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Warm Homes Plan 2026-01-21
21 January 2026
Lead MP
Secretary of State for Energy Security and Net Zero
Debate Type
Ministerial Statement
Tags
EconomyTaxation
Other Contributors: 49
At a Glance
Secretary of State for Energy Security and Net Zero raised concerns about warm homes plan 2026-01-21 in the House of Commons. A government minister responded. Other MPs also contributed.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Government Statement
Today, I am announcing the warm homes plan aimed at addressing the cost of living crisis and fuel poverty. The Chancellor has already taken an average of £150 off energy bills from April. We have expanded the warm home discount to cover six million families. Today's plan allocates £15 billion, more than doubling public investment in home upgrades compared to the previous Parliament. This initiative aims to correct past failures and ensure clean energy options are accessible for all income levels. Key measures include £5 billion for direct home upgrades for low-income families; new minimum standards for private and social rented homes by 2030; expanding heat pump incentives; a universal offer of £2,500 for a heat battery or air-to-air heat pump, plus £7,500 for a conventional heat pump; setting aside up to £2 billion for subsidised loans for solar panels, batteries and other technologies; future homes standard with solar panels as standard in new builds by the end of the decade; establishing a new warm homes agency to ensure effective delivery; aiming for at least 70% of UK-installed heat pumps made in Britain; supporting up to 180,000 additional jobs in energy efficiency and heat networks.
Andrew Bowie
Con
West Aberdeenshire and Kincardine
Question
Why is the announcement long overdue? Since the election, energy bills have increased by £200 due to political choices. The plan will benefit only 17% of households while others face higher taxes and struggling bills.
Minister reply
The warm homes plan aims to address fuel poverty and reduce energy costs through a range of measures including home upgrades for low-income families, new standards for rented homes, expanding heat pump incentives, setting aside funds for solar panels and batteries, future homes standard with solar panels as standard in new builds by the end of the decade, establishing a warm homes agency, supporting up to 180,000 additional jobs in energy efficiency and heat networks.
Andrew Bowie
Con
West Aberdeenshire and Kincardine
Question
The plan does nothing to address the high running costs of heat pumps, given that it pushes people into buying these but offers no relief on electricity bills. The Government also announced a botched wind auction last week which will lead to higher energy prices for decades.
Minister reply
The Secretary of State emphasises that the measures in the Budget are important in cutting the cost of electricity and highlights that running a heat pump can be cheaper than running a boiler with the right tariff. He also mentions the need for further investigation into bringing down the cost of electricity.
Andrew Bowie
Con
West Aberdeenshire and Kincardine
Question
What steps will the Department take to ensure that low-interest loans provide good value for money? How many homes will benefit from these schemes, and how will it be determined who receives a loan?
Minister reply
Details on how low-interest loans will provide value for money were not specified in the given text. However, the Secretary of State will consider the number of homes benefiting and ensure that eligibility criteria are clear.
Andrew Bowie
Con
West Aberdeenshire and Kincardine
Question
Has the Department carried out an impact assessment for the 2030 deadline on energy efficiency standards in rented homes? What is the expected cost to landlords, and how much will be passed on to renters?
Minister reply
The Secretary of State acknowledges that previous Government data shows upgrading a home from EPC E to C costs over £12,000 which could be passed on to tenants as higher rents. The Department has not specified further impact assessments or cost determinations.
Andrew Bowie
Con
West Aberdeenshire and Kincardine
Question
How much will the warm homes agency cost taxpayers, how will it be held accountable, and why was a new quango established rather than delivering these functions within existing departments?
Minister reply
The Secretary of State explains that setting up a dedicated agency is necessary to avoid repeating past failures like those seen in the ECO scheme. The aim is for a technical expert-led body to oversee reforms effectively.
Andrew Bowie
Con
West Aberdeenshire and Kincardine
Question
Will there be a ban on slave labour for solar panel installations funded by the warm homes plan? When will details of such mechanisms be published?
Minister reply
The Secretary of State confirms that similar bans will be applied to ensure no involvement with forced labour, but specific publication dates were not provided.
Bill Esterson
Lab
Sefton Central
Question
How can the Secretary of State address concerns about electricity costs and insulation benefits while ensuring maximum benefit from the warm homes plan?
Minister reply
The Secretary of State highlights ongoing work to bring down electricity costs further, emphasising that the measures with most bang for buck in cutting bills will be prioritised. He notes that this includes heat pumps, batteries, and solar installations.
