Yesterday I updated the House on the UK gas market. As I said in my statement, protecting consumers is our primary focus and is shaping our entire approach to the issue; they must come first.
I welcome the new members of the Business, Energy and Industrial Strategy ministerial team. We had a great team before the reshuffle, but I am pleased that we have a good team with us today.
Over the summer, my Department has been abuzz with activity. We have introduced our innovation strategy and the hydrogen strategy, and outlined the new round for our contracts for difference scheme. It has been an excellent way to start and I look forward to continuing in that vein.
Thank you, Mr Speaker; for a minute, I thought you were going to miss me out!
I welcome the fact that the Secretary of State launched the Government’s hydrogen strategy in my constituency at ITM Power, which is a leading green hydrogen producer. The German strategy is totally committed to green hydrogen alone, and of course the Germans have put substantially more funding in than we have into this country’s strategy. The Government have an aspiration to replace all fossil fuel boilers in this country by the 2030s. That ambition is important for reducing carbon emissions and for the security of our energy supplies. Does the Secretary of State agree that we can deliver on that ambition only with a much more significant commitment from the Government to develop and install green hydrogen boilers across the country?
The hon. Gentleman is quite right. I make no apology for the fact that we have a twin-track approach in the hydrogen strategy. We have endorsed the production of green hydrogen, as he has described the German Government have done. We have also endorsed the production of blue hydrogen, because in the first instance, as he will understand, blue hydrogen is much cheaper than green hydrogen. In order to kickstart a hydrogen economy, we need a cheap source of decarbonised hydrogen. As such, blue hydrogen represents a transition to an economy that can be driven more by green hydrogen. The twin-track approach that we have outlined is certainly the best one.
T3. I recently held an event for leading Worcestershire businesses on the journey to COP26 and net zero, and was impressed with their plans for investment. Will the Secretary of State reassure the House that now that one in six cars purchased in this country are electric, the grid will be strengthened in rural areas to ensure the widespread adoption of this new technology?
I know, as a former Treasury Minister, that my hon. Friend is very focused on making the green transition as economically successful as possible. I and others in the Government are very focused on getting a proper electric vehicle charge roll-out, and I would be happy to speak to her to discuss the plans that we have adopted.
Families looking at soaring gas prices will be deeply worried about how they will pay their bills. One of the reasons UK households are particularly vulnerable is the Government’s failure on home insulation. Emissions from buildings are in fact higher today than in 2015. I am afraid to say that the Secretary of State’s record is abysmal, with the fiasco of the green homes grant, cuts to spending, a heat and buildings strategy originally promised for spring 2020 which is still not published, and no proper plan for retrofit. Will he admit that families this winter will be paying the price of the Government’s failure on home insulation?
I will not admit that at all. The right hon. Gentleman got the date wrong—it was to be published in quarter 1 of 2021. I was the Energy Minister who said that.
Yes, it is still late, and I want to publish it as quickly as possible. I can admit that candidly.
The right hon. Gentleman talks about the green homes grant. I remind him that of the £3 billion that was sequestered—ringfenced—for the green homes grant, £1.5 billion was disbursed through Salix for public buildings, and that worked very well, while £500 million was disbursed by local authorities, and that was successful. The owner-occupier bit of it was a six-month programme —a short-term fiscal stimulus—that we have closed, and we are going to have a replacement imminently.
It is a complete fiasco. The Secretary of State actually cut the money that was supposed to be allocated to homeowners.
At least half a million families are going to be thrown into fuel poverty by the rise in energy prices. On top of that, along with national insurance rises, millions of families are facing a £1,000 a year cut in universal credit in just 10 days’ time. It is a Tory triple whammy made in Downing Street. Will the Secretary of State stand up for the millions of people who are deeply worried about their bills and tell the Prime Minister that he should cancel the universal credit cut?
I have a sense of déjà vu, as we addressed this issue directly yesterday. The right hon. Gentleman knows with his experience—I was going to say in government but I mean and in opposition—that universal credit is a matter for the Chancellor, in discussion with my right hon. Friend the Secretary of State for Work and Pensions.
T6. The space sector presents us with huge opportunities for the future prosperity of this country. What plans is my right hon. Friend developing with regard to the implementation, ownership, governance and funding of key elements of the national space strategy?
I pay tribute to my hon. Friend, who has been a phenomenal champion of science and technology in space. I am delighted to say that the Government are very shortly to publish our national space strategy, into which we put a huge amount of work. In addition to the £1.4 billion that we spend on defence space activities in our innovation strategy, we are looking to make sure that we boost the wider science and technology applications of our £16.4 billion space sector.
T5. I was privileged to meet the international legend Doddie Weir before leading a debate on the petition he created on motor neurone disease in support of the targeted £50 million expenditure. I have certainly been convinced by his arguments, and we have heard cross-party support here today. Will the Secretary of State now commit to support this spending review bid?
Absolutely. In relation to this question, I pointed out that UKRI spent £15.9 million in the last fiscal year. The UKRI portion of our Department’s spend is being negotiated in the course of the spending review. I would be very happy to follow the guidance of the hon. Gentleman and make sure that we properly fund research into motor neurone disease.
Cherilyn Mackrory (Truro and Falmouth) (Con)
T7. Cornish Lithium, alongside Geothermal Engineering Ltd, will play a vital role in levelling up across Cornwall with the economic and job opportunities that they can provide. Will the Secretary of State, or a Minister, commit to visiting Cornish Lithium and GEL with me in the near future so that we can show him why their project very much deserves to have continued support from Government?
My hon. Friend is absolutely tireless in promoting Truro and Falmouth. The project she mentions is very interesting. Last year, the new Foreign Secretary, my right hon. Friend the Member for South West Norfolk (Elizabeth Truss), made a successful visit to the site. Subject to diary commitments, I or the Secretary of State would be delighted to visit to see the latest progress, which is supported, in part, by our Getting Building fund.