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Labour announces new warm homes plan

Labour has announced a new warm homes plan, prompting the fuel poverty charity National Energy Action to call for urgent, funded action on energy efficiency for the households least able to heat their homes.

A newspaper on a kitchen table beside a model of grants and schemes

Labour announced a new warm homes plan on 8 February 20241. The announcement drew a response from National Energy Action (NEA), which describes itself as the national fuel poverty charity working across England, Wales and Northern Ireland1.

NEA said the plan comes after it published its Fuel Poverty Monitor, which it says shows the value of energy efficiency for millions of households across the UK1. The charity said the UK should be leaning into warmer homes, for the good of individuals, the economy and society, rather than stepping away from it1.

The Fuel Poverty Monitor reports a funding gap of at least £18 billion for energy efficiency measures, against the legal requirement to bring fuel poor homes in England up to a reasonable standard of energy efficiency by the end of this decade1. The report is based on a call for evidence that gained responses from 136 respondents covering the breadth of the UK, and NEA commissioned new analysis by Gemserv Ltd to understand the costs and benefits of meeting energy efficiency based fuel poverty targets1. It also draws on the direct experience of people living through the crisis, with households contained as case studies1.

NEA chief executive Adam Scorer said:

"People in the worst fuel poverty need urgent and sustained action on energy efficiency. We expect whoever forms the next government to have a clear, funded plan that will deliver its legal fuel poverty targets. That means direct investment at scale in the homes of the fuel poor and it means stronger regulation for landlords. Stepping back from this would be hugely disappointing and, ultimately, self-defeating."
National Energy Action1

Scorer also said millions of the poorest people in the UK live in the worst homes, which he described as cold, damp and impossible to heat adequately or affordably, and that energy efficiency cuts energy bills, reduces carbon emissions and reduces pressures on health and social care services1. The detail of Labour's plan itself, including its cost, scope and timetable, has not been reported in the material available1.

Why it matters for households

Energy efficiency is the part of a home's running costs that a householder can change, and the part that determines how much of a home's energy independence is within reach. A home that loses less heat needs less energy bought at whatever the price happens to be, which matters most to the households NEA describes as living in the worst homes1.

The £18 billion figure is a measure of the distance between current funding and the legal target for fuel poor homes in England1. For households, the practical question is whether any new plan changes what is available to them: the grants and schemes that fund insulation and heating improvements, and the advice routes that identify what a home needs. NEA's call covers both direct investment at scale and stronger regulation for landlords, which would affect private renters as well as owner occupiers1.

What happens next

NEA has published its asks of the next government, and says it expects whoever forms the next government to have a clear, funded plan that delivers the legal fuel poverty targets1. No dates for the plan's measures, funding or legislation are given in the material available1.

Sources1 cited
  1. National Energy Action responds to Labour’s new warm homes plan: ‘People in the worst fuel poverty need urgent and sustained action on energy efficiency.’ - National Energy Action (NEA), nea.org.uk