Select Committee · Energy Security and Net Zero Committee

The cost of energy

Status: Open Opened: 18 Feb 2025 9 recommendations 26 conclusions 1 report

In October last year the Committee published its i nterim report on the high costs of energy in the UK making recommendations on how costs fall on consumers in the retail side of the sector. In the second part of this inquiry, the Committee is looking at where costs arise in the system that result …

Clear

Reports

1 report
Title HC No. Published Items Response
5th Report - Tackling the energy cost crisis HC 736 29 Oct 2025 35 Responded

Recommendations & Conclusions

7 items
2 Recommendation 5th Report - Tackling the energy cost c… Not Addressed

Establish an Energy Data Sharing Taskforce to improve support schemes and tackle fuel poverty.

The Government should immediately establish an Energy Data Sharing Taskforce involving energy suppliers, government departments, HMRC, local authorities, the National Health Service and relevant third parties. This should establish clear and effective mechanisms for data sharing with the specific ambition to improve the delivery of support schemes, enable the introduction …

Government response. The government's response acknowledges the importance of data sharing and describes ongoing work with various departments and an existing industry working group, but it does not commit to establishing the specific 'Energy Data Sharing Taskforce' as recommended.
Department for Energy Security and Net Zero
14 Conclusion 5th Report - Tackling the energy cost c… Not Addressed

Introduce ambitious Energy Debt Relief Scheme funded by energy network windfall profits.

Ofgem should introduce an ambitious Energy Debt Relief Scheme, funded by windfall profits made by energy network companies, that has broad eligibility and provides support automatically, without consumers having to apply or agree a repayment plan. The regulator should consult, by spring 2026, on a more permanent scheme to provide …

Government response. The government's response focuses on Ofgem's ongoing price control reforms (RIIO-3) to prevent future windfall profits and manage existing debt recovery mechanisms, but does not address the recommendation for Ofgem to introduce an Energy Debt Relief Scheme or consult on …
Department for Energy Security and Net Zero
17 Conclusion 5th Report - Tackling the energy cost c… Not Addressed

Set Energy Price Cap equally for all customers, regardless of chosen payment method.

Ofgem should set the Energy Price Cap at an equal level for all customers, regardless of their chosen payment method, taking effect from the price cap period January to March 2026. It must also ensure that customers who are in energy debt are given greater flexibility to switch their supplier …

Government response. The government's response explains the existing role of the Energy Price Cap and Ofgem's responsibility for its methodology, and highlights the Warm Homes Plan to make bills affordable, but does not address the specific recommendations for Ofgem to equalize the …
Department for Energy Security and Net Zero
19 Conclusion 5th Report - Tackling the energy cost c… Not Addressed

Reform standing charges to exempt electric converters and limit prepayment meter burden.

Ofgem should exempt customers from having to pay the gas standing charge if they convert their home to electrical heating and no longer otherwise need a gas service. They should also work with retailers so that the accumulation of standing charges over the summer months by pre- payment meters do …

Government response. The government's response mentions a consultation to reduce standing charges by moving Warm Home Discount costs to the unit rate and discusses future reviews related to gas disconnections and network transition, but does not address the specific recommendations for Ofgem …
Department for Energy Security and Net Zero
28 Conclusion 5th Report - Tackling the energy cost c… Not Addressed

Extend Energy Ombudsman coverage to all small businesses; increase maximum pay award to £50,000.

All small and micro sized businesses should be covered by the Energy Ombudsman to provide a streamlined and widely understood process for dispute resolution across the entire sector. The maximum pay award that the Energy Ombudsman can grant to businesses should be increased to £50,000, to reflect the scale of …

Government response. The government response does not address the recommendation to cover all small and micro businesses by the Energy Ombudsman or to increase its maximum pay award to £50,000. It focuses on strengthening the EO's general powers and implementation of rulings …
Department for Energy Security and Net Zero
32 Recommendation 5th Report - Tackling the energy cost c… Not Addressed

Clarify funding for industrial competitiveness schemes and pre-2027 business support.

In its response to this Report, the Government should clarify how exactly it will fund the British Industrial Competitiveness Scheme and other support measures to reduce industrial energy costs in the Industrial Strategy. It must also clearly explain how it will support businesses prior to their introduction in 2027. (Recommendation, …

Government response. The government's response outlines various support measures but fails to clarify how the British Industrial Competitiveness Scheme will be funded or how businesses will be supported prior to its introduction in 2027, as specifically requested by the committee.
Department for Energy Security and Net Zero
35 Recommendation 5th Report - Tackling the energy cost c… Not Addressed

Require energy suppliers to itemise and publish all non-commodity costs on business bills.

We recommend that Ofgem require energy suppliers to clearly itemise and publish online all non-commodity costs charged on business energy bills to ensure full transparency of all costs. (Recommendation, Paragraph 118) 49

Government response. The government's response discusses general protections in the non-domestic energy market and the regulation of brokers but does not specifically address the recommendation for Ofgem to require energy suppliers to itemise and publish all non-commodity costs online.
Department for Energy Security and Net Zero

Oral evidence sessions

8 sessions
Date Witnesses
17 Mar 2026 Jonathan Mills CB · Department for Energy Security and Net Zero, Michael Shanks MP · Department for Energy Security and Net Zero View ↗
4 Mar 2026 Akshay Kaul · Ofgem, Claire Dykta · National Grid Electricity System Operator (ESO), Fintan Slye · National Energy System Operator (NESO), Jonathan Brearley · Ofgem, Jonathan Brearley · Department for Energy Security and Net Zero View ↗
21 Jan 2026 Dr Alastair Martin · Flexitricity, Dr Waqquas Bukhsh · University of Strathclyde, Katrina Young · Energy Systems Catapult, Lawrence Slade · Energy Networks Association (ENA), Professor Jacopo Torriti · University of Reading, Sarah Honan · The Association for Decentralised Energy View ↗
10 Dec 2025 Adam Bell · Stonehaven, Ana Musat · RenewableUK, Professor Michael Grubb · UCL, Susie Elks · E3G, Tom Edwards · Cornwall Insight, Tom Glover · RWE View ↗
15 Oct 2025 Andrew Ward · Scottish Power Customer Business, Chris Norbury · E.ON UK, Chris O'Shea · Centrica, David Buttress · OVO Energy, Rachel Fletcher · Octopus Energy, Simone Rossi · EDF View ↗
9 Jul 2025 Arjan Geveke · Energy Intensive Users Group, Beth Barker · Aldersgate Group, David Mitchell · Chemical Industries Association, David Wigham · Admiral Taverns; and representing British Beer and Pub Association, Paul Wilson · Federation of Small Business, Verity Davidge · Make UK View ↗
25 Jun 2025 Alex Belsham-Harris · Citizens Advice, Beth Martin · Ofgem, Dr Raj Roy · Centrica, Ed Dodman · Ombudsman Services, Jonathan Brearley · Ofgem, Jonathan Lenton · Energy Ombudsman, Katie Watts · MoneySavingExpert View ↗
4 Jun 2025 Angus McCarey · Uswitch, Caroline Abrahams · Age UK, Dhara Vyas · Energy UK, Maria Booker · Fair By Design, Matt Copeland · National Energy Action, Merlin Hyman · Regen View ↗