Latest news with #WarmHomesPlan
New Statesman
8 hours ago
- Business
- New Statesman
Ed Miliband keeps winning
Photo byIt's been a cheery couple of weeks for Ed Miliband. Despite a raft of negative briefings in the weeks prior to the spending review, Miliband's Department for Energy Security and Net Zero ended up being one of Rachel Reeves' biggest winners. Alongside the cancellation of a previously trailed cut to the Warm Homes Plan, DESNZ received a 16 per cent increase in spending power (more than any other department). And now, following a period of internal wrangling with the Number 10 and the Treasury, the former Labour leader has announced the extension of the Warm Homes Discount, a policy which offers a £150 energy bills discount to those on low incomes. Insiders tell me it is something the Energy Secretary has been working on behind the scenes for months. Energy bills – and the government's pledge to cut them by £300 before the end of the parliament – will be a key metric of Labour's success at the next election. Frustration over the slow pace of reduction, alongside fury over the Winter Fuel Payment, were big issues on the doorstep during the locals (it wasn't a good night for Labour). In the wake of voting, one insider close to Miliband pointed to the Warm Homes Discount – which was first introduced in 2011 – and questioned why the government did not make more of it following the decision to cut Winter Fuel. It is, after all, a means-tested benefit intended to support not just elderly people, but millions of households on low incomes to reduce their energy bills. The extension announced on Thursday will see a further 2.7 million households eligible to receive this benefit; over 6 million households will now be able to access the discount. It will be paid for via a deal which the government has struck with the energy regulator, Ofgem. Currently, energy bills include the socialised costs of energy companies' unpaid debts, the government has done a deal to reduce the overall debt burden on energy companies. This accompanies the recent cut to the Energy Price Cap, which comes into effect in July, meaning a double whammy of energy bill reductions. All of this suggests that despite speculation that Keir Starmer might be about to make an about-turn on support for net zero, the Prime Minister is firmly staying put. Not only has Miliband's funding been bolstered, but his department has been responsible for some of the government's most recent positive news: 100,000 new jobs at Sizewell C, solar panels for newbuild homes, schools, and hospitals, and now the extension of the Warm Homes Discount. And Starmer has made clear that, in directly taking on Nigel Farage, he won't look to ape the Reform UK's net zero scepticism but will seek to prove how the green transition can help low-income, marginalised communities, as well as slashing the UK's carbon emissions. That Starmer is staying close to Miliband is unsurprising. The PM has, after all, always been environmentally minded (he is a pescatarian, did you know?). Perhaps his most famous case as a human rights lawyer was representing two Greenpeace Activists against McDonalds in the 1997 McLibel trial. Starmer, who's former Kentish Town home is a short walk from Miliband's ends in Dartmouth Park, was also encouraged to run to be an MP in 2015 by his predecessor as Labour leader. The pair have a shared political history; it's easy to speculate that Starmer feels some loyalty there. Subscribe to The New Statesman today from only £8.99 per month Subscribe Connections aside, it's clear Starmer sees the electoral benefit of his Energy Secretary's clean power drive, particularly after the disastrous Winter Fuel Payment saga and the government's subsequent U-turn. Reducing the UK's reliance on imported natural gas and other fossil fuels will lead to lower energy bills; a result on which Starmer's premiership will be heavily judged (and to some extent, already is). And in this new turbulent international climate – the arguments for energy security remain; Miliband was the first to make them. After months of underestimation from his detractors, the Energy Secretary and his agenda are safe, for the time being. It all now rests on the success of his delivery. Related
BBC News
12-06-2025
- Business
- BBC News
Spending Review
For more information on the Winter Fuel Payment announcement for 2025/26, click here, you have received a suspicious message regarding your energy bills, report it by clicking here, apply for the Warm Homes Plan, click here, learn more about the how announcements made in the chancellor's Spending Review will effect you, click here.
