HC Deb 13 January 2004 vol 416 cc711-2W
Mr. Burstow

To ask the Secretary of State for Health what assessment he has made of the impact on the NHS of planned increases in gas prices; and what assumptions were made in the comprehensive spending review about the cost of gas and electricity supplies to the NHS. [146354]

Mr. Hutton

National health service gas is bought on a variety of contract options, contract start dates and differing indices. This limits exposure to severe increases across the portfolio, although individual sites may have experiences significantly above or below average, largely due to timing.

The total actual increases in gas costs for the NHS in 2003–04 will be approximately £7 million over and above the 2002–03 figure. If all gas had been bought at the highest peak prices so far in 2003–04, the increase would have been approximately £15.1 million.

As far as I am aware there are no further planned increases in gas prices beyond usual market forces.

In the comprehensive spending review, in 1998 and subsequent spending reviews in 2000 and 2002, there has been no special provision for inflation in gas and electricity prices. These have been covered by the general prices inflation.