This Government recognise that prices at motorway service stations are typically higher in comparison to other forecourts. The Competition and Markets Authority has found that competition at motorway service stations is weaker than elsewhere. This Government have introduced the fuel finder open data scheme to help drivers compare all UK fuel prices more easily, increase competition and drive down prices. My department assesses that it could save consumers £10.4 billion over 10 years.

This Government recognise that prices at motorway service stations are typically higher in comparison to other forecourts. The Competition and Markets Authority has found that competition at motorway service stations is weaker than elsewhere. This Government have introduced the fuel finder open data scheme to help drivers compare all UK fuel prices more easily, increase competition and drive down prices. My department assesses that it could save consumers £10.4 billion over 10 years.

My Lords, it is quite difficult when driving up and down the motorway to use an app to work out what the price will be at the next service station. Typically, you will be paying a 20p per litre premium on fuel at a service station. In a cost of living crisis, this is a scandal. Will the situation be in any way improved by the Government going ahead with the planned increase in fuel duty next year of 6p per litre, with VAT included? Should that not now be scrapped?

My Lords, it is quite difficult when driving up and down the motorway to use an app to work out what the price will be at the next service station. Typically, you will be paying a 20p per litre premium on fuel at a service station. In a cost of living crisis, this is a scandal. Will the situation be in any way improved by the Government going ahead with the planned increase in fuel duty next year of 6p per litre, with VAT included? Should that not now be scrapped?

I thank the noble Lord for that question; I know his interest in these matters. As your Lordships know, we have held steady and cut the price of fuel duty, which has had a significant impact for drivers. In fact, in comparison to the work of the last Government, the price of diesel has reduced by 11p per litre. We understand that people in this country face real price issues and we take energy prices very seriously. We have taken consistent action and are consistently moving forward; we have cut VAT off electricity bills and £150 has been lifted too. We will continue to take decisive action going forward.

I thank the noble Lord for that question; I know his interest in these matters. As your Lordships know, we have held steady and cut the price of fuel duty, which has had a significant impact for drivers. In fact, in comparison to the work of the last Government, the price of diesel has reduced by 11p per litre. We understand that people in this country face real price issues and we take energy prices very seriously. We have taken consistent action and are consistently moving forward; we have cut VAT off electricity bills and £150 has been lifted too. We will continue to take decisive action going forward.

My Lords, the noble Baroness will know that the CMA in its August report expressed continuing concern about the use of passive pricing in motorway stations. It will follow this up in its autumn review. If it finds that this is continuing, will the Government consider further action and will they consider giving the CMA more interventionist powers?

My Lords, the noble Baroness will know that the CMA in its August report expressed continuing concern about the use of passive pricing in motorway stations. It will follow this up in its autumn review. If it finds that this is continuing, will the Government consider further action and will they consider giving the CMA more interventionist powers?

I should have said earlier that we recognise that prices are higher at motorway service stations in particular. It seems that the app is very popular, and it will make for decisive action, but the Competition and Markets Authority’s findings recognise the weaknesses in that and more regulation and authority are built in for the Competition and Markets Authority to take action. We will hold that under constant review because, of course, we put consumers’ interest first.

I should have said earlier that we recognise that prices are higher at motorway service stations in particular. It seems that the app is very popular, and it will make for decisive action, but the Competition and Markets Authority’s findings recognise the weaknesses in that and more regulation and authority are built in for the Competition and Markets Authority to take action. We will hold that under constant review because, of course, we put consumers’ interest first.

On these Benches, we support all measures to stop price gouging. However, Trump’s war and refinery pressures are narrowing supplies and increasing diesel prices. As the UK imports more than half of our diesel and a good proportion of that from America, now that Russian diesel is entering American systems, what assurances are we seeking that any American supplies are not Russian in origin? What consideration is being given to diversifying our supplies and increasing European refining capacity to help drive down prices?

On these Benches, we support all measures to stop price gouging. However, Trump’s war and refinery pressures are narrowing supplies and increasing diesel prices. As the UK imports more than half of our diesel and a good proportion of that from America, now that Russian diesel is entering American systems, what assurances are we seeking that any American supplies are not Russian in origin? What consideration is being given to diversifying our supplies and increasing European refining capacity to help drive down prices?

That is a very serious issue. The UK banned imports of Russian oil in December 2022. That ban applies to all oil and oil products that originate in Russia, irrespective of the way that they enter the UK. We are absolutely clear—our commitment is ironclad—that we support Ukraine and will continue our sanctions on Russia. On the other dimension, we are working with international partners to diversify supplies. We are working hard with the G7 countries to ensure that we tackle this issue. We will keep fuel markets open and have a commitment to avoid export restrictions between G7 members.