South Wales Argus
09-06-2025
- Business
- South Wales Argus
Winter fuel payment changes welcomed by campaigners
The payment, worth up to £300, will be restored to the vast majority of pensioners - around nine million in total - who previously received it because anyone with an income of under £35,000 a year will now get the payment automatically. Simon Francis, coordinator of the End Fuel Poverty Coalition, commented: "Finally the Chancellor has seen sense. Axing the Winter Fuel Payment for so many pensioners was a cruel cut to make. "Millions of pensioner households faced unaffordable energy costs last winter. While the changes will provide some relief to these households, there will still be pensioners unable to afford the high cost of energy and living in cold damp homes. "So now the Government must focus on how it supports all households in fuel poverty and implements the long term measures needed to bring down the cost of energy for good. This includes full investment in the Warm Homes Plan to improve energy efficiency of homes and market reforms to bring down the price households pay for electricity." The full details were announced here. Millions of pensioner households faced unaffordable energy costs last winter. While the changes will provide some relief to these households, there will still be pensioners unable to afford the high cost of energy and living in cold damp homes. So now the Government must focus… — End Fuel Poverty Coalition (@EndFuelPoverty) June 9, 2025 Devolved authorities in Scotland and Northern Ireland will each receive a funding uplift so they too can meet the new threshold. Independent Age chief executive Joanna Elson said: 'We are pleased that the UK Government has listened to the voices of older people on a low income and reconsidered what was an incredibly damaging change to the winter fuel payment. 'By widening the eligibility criteria, more older people in financial hardship will now receive this vital lifeline in time for winter. 'Our helpline receives thousands of calls from older people making drastic cutbacks just to get by and the changes to the winter fuel payment made this worse. For millions living on low incomes, the entitlement supports them to turn their heating on and stock up on food during the colder months. 'While the changes to the winter fuel payment are positive, they are not a silver bullet that will end pensioner poverty.' She added: 'There needs to be a cross-party consensus on the adequate income needed in later life to avoid financial hardship. Once this is established, every older person should be supported to receive this amount. Nobody should have to live in poverty as they age.' Also welcoming the Government's announcement, Carole Easton, chief executive at the Centre for Ageing Better, said: 'The Government is right to revisit the eligibility of winter fuel payments. 'It was always clear that setting the pension credit eligibility as the threshold of support was too low and would put the health of millions of low-income pensioners at risk.' She said 'the dangers of cold homes are very real', adding: 'Living in a cold home can harm people in numerous ways, including increased blood pressure which increases heart attack risk, suppressed immune response which increases risk of respiratory infections such as pneumonia and chest infections. 'Cold conditions reduce dexterity and grip strength which can lead to dangerous falls, and they lead to worse mental health outcomes too. 'Reform of eligibility around the winter fuel payments will help avoid unnecessary suffering this winter. 'But we need a longer-term solution which eventually could reduce or remove the need for such payments.' Rachel Reeves said there was still 'work to do to ensure the sums always add up'. Caroline Abrahams CBE, Charity Director at Age UK said: 'The Government's Winter Fuel Payment announcement makes this a good day for older people. "The decision to restore the Winter Fuel Payment to 9 million pensioners - all but those on the highest incomes who should be able to pay their heating bills without it - is the right thing to do and something that will bring some much-needed reassurance for older people and their families. At Age UK we heard from many through the winter who were so frightened about their bills that they didn't even try to keep their homes adequately warm." The Chancellor told Sky News: 'The Office for Budget Responsibility increased the growth forecast for every other year in the forecast, they said that our reforms to the planning system would make the economy £6.8 billion bigger, bringing in additional tax revenue as well. 'And in the first quarter of this year, we were the fastest growing economy in the G7. 'There's still work to do to ensure that the sums always add up, but because of the decisions that we've made, because of the stability we've returned to the economy, we are now able to pay the winter fuel payment to more pensioners. 'We're not going back to the universal system. I don't think it is right that the very richest pensioners have their fuel bills subsidised, but this year nine million pensioners will get the winter fuel payments.' Pensioners who do not want to receive the payment will be able to opt out, according to the Treasury. The decision to limit the winter fuel payment to only those who claimed pension credit was one of Labour's first acts in Government, aimed at balancing what was described as a £22 billion 'black hole' in the public finances. This meant the number of pensioners receiving the payment was reduced by around 10 million, from 11.4 million to 1.5 million. The Treasury claims the new arrangement will cost £1.25 billion in England and Wales, while means-testing winter fuel will save the taxpayer £450 million. NEWS! Winter Fuel Payment to be reintroduced for all state pensioners but clawed back through tax if you earn £35,000+. My instant analysis of how it works, what it means and is it an improvement. (Still working on subtitled version, I will post a link to it in reply to this… — Martin Lewis (@MartinSLewis) June 9, 2025 Chancellor Rachel Reeves said: 'Targeting winter fuel payments was a tough decision but the right decision because of the inheritance we had been left by the previous government. 'It is also right that we continue to means test this payment so that it is targeted and fair, rather than restoring eligibility to everyone including the wealthiest. 'But we have now acted to expand the eligibility of the winter fuel payment so no pensioner on a lower income will miss out. 