Department for Energy Security & Net Zero

The Government’s Warm Homes Plan includes £5 billion targeted investment for home upgrades for low-income and fuel poor households. This will initially be delivered via the Warm Homes: Social Housing Fund (WH:SHF) and the Warm Homes: Local Grant (WH:LG), which support social housing tenants and low-income homeowners respectively. The WH:SHF has been allocated up to an extra £295 million for 2026/27, in addition to the £1.3billion previously committed. £500 million has been allocated for the WH:LG.

From 2027/28 onwards the Government intends to integrate these schemes into a single low-income capital scheme, shifting towards area-based delivery. The Government will say more about the evolution of our low-income schemes in Spring 2026.

DESNZ’s annual sub-regional fuel poverty statistics estimate the rates of fuel poverty in constituencies within England, and will therefore reflect the impacts of the Warm Homes Plan in time.

The Department will publish monitoring statistics and evaluation of policies announced in the Warm Homes Plan. DESNZ currently publishes statistics covering the uptake and impacts of energy efficiency measures here.

The Maritime Decarbonisation Strategy, published in March 2025, sets out domestic goals and commitments to decarbonise maritime transport, and a call for evidence on Net Zero Ports was launched to assess future energy demand at ports such as Southampton and Portsmouth International.

While the Government does not directly fund increases in electricity network capacity, we support Ofgem in their work to incentivise electricity network companies to invest strategically, ensuring plans reflect emerging demands from electrifying sectors. Through the UK Shipping Office for Reducing Emissions, Portsmouth International Port received nearly £20m of R&D funding to support a shore power trial.

The government is committed to reducing emissions from high carbon products and will continue to bring forward proposals to do so. For example, the Department for Energy Security and Net Zero (DESNZ) is assessing the potential for voluntary ecolabels. Ecolabels provide information on the carbon intensity and environmental impact of products and services, to help inform consumers’ purchasing decisions.

The Committees of Advertising Practice and Advertising Standards Authority regulate the content and targeting of advertising in the UK, and the advertising codes include rules on environmental claims. The ASA system operates independently of the government.

The Secretary of State has regular discussions with Cabinet colleagues on a range of issues, including on how we deliver our mission to make Britain a clean energy superpower.

As of 6^th February, the Oil and Gas Transition Training Fund has received 980 applications and of these 402 have been approved so far. Following the success of the Oil and Gas Transition Training Fund pilot in Aberdeen City and Aberdeenshire UK and Scottish Governments plan to significantly scale up this and will extend the reach of the Transition Training Fund, enabling thousands more highly skilled oil and gas workers to access tailored careers advice and training to transition to new sectors.

The crude oil and diesel spills on the Piper Bravo Platform on 6^th January 2026 were reported to the Health & Safety Executive in accordance with their hydrocarbon release reporting requirements. Both spills were contained on the installation with no spill to the marine environment.

The recently published Warm Homes Plan, backed by £15 billion, represents biggest investment in home upgrades ever. Households, including in Harpenden and Berkhamsted constituency, will be able to benefit from solar panels, batteries, heat pumps and insulation that can cut energy bills and improve energy efficiency.

The Warm Homes Plan makes an offer to every household, and we will reach up to 5 million homes by 2030, through direct support for those on low incomes and in fuel poverty, and innovative low-interest finance available to all. New energy efficiency standards in the private and social rented sectors will also lift around 650,000 households out of fuel poverty.

No assessment has been made.

The Department for Energy Security and Net Zero does not hold this information centrally. The information can only be obtained at disproportionate cost.

No such assessment has been made.

No assessment has been made.

Revenue raised through the UK Emissions Trading Scheme support the Government’s wider priorities, including spending that helps deliver decarbonisation.

The Government is providing funding to support the decarbonisation of the maritime sector, including in Northern Ireland.

For example, the first phase of funding for the UK Shipping Office for Reducing Emissions saw £19 million provided to businesses and projects based in Northern Ireland.

This includes a project to demonstrate a fully electric crew transfer vessel in Belfast Harbour and feasibility studies for a zero-emission shipping corridor between Northern Ireland and England, involving trials at Larne Harbour.

The Clean Power Action Plan set out the actions needed to deliver the Clean Power target, including the generation assets required and the network projects needed to transport homegrown power to homes and business across the country. This was based on advice from the National Energy System Operator that is informed by its analysis of current and expected future grid capacity constraints.

