Climate1 min read

Healey’s budget cuts mean Britain is likely to miss green heating targets

By · Via The Guardian Politics · Published by Everything Blog

In short

The reallocation of energy funds curtails planned expansions to the boiler upgrade scheme alongside steep reductions to hydrogen projects, carbon capture technologies, and home insulation. Although ministers insist they remain committed to delivering clean power by 2030, critics argue the shift fundamentally weakens the previous pro-renewables agenda. To cushion consumer impacts, the Treasury plans to shift green levies onto taxpayers while reforming energy markets to detach electricity prices from gas.

Key points

  • Reallocating more than £3bn toward national defence significantly threatens Britain's cle…: Reallocating more than £3bn toward national defence significantly threatens Britain's clean heating and carbon budget targets.
  • Experts at the charity Nesta warn that capping heat pump subsidies severely impairs consu…: Experts at the charity Nesta warn that capping heat pump subsidies severely impairs consumer adoption rates nationwide.
  • The government aims to protect consumer adoption incentives by moving green levies from d…: The government aims to protect consumer adoption incentives by moving green levies from domestic bills to general taxation.

Sources checked by our analysis pipeline: 1

Britain is unlikely to hit its targets on green heating after the cuts announced by John Healey this week, experts have warned, as critics of Ed Miliband claim the former energy secretary’s green agenda is being dismantled.

The chancellor unveiled more than £3bn worth of cuts to the energy department’s budget this week, much of which will pay for higher defence spending.

One casualty of the cuts is the government’s scheme to subsidise heat pumps, leading to warnings that clean heating ambitions are being undermined.

Some believe the cuts are evidence of a broader shift away from the pro-renewables agenda pushed by Miliband and his successor, Miatta Fahnbulleh. However, energy department sources insisted the government’s longer-term changes will incentivise people to move towards cleaner power sources and benefit the overall green agenda.

Andrew Sissons, a director at the research charity Nesta, said: “After the cuts announced on Wednesday, it is very difficult to see how we can hit our clean heating targets. It is even possible that a Labour government will be the first to miss the targets it has…

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