'This will mean over three-quarters of pensioners receiving the payment in England and Wales later this winter.' The news has also been welcomed by Money Saving Expert founder Martin Lewis, who said: "Winter Fuel Payment to be reinstated for all State Pensioners this winter, but then clawed back via tax system for all who earn over £35,000 (roughly average earnings). This is a big improvement." Age UK responds to news that nine million pensioners will receive a Winter Fuel Payment this winter — Age UK News (@AgeUKnews) June 9, 2025 Those with an income above this threshold will also receive the payment, but it will then be reclaimed from them in tax. To be eligible for the winter fuel allowance, a person will need to have reached state pension age by the week starting September 15 this year. Some two million pensioners who earn more than £35,000 will see their winter fuel payments clawed back via the taxman, the Treasury estimates. But, Kemi Badenoch, Leader of the Opposition, claimed the Prime Minister had 'scrambled to clear up a mess of his own making'. Recommended reading: Liberal Democrat Leader Sir Ed Davey said: 'Finally the Chancellor has listened to the Liberal Democrats and the tireless campaigners in realising how disastrous this policy was, but the misery it has caused cannot be overstated. 'Countless pensioners were forced to choose between heating and eating all whilst the Government buried its head in the sand for months on end, ignoring those who were really suffering. 'We will now study the detail of this proposal closely to make sure those who need support actually get that support. The pain they went through this winter cannot be for nothing.'
North Wales Chronicle
06-06-2025
- Business
- North Wales Chronicle
‘Momentum is building': Green industries praise clean energy rules for new homes
The Energy Department (Desnz) said on Friday that the future homes standard (FHS), which will be published in autumn, is expected to require new residential properties to have solar panels and low-carbon heating by default. With a significant amount of the UK's carbon footprint coming from gas heating of homes, the FHS will require new housing in England to produce fewer carbon emissions than those built under current regulations. The renewable energy sector, alongside green campaigners, have welcomed the 'common sense' proposals. Trevor Hutchings, chief executive of the Renewable Energy Association (REA) said: 'The growth of solar power has been one of the UK's biggest renewable energy success stories, demonstrating without a doubt that we don't have to choose between lowering our emissions and lowering household energy bills. 'Today's announcement – which the REA has long campaigned for – takes this one step further – not only enabling thousands of future homeowners to experience the benefits of affordable and clean power, but supercharging growth in the British renewable energy industry and driving forward our energy transition.' Chris O'Shea, chief executive of Centrica, said: 'The age of solar is well and truly upon us, with millions of households up and down the country already benefiting from generating their own free electricity from the sun. 'With the Future Home Standard expected in the autumn, momentum is building behind Great Britain's rooftop revolution.' Mike Childs, head of policy, science and research at Friends of the Earth, called the move 'plain common sense' but warned that ministers must act to help decarbonise homes that are already built. 'The Spending Review next week must ensure that the forthcoming Warm Homes Plan is sufficiently funded so that that everyone can enjoy these benefits, and no one is left behind because they can't afford the changes,' he said. Greenpeace UK's head of politics Ami McCarthy said: 'It's extraordinary that such a common-sense solution has taken so long to be rolled out, and this Government deserves full credit for this breakthrough. 'Now ministers need to urgently reform the UK's energy system as a whole and stop gas from setting the price of electricity so that everyone, whether living in a new build or not, gets to enjoy the lower bills that cheap, clean renewable power can bring.' Under the proposed changes, developers must meet solar panel coverage equivalent to 40% of the building's flood area – and those that cannot must install a 'reasonable amount of solar coverage'. The changes will be subject to practical limits with flexibility in place for new homes surrounded by trees or with lots of shade overhead, the Government said. Liberal Democrat MP Max Wilkinson praised the move after ministers previously rejected his 'Sunshine Bill' – a similar law which would have seen new builds come with solar panels equivalent to at least 40% of their ground floor area as standard. The Cheltenham MP told the PA news agency: 'This news will help us fight the cost-of-living crisis by lowering people's energy bills while reducing carbon emissions too. 'I've been campaigning on this since long before I was an MP and was determined to build on its success after I was elected. 'I welcome today's news from the Government and I'm pleased we can all look forward to a brighter future – but there will be more work to do to ensure solar for new builds begins without delay.' Housebuilders largely welcomed the announcement but warned against introducing burdensome paperwork which may harm the Government's efforts to reach its target to build 1.5 million new homes by 2029. Neil Jefferson, chief executive at the Home Builders Federations, said: 'Moving forward, as we look to meet the more challenging carbon reductions set by Government, we will see solar PV panels on the overwhelming majority of new homes. 'We welcome recognition from Government that there needs to be flexibility around the number of panels on roofs in some locations, to reflect orientation and house design. 'We need to ensure the process to agree the number of panels in such locations is workable and not overly bureaucratic such that it does not delay attempts to increase housing supply.' Mark Wakeford, national chairman of the National Federation of Builders, said: 'Solar panels on new homes make sense because they lower bills and progress the clean energy revolution we so desperately need. 'Credit must also be given for recent announcements on grid investment and connection reforms, as these were important challenges to recognise and solve for a rooftop revolution to happen in practice.'