That is a very serious issue. The UK banned imports of Russian oil in December 2022. That ban applies to all oil and oil products that originate in Russia, irrespective of the way that they enter the UK. We are absolutely clear—our commitment is ironclad—that we support Ukraine and will continue our sanctions on Russia. On the other dimension, we are working with international partners to diversify supplies. We are working hard with the G7 countries to ensure that we tackle this issue. We will keep fuel markets open and have a commitment to avoid export restrictions between G7 members.

My Lords, as the Minister has pointed out, the app is an important way of introducing price competition. But, as the noble Lord, Lord Moylan, has pointed out, using an app while driving would be illegal. Other countries have signage that shows dynamically the pricing at a number of fuel stations ahead so that you can choose which one to use. Is that something the Government have considered?

My Lords, as the Minister has pointed out, the app is an important way of introducing price competition. But, as the noble Lord, Lord Moylan, has pointed out, using an app while driving would be illegal. Other countries have signage that shows dynamically the pricing at a number of fuel stations ahead so that you can choose which one to use. Is that something the Government have considered?

I asked that myself when I was being briefed for this Question. I am told that private customers drive 18% of their miles on the motorway network but make only 1% of their fuel purchases at a motorway service area. Also, the technology will be built into satnavs and other technology that has been introduced into cars to make it safe and reliable for consumers to use. There is almost 98% compliance with this model and we are confident that it can be used safely and effectively, but we will keep it under review.

I asked that myself when I was being briefed for this Question. I am told that private customers drive 18% of their miles on the motorway network but make only 1% of their fuel purchases at a motorway service area. Also, the technology will be built into satnavs and other technology that has been introduced into cars to make it safe and reliable for consumers to use. There is almost 98% compliance with this model and we are confident that it can be used safely and effectively, but we will keep it under review.

If you can find diesel at £2 a litre, 86p is taxation. Is this not unacceptable tax gouging by the Government with the increased VAT and should they not relieve the pressures?

If you can find diesel at £2 a litre, 86p is taxation. Is this not unacceptable tax gouging by the Government with the increased VAT and should they not relieve the pressures?

I have just drawn the House’s attention to the fact that we have cut VAT on electricity in recent years. That has assisted consumers, which is our priority. We are concerned about energy prices. We know that for many people they are unaffordable, but, unlike the last Government, we believe our future is in clean energy. Energy security is the way to get us off the growing fossil fuel accelerator and away from the exposure that we have to the volatility within the market. That is the way to get stability and security in the market, and that is popular with the British public.

I have just drawn the House’s attention to the fact that we have cut VAT on electricity in recent years. That has assisted consumers, which is our priority. We are concerned about energy prices. We know that for many people they are unaffordable, but, unlike the last Government, we believe our future is in clean energy. Energy security is the way to get us off the growing fossil fuel accelerator and away from the exposure that we have to the volatility within the market. That is the way to get stability and security in the market, and that is popular with the British public.

I thank the noble Baroness for her very wise words there. Should we not be taking a stronger stand on those who are against net zero and advocating greater use of electric cars? In turn, for those of us who use electric cars and call at service stations, should we not ensure that the service stations run systems that charge quickly and are regularly serviced and all working?

I thank the noble Baroness for her very wise words there. Should we not be taking a stronger stand on those who are against net zero and advocating greater use of electric cars? In turn, for those of us who use electric cars and call at service stations, should we not ensure that the service stations run systems that charge quickly and are regularly serviced and all working?

Again, that is a significant point. We have a commitment to maximising opportunities to use electric cars, and we will look at all possibilities in doing that. To pick up the noble Lord’s other point about our commitment to clean energy and net zero, the solution to these issues absolutely lies in the development of clean, homegrown energy. That is the route to getting bills down. We need to get away from the volatility of the fossil fuel market. Net zero is a solution to many of the problems that we face in this country.

Again, that is a significant point. We have a commitment to maximising opportunities to use electric cars, and we will look at all possibilities in doing that. To pick up the noble Lord’s other point about our commitment to clean energy and net zero, the solution to these issues absolutely lies in the development of clean, homegrown energy. That is the route to getting bills down. We need to get away from the volatility of the fossil fuel market. Net zero is a solution to many of the problems that we face in this country.

My Lords, I declare my interests as chair of Amey, Acteon and Buckthorn Partners. Britain currently has only around 25 days of oil stockpiled—well below the IEA’s 90-day emergency reserve requirement. That leaves us increasingly at the behest of exporters, despite what the Minister has just said, including for fractions of oil products from Russian crude refined in Turkey. Meanwhile, under this Government, two out of the six oil refineries have been closed. Does the Minister not agree that now is the time to lift the carbon taxes which make our refineries uncompetitive, which in turn pushes up the cost of diesel? Does she agree with Gary Smith, head of the GMB, who, admittedly taking a consistent and balanced view of the Labour Government’s energy

policy, has called for DESNZ to be renamed the “Department of P45s” and called its energy policy “batshit crazy”?

