but it has put forward some strong and sound remedies for microbusinesses to prevent automatic roll-overs without a business’s consent and to improve online quotations, competition and the service available to microbusinesses.
The CMA has said that the energy sector for larger businesses is competitive, but it has put forward some strong and sound remedies for microbusinesses to prevent automatic roll-overs without a business’s consent and to improve online quotations, competition and the service available to microbusinesses.
What steps does the Minister plan to take to improve the effectiveness of the energy supply market to help small and large businesses to expand in Wiltshire and across the country?
I am sure that the hon. Gentleman knows that we get about 16% of our electricity every day from nuclear. He will also know that our nuclear plants are all due to be retired by at least the end of the 2020s. Therefore, new nuclear forms a core part of how we replace our electricity supplies. Hinkley is a good deal for consumers. Of course, the mark-to-market costs change according to the wholesale prices, but the price of the electricity coming out of Hinkley by the mid-2020s is guaranteed, and that is very important so that we provide certainty. The Government do not take the view that we will just see what happens; we have to plan for the future. Why? Because electricity security is not negotiable.
I am sure that the hon. Gentleman knows that we get about 16% of our electricity every day from nuclear. He will also know that our nuclear plants are all due to be retired by at least the end of the 2020s. Therefore, new nuclear forms a core part of how we replace our electricity supplies. Hinkley is a good deal for consumers. Of course, the mark-to-market costs change according to the wholesale prices, but the price of the electricity coming out of Hinkley by the mid-2020s is guaranteed, and that is very important so that we provide certainty. The Government do not take the view that we will just see what happens; we have to plan for the future. Why? Because electricity security is not negotiable.
The Government have guaranteed an electricity price of about three times the wholesale price to EDF so that it will build a nuclear white elephant at Hinkley Point C. How on earth will that help consumers—businesses or households—to reduce their energy bills?
The hon. Gentleman is right to raise this issue. My Department and others frequently consult Northern Ireland Ministers to ensure that all the benefits that can be passed on to Northern Ireland consumers are being passed on. I welcome his contribution to the debate.
The hon. Gentleman is right to raise this issue. My Department and others frequently consult Northern Ireland Ministers to ensure that all the benefits that can be passed on to Northern Ireland consumers are being passed on. I welcome his contribution to the debate.
Northern Ireland households and businesses face the highest electricity bills in the whole United Kingdom. Businesses still face some of the highest energy costs in Europe. What discussions has the hon. Lady had with the Minister responsible for enterprise, trade and industry to ensure that everything is done to drive these costs down for Northern Ireland customers?
Perhaps the hon. Gentleman has misunderstood. The cost of the project has not changed. The difference is because of wholesale prices. As there is a fixed price agreed for consumers, when forecasts and current wholesale prices change, so will the difference between the fixed price and the wholesale price. To be clear, the cost of the project has not changed. It remains a good deal for consumers— [Interruption.] The hon. Gentleman is chuntering at me from a sedentary position, but let us be clear: we cannot just wait and see. We have to make investment decisions and stick by them. We cannot simply magic electricity out of thin air; we need to invest, make decisions, and be committed to them.
Perhaps the hon. Gentleman has misunderstood. The cost of the project has not changed. The difference is because of wholesale prices. As there is a fixed price agreed for consumers, when forecasts and current wholesale prices change, so will the difference between the fixed price and the wholesale price. To be clear, the cost of the project has not changed. It remains a good deal for consumers— [Interruption.] The hon. Gentleman is chuntering at me from a sedentary position, but let us be clear: we cannot just wait and see. We have to make investment decisions and stick by them. We cannot simply magic electricity out of thin air; we need to invest, make decisions, and be committed to them.
I am always happy to abide by your ruling, Mr Speaker.
One year ago, DECC’s estimate for the total lifetime cost of the nuclear power station at Hinkley Point C was £14 billion. Recently, that estimate was revised to £37 billion. Following the referendum vote, the Government’s expert adviser has said that Hinkley C is extremely unlikely to go ahead. Does this mean that the Minister now does not have to worry about justifying
the extra £23 billion cost to the Treasury, or does she just feel that she does not need to explain about the additional burden on taxpayers?
Our central assessment is that the impact on bills could be up to £28, but our impact assessment also shows that if we did nothing, further power station closures could add a further £46 to consumer bills. We believe that this auction is good value for consumers, and it provides the energy security on which we all rely.
Our central assessment is that the impact on bills could be up to £28, but our impact assessment also shows that if we did nothing, further power station closures could add a further £46 to consumer bills. We believe that this auction is good value for consumers, and it provides the energy security on which we all rely.
The Government have estimated that the capacity auction this winter could put £36 on customer bills. Given that today the Minister has talked about keeping down customer bills, how does she think that that auction will affect those bills?
What steps her Department is taking to reduce energy bills for (a) businesses and (b) households.
What steps her Department is taking to reduce energy bills for (a) businesses and (b) households.
The best way to deliver lower energy bills for businesses and households is to have a robust and competitive energy market. There are now over 40 energy suppliers in the domestic retail energy market, which is up from 13 in 2010, and independent suppliers have over 17% of the dual fuel market. Competition is improving, but we are not complacent, and we look forward to implementing the recommendations from the Competition and Markets Authority’s final report on the issue.
What steps her Department is taking to reduce energy bills for (a) businesses and (b) households.
What steps her Department is taking to reduce energy bills for (a) businesses and (b) households.