Powys County Times
06-06-2025
- Business
- Powys County Times
‘Momentum is building': Green industries praise clean energy rules for new homes
Green industries have praised proposals to require solar panels and heat pumps in new build homes but housebuilders warned that too much bureaucracy to install them could harm efforts to hit housing targets. The Energy Department (Desnz) said on Friday that the future homes standard (FHS), which will be published in autumn, is expected to require new residential properties to have solar panels and low-carbon heating by default. With a significant amount of the UK's carbon footprint coming from gas heating of homes, the FHS will require new housing in England to produce fewer carbon emissions than those built under current regulations. The renewable energy sector, alongside green campaigners, have welcomed the 'common sense' proposals. Trevor Hutchings, chief executive of the Renewable Energy Association (REA) said: 'The growth of solar power has been one of the UK's biggest renewable energy success stories, demonstrating without a doubt that we don't have to choose between lowering our emissions and lowering household energy bills. 'Today's announcement – which the REA has long campaigned for – takes this one step further – not only enabling thousands of future homeowners to experience the benefits of affordable and clean power, but supercharging growth in the British renewable energy industry and driving forward our energy transition.' Chris O'Shea, chief executive of Centrica, said: 'The age of solar is well and truly upon us, with millions of households up and down the country already benefiting from generating their own free electricity from the sun. 'With the Future Home Standard expected in the autumn, momentum is building behind Great Britain's rooftop revolution.' Mike Childs, head of policy, science and research at Friends of the Earth, called the move 'plain common sense' but warned that ministers must act to help decarbonise homes that are already built. 'The Spending Review next week must ensure that the forthcoming Warm Homes Plan is sufficiently funded so that that everyone can enjoy these benefits, and no one is left behind because they can't afford the changes,' he said. Greenpeace UK's head of politics Ami McCarthy said: 'It's extraordinary that such a common-sense solution has taken so long to be rolled out, and this Government deserves full credit for this breakthrough. 'Now ministers need to urgently reform the UK's energy system as a whole and stop gas from setting the price of electricity so that everyone, whether living in a new build or not, gets to enjoy the lower bills that cheap, clean renewable power can bring.' Under the proposed changes, developers must meet solar panel coverage equivalent to 40% of the building's flood area – and those that cannot must install a 'reasonable amount of solar coverage'. The changes will be subject to practical limits with flexibility in place for new homes surrounded by trees or with lots of shade overhead, the Government said. Liberal Democrat MP Max Wilkinson praised the move after ministers previously rejected his 'Sunshine Bill' – a similar law which would have seen new builds come with solar panels equivalent to at least 40% of their ground floor area as standard. The Cheltenham MP told the PA news agency: 'This news will help us fight the cost-of-living crisis by lowering people's energy bills while reducing carbon emissions too. 'I've been campaigning on this since long before I was an MP and was determined to build on its success after I was elected. 'I welcome today's news from the Government and I'm pleased we can all look forward to a brighter future – but there will be more work to do to ensure solar for new builds begins without delay.' Housebuilders largely welcomed the announcement but warned against introducing burdensome paperwork which may harm the Government's efforts to reach its target to build 1.5 million new homes by 2029. Neil Jefferson, chief executive at the Home Builders Federations, said: 'Moving forward, as we look to meet the more challenging carbon reductions set by Government, we will see solar PV panels on the overwhelming majority of new homes. 'We welcome recognition from Government that there needs to be flexibility around the number of panels on roofs in some locations, to reflect orientation and house design. 'We need to ensure the process to agree the number of panels in such locations is workable and not overly bureaucratic such that it does not delay attempts to increase housing supply.' Mark Wakeford, national chairman of the National Federation of Builders, said: 'Solar panels on new homes make sense because they lower bills and progress the clean energy revolution we so desperately need. 'Credit must also be given for recent announcements on grid investment and connection reforms, as these were important challenges to recognise and solve for a rooftop revolution to happen in practice.'