Pippa Heylings
Lib Dem
South Cambridgeshire
Question
What clarity can the Secretary of State provide regarding what replaces the ECO programme, and how will efficiency standards for landlords be addressed?
Minister reply
The Secretary of State reassures that insulation remains a key part of tackling affordability issues but stresses that public investment should focus on measures with maximum impact. He acknowledges concern over replacing ECO and pledges to address these issues.
Lizzi Collinge
Lab
Morecambe and Lunesdale
Question
The Secretary of State can confirm how local experts such as Green Rose CIC will be utilised to deliver the change for constituents in her constituency?
Minister reply
My hon. Friend is correct, organisations like Green Rose CIC are crucial to this plan. We are working with local authorities to provide local people advice and we also see community ownership as a big part of our local power plan.
Harriet Cross
Con
Gordon and Buchan
Question
Can the Secretary of State confirm that slave labour supply chains will not be allowed in the procurement of any part of the solar panels involved in this scheme?
Minister reply
We have inherited a system from the Conservatives, but we have raised standards through GB Energy and the solar stewardship initiative to ensure that slave labour is not used in the supply chain.
Polly Billington
Lab
East Thanet
Question
Will my right hon. Friend consider revising the fuel poverty calculation? Will he say a bit more about the information available to support landlords and confirm that he will support an energy social tariff?
Minister reply
Working with the private rented sector is incredibly important, and we are determined to tackle the long-term legacy of poor housing standards. We recognise the immediate affordability crisis and have taken action in the Budget.
Orkney and Shetland
Question
What would make a difference to Orkney and Shetland, which are home to some of the worst levels of fuel poverty? When will we hear something from the Secretary of State on community benefit or ownership ideas?
Minister reply
We are determined to expand community ownership and want his constituents to benefit. We will publish our local power plan shortly, which is precisely about community ownership.
Tom Hayes
Lab
Bournemouth East
Question
Does the Secretary of State agree that a major motive for this plan is to cut hundreds of pounds off bills in Bournemouth East by going solar as standard? Will it bring down bills and keep them down in the long term?
Minister reply
This is absolutely about cutting bills. We have a long-term affordability crisis, and this plan will help tackle it over the long term.
Moray West, Nairn and Strathspey
Question
The hon. Gentleman welcomes the additional investment in energy efficiency measures but asks about the price barrier for many constituents. Will the Secretary of State seriously consider a social tariff to enable people to take advantage of such schemes?
Minister reply
We recognise the affordability crisis and have taken action, such as taking £150 off bills and significantly increasing the numbers eligible for the warm home discount.
Toby Perkins
Lab
Chesterfield
Question
Does my right hon. Friend agree that we know what happens when we do not rely on renewables? What does the Secretary of State think are the key things we can do to address skills shortages in the heat pump installation sector?
Minister reply
Our target for 2030 is 450,000 heat pumps. Our skills taskforce is designed to meet the significant skills needs in this area.
Luke Taylor
LD
Sutton and Cheam
Question
Can the Secretary of State give more detail on how we will address energy costs and insulation issues in the short term? Are there programmes in the plan that can fund easy wins?
Minister reply
We recognise the cost of living crisis is hitting residents very hard. We are providing support through our local power plan to ensure funding for easy wins, such as fixing existing gas boilers.
Peter Swallow
Lab
Bracknell
Question
What thought has my right hon. Friend given to supporting leaseholders in making important upgrades, and ensuring they are not held back by freeholders?
Minister reply
We absolutely see leaseholders as being eligible for this help, and it is very important that they are.
Sammy Wilson
DUP
East Antrim
Question
Will there be a Barnett consequential for Northern Ireland? Will low-income families still have to borrow due to up-front costs?
Minister reply
Barnett consequentials have already been allocated, and it is for the Executive in Northern Ireland to make their own decisions about how they spend the money. We want to look at how a zero or low-interest loan scheme could work across the United Kingdom.
Callum Anderson
Lab
Buckingham and Bletchley
Question
How will his Department ensure that rural communities, such as those in north Buckinghamshire, are not left behind?
Minister reply
We want to work closely with local authorities and suppliers to address the specific needs of rural areas. Nearly half the people on the boiler upgrade scheme are in rural areas.
Ellie Chowns
Green
North Herefordshire
Question
Why is there less focus on energy demand management and insulation compared to energy supply improvements? What will be done for the remaining households not covered by this plan?
