E3G, an independent climate change think tank, published a briefing on 27 February 2023 setting out its recommendations for the UK Spring Budget, focused on energy efficiency and heat pump delivery. The briefing, written by Juliet Phillips and James Dyson, argues that the Budget is a chance to remove barriers holding back energy efficiency and heat pumps at scale1.
The recommendations include a ten-year funding and policy pledge for climate and fuel poverty targets, which E3G says would fulfil outstanding £2.1bn Conservative Manifesto pledges and address the climate investment gap. E3G also calls for competitive funding mechanisms to be replaced with fair distribution and availability of public investment in energy efficiency and clean heat across the whole country, and for cross-departmental work to ensure retrofit schemes are delivered effectively1.
Further recommendations cover access to supply chains and consumer support, with an emphasis on skills, training, consumer awareness and advice, and support for new financing options and incentives, including through the UK Infrastructure Bank and tax incentives such as Stamp Duty1.
"Energy efficiency and clean heat are a triple-win for energy security, climate goals and fuel poverty targets."
The briefing frames current access to warm, healthy homes as a postcode lottery, and says levelling up unequal access to support, skills and subsidies is key. It states that the UK has recognised the value of energy efficiency and clean heat but needs to ramp up nationwide delivery1.
| E3G recommendation | Detail given |
|---|---|
| Ten-year funding and policy pledge | For climate and fuel poverty targets; fulfilling outstanding £2.1bn Conservative Manifesto pledges |
| Fair distribution of public investment | Replace competitive funding mechanisms; investment in energy efficiency and clean heat across the whole country |
| Cross-departmental delivery | Effective delivery of retrofit schemes, navigating barriers to action at scale |
| Supply chains and consumer support | Emphasis on skills and training, consumer awareness and advice |
| New financing options | UK Infrastructure Bank; tax incentives such as Stamp Duty |
Why it matters for households
The recommendations address how support for home energy improvements is funded and distributed, which shapes what is available to a household and where. E3G's call to replace competitive funding mechanisms with fair distribution and availability of public investment across the whole country speaks directly to the postcode lottery it describes, in which access to heat pump grants and funding and energy efficiency support varies by location1. A ten-year funding and policy pledge, as proposed, would give a longer planning horizon than annual or one-off funding rounds. The emphasis on skills, training and consumer advice concerns the practical side of getting work done, from finding installers to understanding what a home needs. E3G's stated aim is energy security alongside climate goals and fuel poverty targets, linking household-level improvements to national gas demand1.
What happens next
The briefing was published on 27 February 2023, ahead of the Spring Budget. E3G's recommendations are proposals to government; the sources do not report any government response or any commitment to adopt them. The date of the Spring Budget itself is not given in the sources, and no further steps or timelines are set out beyond the publication of the briefing and its annex1.