Government commits another £1.5bn in schemes to ‘cut energy bills’

Several schemes are set to benefit from the £6 billion announced in the 2022 autumn statement for energy efficiency measures

A government grant scheme to support the installation of heat pumps is set to benefit from another £1.5bn in funding.

It is among the schemes to be funded from a £6bn package announced in the 2022 autumn statement for energy efficiency measures.

The funding covers the period 2025 to 2028, with ministers now confirming which new and existing schemes will benefit.

The boiler upgrade scheme in England and Wales, designed to encourage a shift to heat pumps, will benefit, with £1.25bn also going to a social housing decarbonisation fund.

A new local authority retrofit scheme for low-income homes will also open in 2025, backed by £500m. A new £400m energy efficiency grant will also go to households, again from 2025, to fund bigger radiators and better insultation.

Energy secretary Claire Coutinho said: “Cutting energy bills is my top priority. Today’s funding will help those who are most in need and keep around a million more families warm during winter.”

Mike Thornton, chief executive at the Energy Saving Trust, welcomed the funding for the schemes.

He said: “We look forward to learning more about the detail including plans for rollout and engagement, as well as how we can help the UK Government to ensure they are as successful as possible in supporting people to get the right measures into their homes.”