Minister reply
While we see the value of fabric and insulation, the focus must be on what works to cut bills. This plan aims to address only 1 million of the households in fuel poverty but it represents a very substantial investment compared to previous funding.
Rachel Hopkins
Lab
Luton South and South Bedfordshire
Question
Does he agree that after a decade of failure from the Conservative party, Labour is taking definitive action through record public investment in home upgrades?
Minister reply
We are turning the page on a decade of failure. This plan will make a difference to the costs people face and help tackle the cost of living crisis.
Helen Morgan
LD
North Shropshire
Question
What is being done to ensure rogue installers do not cause problems in future warm homes schemes?
Minister reply
We are determined to have remediation for all the people affected by ECO4. Local authority schemes had fewer problems and higher standards of safeguards.
Matt Rodda
Lab
Reading Central
Question
Might he say a little bit about the important work that many local authorities are doing to support this plan?
Minister reply
Local authorities and regional mayors have the best sense of what their area needs, and they are key in co-ordinating this effort. This is part of a long-term national mission to transform our housing stock.
Dwyfor Meirionnydd
Question
How will the warm homes funding for Wales be sufficient to meet the extreme challenges facing Welsh homeowners?
Minister reply
This scheme is really important for Wales. We are determined to work with the Welsh Government to make sure that the scheme makes a difference for people in Wales.
James Naish
Lab
Rushcliffe
Question
What has been considered regarding getting more women and girls into the retrofit industry?
Minister reply
We are committed to increasing participation from underrepresented groups, including women. Support for organisations like Women in Retrofit is crucial.
West Dorset
Question
Would the Secretary of State fill us in on what the Government and other Departments plan to do to ensure that the skills are there for installations to go ahead?
Minister reply
The whole point of the taskforce is to make sure we have the workforce in place, building on previous efforts such as the solar road map. We will work closely with eco organisations to help transition workers into new roles.
Kevin McKenna
Lab
Sittingbourne and Sheppey
Question
How can people in my constituency get the advantages for their houses, jobs and employment, including the tradespeople who really want to be part of this?
Minister reply
I would say to the council that he talks about, “Leave your dogma at the door and help local people. Work with us to help local people.”
Iqbal Mohamed
Ind
Dewsbury and Batley
Question
Will the Secretary of State confirm that the cost of the plan will not be added to monthly household bills? Will he ensure that they will not be faced with the same issue?
Minister reply
The whole point of the plan is that we are doing it through public investment, which I think is the right decision.
Gareth Snell
Lab/Co-op
Stoke-on-Trent Central
Question
How can good partnerships in localities already doing the work be involved in the programme? How soon will information be available to them so they can start workforce planning for the delivery of the programme and get people back into work delivering the upgrades we need?
Minister reply
We want to use local partnerships that are already in place. We will work urgently with ECO installers, convening a roundtable next week to work out how quickly we can get on with this process.
Shockat Adam
Ind
Leicester South
Question
Will the Government commit to working with small local businesses to deliver the scheme, which will help the local economy, or will it just be for the big boys?
Minister reply
Small and medium-sized enterprises will be crucial to the scheme.
Luke Murphy
Lab
Basingstoke
Question
When will my constituents be able to begin applying for those low and zero-interest loans?
Minister reply
We are working urgently with banks, convening a roundtable next week to work out how quickly we can get on with this process. We want to do it as quickly as possible while getting it right.
Vikki Slade
LD
Mid Dorset and North Poole
Question
What assurances will the warm homes plan provide on investment in the grid and the capacity of DNOs, so that the revolution is successful and not a failed bright idea?
Minister reply
We are making big investment in transmission infrastructure and reordering the grid queue to get projects where they are needed most.
Harpreet Uppal
Lab
Huddersfield
Question
How are we supporting the really good suppliers under the ECO scheme and how quickly will the transition be in place to support them?
Minister reply
We have an oversight group chaired by my hon. Friend to ensure that we do as much as possible to support good ECO suppliers.
Carla Denyer
Green
Bristol Central
Question
Will the Secretary of State lay out how he will ensure that landlords do not simply pass on to renters the costs of meeting those standards?
Minister reply
We want to provide some help for landlords to meet the standards and are confident it will reduce costs without leading to higher rents.
Clive Betts
Lab
Sheffield South East
Question
Will the Secretary of State give an assurance that under his schemes any installations will be by competent companies, and if the installation goes wrong the Government will stand behind people and ensure rectification work is done to a proper standard?
