‘For millions living in cold, leaky homes, insulation is crucial for lowering bills,’ says energy analyst Jess Ralston
People living in poorly insulated homes could face gas bills around 50% higher than those in properties that meet Government targets, as the new price cap comes into effect.
The Energy and Climate Change Intelligence Unit (ECIU) found that the average annual gas bill will be about £340 more for homes with an energy performance certificate (EPC) score of F. These are some of the draughtiest homes in the country, meaning heat from gas boilers quickly escapes.
This extra cost is compared to homes with EPC ratings of C, which are seen as reasonably well-insulated. Even D-rated homes will have yearly bills about 15% higher, the research found. ECIU energy analyst Jess Ralston said: “For millions living in cold, leaky homes, insulation is crucial for lowering bills.
“But with energy independence remaining a top concern for the public and politicians alongside the cost of living, insulation is now also key to reducing our demand for gas. Unless we start to use less gas, we’ll just have to import more from abroad as the North Sea continues its inevitable decline, regardless of new licences.”
The ECIU noted that over ten years ago, many more UK homes were being made warmer each year. After changes by former PM David Cameron, there’s been a huge drop of 95% in home insulation. In September, PM Rishi Sunak stopped plans to make private landlords insulate their homes better.
Ms Ralston said: “Government insulation schemes are not delivering at target levels and fixing them does not seem to be a priority, despite the bill and energy security benefits. The next government, whatever colour it is, rapidly needs to increase deployment of energy efficiency measures if it wants to gain energy independence and lower bills.”
A spokesperson for the Department for Energy Security and Net Zero said: “Nearly half of all homes in England now have an EPC rating of C or above, up from just 14% in 2010. We have allocated £20billion for energy efficiency over this Parliament and next helping cut bills for those families who need it most. Our investment will raise insulation standards of around 500,00 homes across the UK.”
