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Heat Networks: Prices

Asked by Siân BerryGreen PartyDepartment for Energy Security and Net ZeroTabled Answered 17 December 2025UIN 98635

The question

To ask the Secretary of State for Energy Security and Net Zero, how he will make sure those on heat networks with no direct relationship with their energy supplier will benefit the reductions in energy bills announced in the budget.

Answered by Martin McCluskey

The Budget took action to reduce energy bills for households. This will be delivered through the government funding 75% of the domestic cost of the legacy Renewables Obligation for the rest of this spending review period from 2026-27 to 2028-29 and ending the Energy Company Obligation.

Both these measures reduce electricity costs, and therefore benefit all households that have a domestic electricity account, regardless of their heating type. This will include the vast majority of heat network customers.

The government will consider how to further target the savings announced in the Budget towards electricity bills. The government will set out how it intends to deliver this through the Warm Homes Plan.

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