Minister reply
Absolutely yes. We must ensure we do not let that kind of thing happen.
Stratford-on-Avon
Question
Will the Secretary of State ensure that the warm homes plan will effectively deliver for park home residents?
Minister reply
I am very sympathetic to the issues facing people who live in park homes. I will take this away and pass it on to the Under-Secretary of State for Energy Security and Net Zero.
Abtisam Mohamed
Lab
Sheffield Central
Question
How those small businesses will benefit from this plan?
Minister reply
Small businesses are eligible for the boiler upgrade scheme, there is a substantial investment in solar loans, and we want to help them through local authority procurement.
Jayne Loke
Con
Portsmouth North
Question
Does the Secretary of State agree that home upgrades are one of the most effective ways to bring down energy bills, particularly for families in Portsmouth North where 5,000 households officially live in fuel poverty?
Minister reply
Absolutely, and we are determined to clean up previous government schemes. Home upgrades are indeed a long-term solution to the cost of living crisis.
Ayoub Khan
Ind
Birmingham Perry Barr
Question
Will remediation allow residents in Birmingham Perry Barr who have been affected by substandard work from previous schemes to apply for the new warm homes plan?
Minister reply
There should be a process with TrustMark so that residents are not required to reapply. We will ensure that the previous mess is cleaned up and residents can benefit without additional hurdles.
Jonathan Brash
Lab
Hartlepool
Question
How will we ensure that the welcome measures in this plan reach the most vulnerable people in communities such as Hartlepool, where 15% of constituents live in fuel poverty?
Minister reply
Key priority is to get money out to local and combined authorities who are best positioned to deliver help urgently to poor and vulnerable residents.
Jim Shannon
DUP
Strangford
Question
How will the Barnett consequentials for devolved nations ensure access to the scheme, and how will middle-income families obtain help for insulation in Northern Ireland?
Minister reply
The Minister for Energy Consumers met with the Minister for Communities to discuss working together on delivering the plan in Northern Ireland.
Jonathan Davies
Lab
Mid Derbyshire
Question
What steps is the Secretary of State taking to ensure that the £90 million will be spent well, and can we use this money to create more good jobs in heat pump manufacturing companies like Vaillant?
Minister reply
The Minister for Climate will visit Vaillant tomorrow. The plan aims to support domestic manufacturing and job creation.
Chris Vince
Lab/Co-op
Harlow
Question
How is the new towns challenge being considered, particularly in Harlow where homes were built quickly after WWII and suffer from similar problems?
Minister reply
We are aware of this issue. The Minister for Energy Consumers has heard the statement and will consider it to ensure that areas like Harlow benefit.
Rachael Maskell
Lab/Co-op
York Central
Question
How is the Secretary of State working with the Education Secretary to scale up skills in further education to meet the workforce needs for this plan?
Minister reply
We will work on this with Skills England and mayors, ensuring that the FE sector is geared up to train people for these opportunities.
Baggy Shanker
Lab/Co-op
Derby South
Question
What does today’s announcement mean for facilities like Vaillant's heat source cylinder facility in Derby and how will it create more clean energy jobs across the UK?
Minister reply
Programmes such as the heat pump investment accelerator are designed to help companies capitalise on this growing market.
Wolverhampton North East
Question
How will the Secretary of State ensure that clean energy is the right choice not only for emissions but also for cutting bills, while avoiding past failures on insulation?
Minister reply
The point of this plan is to bring opportunities within reach of ordinary families and not just the wealthiest.
Amanda Hack
Lab
North West Leicestershire
Question
Can you provide more details on the taskforce identified in the plan to ensure that we have the skills and innovation needed for this ambition?
Minister reply
The Minister for Energy Consumers will be happy to talk about how we can make sure that the taskforce does what is necessary to get the workforce we need.
Anna Dixon
Lab
Shipley
Question
Will residents of listed properties, such as those in Saltaire, benefit from this upgrade programme?
Minister reply
Absolutely, and I pay tribute to my hon. Friend for her work on this issue.
Shadow Comment
Andrew Bowie
Shadow Comment
The announcement is long overdue as it should have been part of the government's election commitments. Since the general election, energy bills have increased by £200 due to political choices. The plan will only benefit 17% of households while all others will face higher taxes and struggling bills. Public scepticism about heat pumps has risen from 38% to 45%, citing high upfront and ongoing costs as major deterrents.
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