Liam Fox – 2016 Parliamentary Question to the Department for Energy and Climate Change

The below Parliamentary question was asked by Liam Fox on 2016-01-11.

To ask the Secretary of State for Energy and Climate Change, if her Department will liaise with Ofgem in taking steps to ensure that savings accrued to suppliers are returned to consumers in lower prices.

Andrea Leadsom

The government expects suppliers to pass through to consumers any reductions in the costs of supplying energy.

Strong competition is key to ensuring that prices are kept as low as possible and reductions in the costs of supplying energy are passed through to consumers. There are now 34 companies supplying gas and electricity to households, compared to 13 in 2010.

The Government has worked with the industry to cut the time it takes to switch from 5 weeks to 17 days. We are now working with Ofgem to deliver reliable next day switching by 2018.

Smart meters will make the energy market more accessible, and energy consumers will feel more in control. This increased engagement will drive a more vibrant and competitive market.

Ofgem has referred the energy markets to the Competition and Markets Authority for investigation. The Government has committed to acting on the Competition and Market Authority’s recommendations which are due to be published by June this year.