Recommendations & Conclusions
6 items
13
Conclusion
19th Report - Energy Bills Support
Deferred
The Department acknowledged that it does not have “a full answer at this stage” to the issues with matching income data with energy supplier data, despite it being almost three years since the spike in energy prices.31 Fair by Design highlighted that combining wider data from different departments alongside supplier …
Government response. The government is taking the opportunity to review options for better targeting of future bill support beyond March 2026, and is working with other government departments, energy suppliers, and stakeholders to consider options for improving data sharing and data matching …
HM Treasury
19
Conclusion
19th Report - Energy Bills Support
Deferred
Alongside a rise in energy prices, Ofgem statistics from June 2024 show the total owed by domestic consumers for both electricity and gas was over £3.7 billion compared with £1.8 billion at the end of 2021.51 A report by Clear Consultancy Services suggested that millions of people are living in …
Government response. The government disagrees and proposes that Ofgem, as the market regulator, is better suited than DESNZ to collect pertinent information and evaluate the guidance provided to energy customers experiencing debt. They are actively working with Ofgem to refine these processes.
HM Treasury
20
Conclusion
19th Report - Energy Bills Support
Deferred
The Department recognised this as a serious issue. It made clear that, because in the first instance consumers facing energy debts should contact their energy supplier, the regulatory regime should that require suppliers to offer “good, accurate and helpful advice” and that the Department was expecting this of Ofgem. It …
Government response. The department proposes that Ofgem, as the market regulator, is better suited than DESNZ to collect pertinent information and evaluate the guidance provided to energy customers experiencing debt and is working with Ofgem to refine these processes.
HM Treasury
21
Conclusion
19th Report - Energy Bills Support
Deferred
The United Kingdom has the highest price (including taxes and levies) for domestic electricity out of 25 International Energy Agency (IEA) countries reporting in 2023. Similarly, the UK has the highest price (including taxes and levies) for industrial electricity out of 24 IEA countries, again reporting in 2023.59 The price …
Government response. The government agrees rebalancing is needed and will set out proposals in due course, with a target implementation date of July 2025, but notes the complexity and difficult fiscal environment.
HM Treasury
22
Conclusion
19th Report - Energy Bills Support
Deferred
The Department recognised that rebalancing was an important issue, given the ratio of electricity to gas prices was “high compared to many comparative countries” as a “lot of the policy [ … ] and network costs in this country are placed on electricity rather than on gas”.61 But it has …
Government response. The government agrees rebalancing is needed and will set out proposals in due course, with a target implementation date of July 2025, but notes the complexity and difficult fiscal environment.
HM Treasury
23
Conclusion
19th Report - Energy Bills Support
Deferred
Three years ago, in April 2022, the previous government launched its Review of Electricity Market Arrangements (REMA) as part of its British Energy Security Strategy. This was the government’s flagship policy to enable a net 59 Q 68; Department for Energy Security and Net Zero, Quarterly Energy Prices UK April …
Government response. The government will publish a decision on whether to adopt Zonal Pricing or Reformed National Pricing by mid-2025, and will provide the Committee with a timetable for implementing the proposals for change.
HM Treasury