The breakdown of curtailment and balancing action costs borne by domestic consumers and other data relating to constraints is provided in the National Energy System Operator (NESO) Annual Balancing Report. The most recent of these reports was published in June 2025 which can be found via this link: neso.energy/document/362561/download. We recognise that actions are needed to reduce system constraints. The current extent of grid constraints reflects years of underinvestment, with new network infrastructure development having lagged the expansion of new generation. We are already taking action to reduce constraints with the biggest upgrade to Great Britain’s electricity network in decades.

The government’s approach to the transition is built on the principle of fairness – for households by ensuring energy security and protecting billpayers, and for workers by ensuring decarbonisation is a route to reindustrialisation.

The transition will unlock a range of social and health benefits from lower energy bills and cleaner air for people across the country, including those in vulnerable circumstances.

Working towards net zero and adapting to climate change is essential to prevent widening inequalities, because we know that if we do not act, the impacts of climate change will more severely impact vulnerable groups.

Tackling the affordability crisis is Government’s number one priority. At the last Budget, we took an average of £150 of costs off household energy bills from this coming April. The main driver of high energy bills is gas, and we are taking action to reduce electricity prices for consumers and industry by taking back control with homegrown clean power. In designing and implementing energy policy, we take account of approaches adopted successfully in other countries.

Technologies for which we have already obtained sufficient evidence – including heat batteries for water heating – will be supported at launch of HEM: EPC. Other technologies will be added over time via the new innovative product recognition process.

Government is working with manufacturers to ensure that infrared systems can be represented fully and accurately. To enable this, further work is required from industry to develop a robust, validated test method for measuring their operative temperature.

Electricity storage has an important role to play in decarbonising the power sector by helping to balance the electricity system at lower cost. Electricity storage achieves this by charging when electricity is abundant and discharging when it is scarcer, thereby mitigating the need for grid reinforcement and reducing the curtailment of renewable generation. Efficient use of storage therefore offers opportunities for reducing constraint costs. The Government, the National Energy System Operator (NESO) and the Office of Gas and Electricity Markets (Ofgem) are currently investigating options aimed at maximising the benefits of storage technologies in reducing system costs.

The private rented sector minimum energy efficiency standard regulations apply to all privately rented homes that are let on specific types of tenancy agreement and legally required to have an Energy Performance Certificate. There are a number of exemptions available through the current regulations. We recently consulted on the suitability of current exemptions and will make some amendments and additions to improve the exemptions regime when the new standard applies.

We use evidence from comparable countries to support our decision making and policy thinking on curtailment. Constraint payments are a natural part of operating an electricity system and are used in many countries such as Italy, Spain, Germany and Denmark. However, the current extent of grid constraints reflects years of underinvestment, with new network infrastructure development having lagged the expansion of new generation. We’re finally changing that, with the biggest upgrade to Great Britain’s electricity network in decades, which will minimise both curtailment and constraint costs, and help deliver clean power by 2030.

This information can be found in the NESO Annual Balancing Report, the next of which will be published later this year. The most recent NESO Annual Balancing Report was published in June 2025, covering the 2024/25 financial year, and can be found via this link: neso.energy/document/362561/download

At a systems level, the prize of a renewables-based system, supported by nuclear and other technologies, is clear: it gets us off the fossil fuel rollercoaster, reducing our exposure as a country. The role of gas generation is already changing in GB’s electricity system and, as renewable deployment continues, its impact on the electricity price will reduce. Clean power 2030 will mean volatile gas sets the wholesale electricity price much less often than today.

The Government, the National Energy System Operator (NESO) and the Office of Gas and Electricity Markets (Ofgem) are pursuing measures which will reduce constraint costs in the short term. These include making best use of the existing network, deploying smart grid technologies and taking measures to reduce the amount of time networks need to be out of service for essential new build and maintenance. NESO is also progressing other technical measures at pace via the Constraints Collaboration Project. We intend to announce further measures in the Reformed National Pricing (RNP) Deliver Plan which will be published shortly.

Data on the aggregate impact of curtailment payments to electricity billpayers is calculated by the National Energy System Operator (NESO) and can be found in NESO Annual Balancing Report, the next of which will be published later this year. The most recent NESO Annual Balancing Report was published in June 2025, covering the 2024/25 financial year, and can be found via this link: neso.energy/document/362561/download

The Clean Power Advice to Government, published by the National Energy System Operator in 2024 set out the list of over 80 transmission projects needed to meet Clean Power 2030, and their required delivery dates. These projects will alleviate curtailment and allow more renewable power to serve homes and businesses across the country. Updates on the expected completion dates of these projects is a matter for the Transmission Owners which design, run and build the high voltage network.