My Lords, I declare my interests as chair of Amey, Acteon and Buckthorn Partners. Britain currently has only around 25 days of oil stockpiled—well below the IEA’s 90-day emergency reserve requirement. That leaves us increasingly at the behest of exporters, despite what the Minister has just said, including for fractions of oil products from Russian crude refined in Turkey. Meanwhile, under this Government, two out of the six oil refineries have been closed. Does the Minister not agree that now is the time to lift the carbon taxes which make our refineries uncompetitive, which in turn pushes up the cost of diesel? Does she agree with Gary Smith, head of the GMB, who, admittedly taking a consistent and balanced view of the Labour Government’s energy

policy, has called for DESNZ to be renamed the “Department of P45s” and called its energy policy “batshit crazy”?

I have been known to disagree with the honourable gentleman Gary Smith before, and I think here he is mistaken. We have lifted some of the renewables obligation off bills already, but the noble Lord completely gets the balance wrong. It is completely wrong for the Conservatives to suggest that the problems we face are due to renewables obligations or carbon taxes. That is quite wrong, and it is an attempt on their part to mask our exposure to the international markets because they did so little about that. That is the core and the fundamentals of the problem; if we are ever going to solve this, then that is what we must address. Homegrown clean energy is the answer. It will stop our exposure to the volatile price rises that people are experiencing now, and the British public know that. When they see the Middle East crisis on the news, they worry about it and they know that it has an impact on their bills. That is what we must address.

I have been known to disagree with the honourable gentleman Gary Smith before, and I think here he is mistaken. We have lifted some of the renewables obligation off bills already, but the noble Lord completely gets the balance wrong. It is completely wrong for the Conservatives to suggest that the problems we face are due to renewables obligations or carbon taxes. That is quite wrong, and it is an attempt on their part to mask our exposure to the international markets because they did so little about that. That is the core and the fundamentals of the problem; if we are ever going to solve this, then that is what we must address. Homegrown clean energy is the answer. It will stop our exposure to the volatile price rises that people are experiencing now, and the British public know that. When they see the Middle East crisis on the news, they worry about it and they know that it has an impact on their bills. That is what we must address.

My Lords, while I completely agree with the analysis that the Minister has just given of the importance of maintaining the course to homegrown renewable energy, can she tell me what the Government are going to do? We need considerable investment in grid infrastructure and in the work of the national grid so that we have the connectivity to make use of the energy that we are producing naturally.

My Lords, while I completely agree with the analysis that the Minister has just given of the importance of maintaining the course to homegrown renewable energy, can she tell me what the Government are going to do? We need considerable investment in grid infrastructure and in the work of the national grid so that we have the connectivity to make use of the energy that we are producing naturally.

That is a vital point, and it tempts me yet again to draw comparisons between the work of this Government and that of the previous one, who neglected grid infrastructure. We are paying a heavy price for that neglect. We have taken considerable action in trying to speed up connections and sort out the queue and a lot of the inconsistencies and difficulties in the grid infrastructure. I take this opportunity to highlight the announcement made recently about the creation of “Great British Grid”, which will fundamentally address some of these issues and allow the Government and business to work together to speed up connections. It is a huge challenge in government and something that we must address.

That is a vital point, and it tempts me yet again to draw comparisons between the work of this Government and that of the previous one, who neglected grid infrastructure. We are paying a heavy price for that neglect. We have taken considerable action in trying to speed up connections and sort out the queue and a lot of the inconsistencies and difficulties in the grid infrastructure. I take this opportunity to highlight the announcement made recently about the creation of “Great British Grid”, which will fundamentally address some of these issues and allow the Government and business to work together to speed up connections. It is a huge challenge in government and something that we must address.

To ask His Majesty’s Government what assessment they have made of the price of petrol and diesel at motorway service stations.

To ask His Majesty’s Government what assessment they have made of the price of petrol and diesel at motorway service stations.

Petrol and diesel prices hit record highs in July 2022. They had fallen back substantially, but have spiked since the start of the Middle East conflict.

Petrol and diesel prices hit record highs in July 2022. They had fallen back substantially, but have spiked since the start of the Middle East conflict.

To ask the Secretary of State for Energy Security and Net Zero, whether his Department holds any government-owned strategic reserve of (a) petrol and (b) diesel for emergency use, separate from industry stockholding obligations.

To ask the Secretary of State for Energy Security and Net Zero, whether his Department holds any government-owned strategic reserve of (a) petrol and (b) diesel for emergency use, separate from industry stockholding obligations.