Scottish Questions - Electricity Generation

Scottish Affairs

23-Apr-2008

Mr. Michael Moore (Berwickshire, Roxburgh and Selkirk) (LD): Regardless of how Scotland’s electricity supply is produced, people across the country are facing massively increased fuel bills. That is particularly true in rural areas. Will the Minister therefore explain how the abolition of the 10p rate of income tax is going to help with the Government’s stated aim of abolishing fuel poverty?

The Minister of State, Scotland Office (David Cairns): I first welcome the hon. Gentleman to his promotion to shadow Secretary of State for Scotland. I can see looks of great relief on the faces of some of those sitting behind him that he has accepted the post. What has happened to fuel costs is a global phenomenon. A few years ago, the price of a barrel of oil was $10; today it is $117. Of course that puts pressure on the tremendous inroads that we have made in reducing fuel poverty. That is why the Chancellor of the Exchequer and Treasury Ministers met the fuel companies to discuss the extension of social tariffs, and why we have increased the winter fuel payment, which is now worth considerably more than any previous scheme. We have done that precisely to help people who are facing rising fuel bills, and we will continue to take action because we believe that fuel poverty is a genuine social evil that has to be combated.

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