The revenue that generators can make from curtailment payments is regulated by Ofgem through the Transmission Constraint Licence Condition. This regulation limits the revenue generators can make from being curtailed to the value of the revenue lost through not being able to generate plus reasonable costs. Ofgem can and does take enforcement action against generators that it believes are not complying with this regulation.

The Strategic Spatial Energy Plan (SSEP) will optimise the siting of new sources of electricity generation across Great Britain. The Government’s Reformed National Pricing programme will have the SSEP at its heart, and reforms will be designed to ensure incentives for generation projects encourage siting and investment in areas that align with the SSEP.

The Government’s Warm Homes Plan includes £5 billion targeted investment for home upgrades for low-income and fuel poor households. As part of this offer, from 2027/28 the Government intends to integrate the Warm Homes: Social Housing Fund and Warm Homes: Local Grant into a single low-income capital scheme, which will shift toward area-based delivery. The Government will say more about the evolution of our low-income schemes this Spring, including the scope of funded technologies.

In addition to any forthcoming funding from these schemes the Government is investing £1.1bn in low-carbon heat networks over this Parliament, and accelerating their rollout through Heat Network Zoning. We have also taken action to strengthen consumer protection through appointing Ofgem as the Heat Network regulator.

The Department does not hold the requested information. It is owned by NESO and published on the Elexon data portal.

In July 2025, we announced that we would not be implementing zonal pricing as part of the Review of Electricity Market Arrangements (REMA) and had decided instead to retain a single Great Britain wide wholesale electricity market. We plan to set out the potential impact of zonal pricing − with respect to areas such as consumers, generators and investment, including South East England – in the REMA Cost Benefit Analysis (CBA), which will be published later this year.

Data relating to curtailment caused by constraints including costs is provided in the National Energy System Operator (NESO) Annual Balancing Report at this link: neso.energy/document/362561/download. Constraint costs, as with other interventions taken by NESO to balance the electricity system, are recovered from consumers through Balancing Service Use of System Charges. Both domestic and non-domestic consumers pay these balancing costs, in proportion to their energy consumption. Although the most energy intensive industries receive additional support with these costs.

The current extent of grid constraints reflects years of underinvestment, with new network infrastructure development having lagged the expansion of new generation. We are already taking action to reduce constraints with the biggest upgrade to Great Britain’s electricity network in decades.

The consumer can escalate issues to the installer’s certification body, and TrustMark provide access to a Dispute Resolution Ombudsman. All measures installed under our current schemes have a guarantee against which a claim can be made.

The Government recognises that the system of quality assurance and consumer redress that we inherited needs reform.

We will change the current, failed protections system to one that can command public confidence and consult this year on options for bringing the oversight of energy efficiency and microgeneration installations for government schemes under closer government control and on the role of the Warm Homes Agency.

The letter in question was transferred to this Department and issues raised were addressed in a response issued on 15 October.

The 15 October letter was a response to correspondence received from my hon Friend on 11 September 2025 and 17 September on the British Coal Staff Superannuation Scheme.

Insulation installations under energy efficiency schemes must be carried out by TrustMark registered and PAS 2030 certified businesses, in accordance with PAS 2035. A guarantee must be purchased for each installation. Solid wall insulation installations attract a 25 year guarantee up to a value of £20k.

In the event that installers do not remediate work, TrustMark and PAS 2030 certification bodies have the ability to suspend a business until works are rectified. TrustMark’s complaint handling process offers access to a Dispute Resolution Ombudsman which offers registered businesses and customers an impartial and flexible way of reaching a resolution. Where an installer business ceases to trade, a claim can be made on the guarantee.

My Rt Hon friend has regular discussions with cabinet colleagues on a number of issues.

The government has selected Wylfa as the site to host Britain’s first small modular reactors. Meanwhile, to pursue the option of further large-scale nuclear, Great British Energy - Nuclear has been tasked with identifying suitable sites that could potentially host such a project.

The protection and security of the energy sector is an absolute priority of this Government. My department is committed to working closely across Government and industry stakeholders to take forward the actions needed to develop supply chains that are resilient, sustainable, innovative and secure. Investment in the energy sector is subject to the highest levels of national security scrutiny – we take a consistent, long-term and strategic approach to managing relations with China and will co-operate where we can, compete where we need to, and challenge where we must.

As an open economy, we welcome foreign trade and investment where it supports growth and jobs in the UK, meets our stringent legal and regulatory requirements, and does not compromise our national security.

High UK energy costs have been driven by our dependence on global fossil fuel markets. The Government’s clean energy mission is the best way to break this dependence and protect billpayers permanently. The Government also acted at Budget to take an average £150 of costs off domestic bills in Great Britain from April, and it continues to work with the NI Executive on measures to bring down energy costs for households in Northern Ireland.

