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Housing: Energy

Question for Treasury

UIN 9928, tabled on 26 May 2022

To ask the Chancellor of the Exchequer, for what reason he has not announced proposals on retrofitting homes to reduce energy use and costs.

Answered on

6 June 2022

At the spending review, the Government committed to invest £3 billion over this Parliament to improve the energy efficiency of up to 500,000 low-income homes, reducing energy bills by hundreds of pounds per year.

We are also expanding the Energy Company Obligation to £1 billion per year from 2022 to 2026, helping 133,000 low-income households annually to also improve their energy efficiency.

At the Spring Statement, the Chancellor announced the removal of the 5 per cent VAT charge on the installation of energy-efficiency materials over the next five years. This represents a £280 million tax cut to support investment in energy efficiency over the next 5 years. This is additional to the total support for households this year of over £37bn.

Answered by

Treasury