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Energy: Taxation

Question for Department for Business, Energy and Industrial Strategy

UIN 143601, tabled on 21 March 2022

To ask the Secretary of State for Business, Energy and Industrial Strategy, what recent assessment his Department has made of the (a) continuing need for green levies on energy bills and (b) the financial impact of green levies on consumers.

Answered on

30 March 2022

According to Ofgem, environmental and social policy costs have totalled 25.48 percent on electricity bills and 2.46 percent on gas bills in 2020. However, over the past 10 years their net effect has been to reduce consumer energy bills.

These levies fund vital support schemes and energy efficiency measures which benefit low income and vulnerable households, as well as investing in the UK’s home-grown renewable energy sector.