The Impact Assessment estimates £201 million in additional costs over 20 years, with about £179 million, from administrative compliance and around £22 million from emissions reduction investment.

Administrative costs are initially higher because around 2,000 maritime operators enter the scheme in 2026 due to the inclusion of emissions at berth.

The emissions introduced initially are relatively small, and estimates are conservative given overlap with existing UK and EU MRV requirements. On a per operator basis, the admin burden is low. The planned expansion to international maritime is expected to bring far more emissions into scope without increasing administrative burden.

The UK ETS Authority consulted extensively with the maritime sector, including ferry operators and island and coastal communities, to ensure all perspectives informed policy development.

During the consultation period, the Government provided online engagement sessions with operators and industry, as well as bespoke engagement sessions for island communities.

The Warm Homes Plan will invest £15 billion; the biggest ever public investment in home upgrades. We will help millions of households benefit from solar panels, batteries, heat pumps and insulation to cut bills, reaching up to five million homes by 2030 through direct support for those on low-incomes and in fuel poverty, grants and innovative low-interest finance available to all. The recent Electrification of Heat Demonstration project has shown that heat pumps can work effectively in UK homes from all historic periods.

A new Warm Homes Agency will be operational from 2027, providing consumers with information and advice on the schemes available to them, including owners of listed properties.

Historic England advocates taking a whole-building approach to retrofit of historic homes, and has produced a range of technical advice and guidance, including an advice note on energy efficiency, retrofit and Net Zero: https://historicengland.org.uk/advice/technical-advice/energy-efficiency-and-historic-buildings/

DESNZ is working closely with other Government Departments on the National Data Library (NDL) energy bill support ‘kickstarter’ project to test how public sector data can be better joined up to improve access to government programmes. This will pave the way for better targeted help, ensuring those who are struggling to pay their bills get the support they need. Further information on this and other ‘kickstarter’ projects be found in the recent NDL progress update: https://www.gov.uk/government/publications/national-data-library-progress-update-january-2026/national-data-library-progress-update-january-2026.

Our Clean Energy Industries Sector Plan set out HMG’s approach to creating investment, growth and jobs in clean energy industries, including supply chains.

In addition, Great British Energy has launched its £1bn supply chain programme, Energy Engineered in the UK, to boost clean energy industries. We’ve empowered the National Wealth Fund with £5.8bn for carbon capture, low carbon hydrogen, gigafactories, ports, and green steel. The British Business Bank £4bn scale up fund will deploy capital to target both the scale-up gap for climate tech and the expansion of new specialist investors. UK Export Finance will deploy £13bn of direct lending to stimulate overseas demand in the industrial strategy priority sectors.

The UK continues to work closely with European partners to strengthen security of supply and accelerate the deployment of clean energy. We are deepening both bilateral and multilateral cooperation, including through established UK-EU structures and agreements, cooperation in the North Seas, and through our broader network of energy partnerships across Europe.

The Government understands the need to target support to those who need it most. That is why on 30 January, we announced the continuation of the Warm Home Discount scheme, providing around 6 million eligible households with the £150 rebate on their energy bills every winter until 2030/31. This means that millions of households every year who need support with their energy bills will receive the Warm Home Discount for the rest of the decade.

We also committed to exploring additional improvements to the scheme. I welcome the report’s contribution to the consideration of the future of targeted bill support schemes. While we consider options for future bill support, we are working across Government to improve access to and sharing of data to target support more effectively in the future. Specifically, the ‘Kickstarter’ programme under the National Data Library will test how public sector data can be better joined up to improve access to government programmes. This project will help pave the way for better targeted help to ensure those who are struggling to pay their bills get the support they need.

The Warm Homes Agency will consolidate the existing delivery landscape and take on delivery of some of the existing schemes. The full scope of the Agency, including delivery mechanisms, is being finalised and will be confirmed in due course.

We recognise that for those within the ECO supply chain, the decision to close the scheme presents immediate challenges. In the Warm Homes Plan, we committed to supporting the workforce to access opportunities through the £15bn funding and through regulations in the rented sector and for future homes which will support millions of households. We will engage the retrofit supply chain, housing associations and local authorities to agree an appropriate regime, in line with procurement law and their existing contractual arrangements, for awarding this new capital funding from April 2026.

We have also established the Warm Homes Plan Workforce Taskforce, with the trade unions and the industry, to facilitate the transition to clean energy sectors.

The Taskforce will consider how to build resilience in the workforce to meet evolving demand in the market, which includes assessing the knock-on effects of the ECO4 closure.