The best way to deliver lower energy bills for businesses and households is to have a robust and competitive energy market. There are now over 40 energy suppliers in the domestic retail energy market, which is up from 13 in 2010, and independent suppliers have over 17% of the dual fuel market. Competition is improving, but we are not complacent, and we look forward to implementing the recommendations from the Competition and Markets Authority’s final report on the issue.
What steps her Department is taking to ensure that energy consumers are on the best value energy tariffs.
What steps her Department is taking to ensure that energy consumers are on the best value energy tariffs.
The most effective way for energy consumers to make sure that they are on the best value tariff is to shop around. I encourage all consumers to engage in the market and to make use of
the Ofgem-approved price comparison websites that are readily available. We have taken action to make it simpler and quicker to switch supplier, and we are working with Ofgem to move to reliable next-day switching.
The most effective way for energy consumers to make sure that they are on the best value tariff is to shop around. I encourage all consumers to engage in the market and to make use of
the Ofgem-approved price comparison websites that are readily available. We have taken action to make it simpler and quicker to switch supplier, and we are working with Ofgem to move to reliable next-day switching.
The most effective way for energy consumers to make sure that they are on the best value tariff is to shop around. I encourage all consumers to engage in the market and to make use of
the Ofgem-approved price comparison websites that are readily available. We have taken action to make it simpler and quicker to switch supplier, and we are working with Ofgem to move to reliable next-day switching.
What steps her Department is taking to ensure that energy consumers are on the best value energy tariffs.
My hon. Friend is right to say that we need to make sure that people are aware not just of the benefits of switching, but of how easy it is to do. We are taking steps to raise awareness through the big energy saving network, Big Energy Saving Week and the Power to Switch campaign. We are also working to improve the switching process for customers. We launched the energy switch guarantee last month to give consumers confidence to switch, and we are working with Ofgem to deliver next-day switching.
My hon. Friend is right to say that we need to make sure that people are aware not just of the benefits of switching, but of how easy it is to do. We are taking steps to raise awareness through the big energy saving network, Big Energy Saving Week and the Power to Switch campaign. We are also working to improve the switching process for customers. We launched the energy switch guarantee last month to give consumers confidence to switch, and we are working with Ofgem to deliver next-day switching.
I thank the Minister for that response. Many people remain unaware of how easy it is to switch energy providers and save money. What actions is her Department taking to encourage people to look into switching providers?
To ask the Secretary of State for Energy and Climate Change, what forecast her Department has made of wholesale electricity prices in each of the next 35 years.
To ask the Secretary of State for Energy and Climate Change, what forecast her Department has made of wholesale electricity prices in each of the next 35 years.
Projections of wholesale electricity prices up to 2035 are available in Annex M of the 2015 Energy and Emissions Projections, published online by DECC at:
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/477625/Annex-m-price-growth-assumptions.xls and reproduced below.
Projected wholesale electricity price (p/kwh, 2015 prices)
Year | Reference scenario | Low fossil fuel price scenario | High fossil fuel price scenario |
2016 | 4.8 | 4.0 | 5.7 |
2017 | 5.2 | 4.2 | 6.3 |
2018 | 4.8 | 3.6 | 6.0 |
2019 | 4.6 | 3.3 | 6.0 |
2020 | 4.9 | 3.4 | 6.2 |
2021 | 5.4 | 3.8 | 7.1 |
2022 | 5.8 | 4.1 | 7.2 |
2023 | 6.0 | 4.2 | 7.5 |
2024 | 6.5 | 4.7 | 8.0 |
2025 | 6.7 | 4.8 | 8.3 |
2026 | 6.9 | 4.9 | 8.3 |
2027 | 6.9 | 5.1 | 8.3 |
2028 | 6.6 | 5.0 | 7.9 |
2029 | 6.6 | 5.1 | 7.8 |
2030 | 6.6 | 5.4 | 7.9 |
2031 | 6.6 | 5.4 | 8.2 |
2032 | 6.6 | 5.7 | 8.3 |
2033 | 6.3 | 5.4 | 7.4 |
2034 | 6.7 | 5.5 | 7.8 |
2035 | 6.1 | 5.0 | 6.8 |
To ask the Secretary of State for Energy and Climate Change, what steps her Department is taking to make available to people without online access guidance on comparisons of energy prices among different energy providers.
To ask the Secretary of State for Energy and Climate Change, what steps her Department is taking to make available to people without online access guidance on comparisons of energy prices among different energy providers.
Consumers without access to the internet can shop around to find a better deal for their energy by using a price comparison company, which is accredited to the Confidence Code operated by Ofgem and provides a free telephone price comparison service. In addition Citizen Advice offers advice and support on energy switching.
The following companies offer such a service:
Energyhelpline 0800 074 0745
Moneysupermarket 0800 177 7087
SimplySwitch 0800 011 1395
UK Power.co.uk 0800 188 4906
uSwitch 0800 051 5493
Energylinx 0800 849 7077
To ask the Secretary of State for Energy and Climate Change, what steps her Department is taking to ensure consumers are placed on the cheapest tariff available by their energy supplier.
To ask the Secretary of State for Energy and Climate Change, what steps her Department is taking to ensure consumers are placed on the cheapest tariff available by their energy supplier.
Strong competition in the retail energy market is the best way to ensure that customers are on the cheapest tariff that meets their particular circumstances. The Government and Ofgem have been working to improve competition and there are now 39 companies supplying energy to households across Great Britain.
The Government supports the Competition and Markets Authority’s investigation into the retail energy market and we will take forward appropriate implementation of its final recommendations which are due to be published shortly.
We recognise that vulnerable consumers may need support to engage in the market and that is why we have provided £3 million over the last three years to community organisations through the Big Energy Saving Network.