A quarter of a million low-income households could save up to £620 on their energy bills if the Government uses part of the existing Warm Homes Plan funding to support the installation of solar panels, batteries and clean heating systems.
A new report by Energy UK calls for the creation of a new Energy Upgrade Grant, backed by £1.5 billion from money recently committed by the Government to install new clean technologies in low-income households. If introduced quickly, it could even see as many as 34,000 households benefit as soon as this winter, shielding them from rising energy bills as a result of the conflict in Iran.
The Government recently committed £5 billion to programmes supporting low-income households to install low-carbon technologies like solar panels, batteries and heat pumps. The funding is part of the Government’s wider £15 billion Warm Homes Plan.
Clean Heat: Supporting low-income households finds that if the proposed Energy Upgrade Grant was backed by £1.5 billion of Warm Homes Plan funding, it could give 250,000 households an average annual saving of £620, representing 37% of a typical energy bill.
The report also proposes the creation of a Local Delivery Fund, with around £1 billion allocated to local authorities for community-led projects. The Local Delivery Fund would enable street-by-street delivery of low-carbon technologies which would help create planning and supply chain efficiencies, reduce disruption for residents and lower costs through economies of scale.
Taken together, the proposals would accelerate the rollout of low-carbon technologies, bring down household energy bills, and strengthen the UK’s energy security by reducing its reliance on fossil fuels.
Stephanie Holmes, Policy Executive at Energy UK and author of the report, said:
“The conflict in the Middle East demands an urgent response to help low-income households in a way that will bring down their bills now and in the longer term.
“A realistic approach to place-based delivery, alongside a rapid rollout of a low-carbon grant scheme that helps people install solar panels, heat pumps and batteries, is the best way to protect households across the country from the volatile gas prices that have become all too familiar.”
ENDS
Notes to Editors
This is the latest in Energy UK’s series of reports on clean heat – to see the others and find out more about Energy UK’s work on this issue visit our clean energy hub.
About Energy UK
Energy UK is the trade association for the energy industry, representing companies investing billions of pounds to secure our country’s current and future energy needs.
From growing start-ups to major electricity generators, grid and infrastructure developers and energy suppliers, our members are driving change across power, heat, transport and flexibility.
We provide a collective voice for the sector working with governments, regulators, charities and other organisations to provide crucial insight that shapes policy, offers solutions and promotes best practice. Our broad view across the whole system supports evidence-based positions which are not tied to particular technologies, and are focused on delivering strategic benefits for people, businesses and the economy. We champion initiatives such as our Vulnerability Commitment, which pushes suppliers to go beyond regulation to support customers with additional needs, and TIDE, the industry’s drive for greater inclusion and diversity. Through our Young Energy Professionals Forum, we support the development of future leaders. We are equally committed to our team and are proud to be recognised as a Platinum Investors in People employer
