EEIG urge Government to better insulate houses

The government is facing calls to ramp up its efforts in insulating UK homes by a coalition of charities and businesses.

In a letter to Boris Johnson, the Energy Efficiency Infrastructure Group (EEIG), stressed that retrofitting homes for better heat conservation could save households £500 on annual energy bills. The EEIG’s warning comes amidst the ongoing energy crisis, with wholesale costs having risen by 250% in the last year. So far suppliers say they have borne the brunt of this due to Ofgems price cap, a mechanism which limits how much they can charge customers. However, the cap is set to be reviewed in April, with some predicting it could increase by as much as 50%. Should this happen, it would add around £600 onto household energy bills each year.

"The cost-of-living crisis is being driven by soaring gas prices," said EEIG chairwoman Sarah Kostense-Winterton. "A permanent solution to lower bills is by reducing demand through energy efficiency measures.

"Emergency short-term measures for the most vulnerable households are crucial, but it's fundamental for the government to simultaneously focus on the long term to avoid future crises.

"Green home retrofits have significant social, environmental and economic co-benefits, and stand out as a 'no regrets' solution to the energy crisis, climate crisis, and levelling up agenda."

The prospect of skyrocketing bills has fuelled fears of a cost of living crisis this year, with the prime minister under increasing pressure to intervene. One of the suggestions, which is being considered by the government, is to expand the Warm Homes Discount. This gives a one-off payment of £140 each winter to help with higher bills. Currently this only applies to claimants of certain state benefits but their talks of expanding it. EEIG’s letter also urged the government to improve on the Energy Company Obligation, a scheme in which suppliers help lower income households make their homes more energy efficient.

A government spokesperson said: “Improving energy efficiency is the best long-term solution to tackling fuel poverty, which is why we are supporting households across the UK to improve their energy performance and reduce bills, having already invested £1.3 billion this year alone to upgrade up to 50,000 homes.

“The Energy Price Cap will remain in place, shielding millions of customers from rising global gas prices and we are continuing to support lower-income households through £4.2 billion in support, including the Home Upgrade Grant, Energy Company Obligation and the new £500 million Household Support Fund.”

One of the main struggles for the government will be weighing up long-term green investment with short-term financial support. While it seems likely the focus will remain on the immediate issue of rising bills, the EEIG has stressed that this shouldn't distract from making Britain’s homes more sustainable