National news and updates will be posted here, please see the drop down list for topics or click on the link below
- Utilita fined for WHD errors https://www.ofgem.gov.uk/press-release/utilita-pay-ps277000-warm-home-discount-payment-failures
- Cadent call for hybrid heatpumps to be included in future schemes The-Future-of-the-Gas-Network_Recommendations-for-Hybrid-Heating_210mm-x-297mm_V4.pdf
- Smart meter installs hit 25.6 million https://www.electralink.co.uk/2025/05/smart-meter-installs-25-mn-energy-market-information/
PRICE CAP: As you will likely have seen, Ofgem has this morning announced a 7% reduction of the energy price cap for the period covering July to September 2025. The new price cap – which sets a maximum rate per unit and standing charge that can be billed to customers for their energy use – will see a fall of £129 for an average household per year, or around £11 a month.
Whilst the fall in the price cap will be welcome news, we know many households will still be struggling with their energy bills. The only way to ensure long term energy stability and energy security is by lessening our reliance on global gas markets, and the energy independence required to do this can be achieved through further developing home-grown low carbon energy generation. While the price cap sets the upper limit of what a consumer will pay, there are cheaper deals on the market so our advice to consumers is that it’s worth shopping around or talking directly to your current supplier.
A recent fall in wholesale gas prices is the main driver of the overall reduction, accounting for around 90% of the fall. The remainder is primarily due to changes to the operating cost allowances energy suppliers can recover. Direct Debit customers will see standing charges fall by around £19 per year on average, which follows today’s decision on the operating cost and debt allowances review.
For an average household paying by Direct Debit for dual fuel, this equates to £1,720 per year. This is £660 (28%) lower than the height of the energy crisis. While a reduction in the price cap is welcomed, Ofgem is aware that prices remain high, £152 (10%) higher than the same period last year.
Shopping around for a fixed tariff has the potential to save some consumers around £200 on traditional fixed tariffs compared to the upcoming price cap level. As of 1 April 2025, 65% of customer accounts were on SVTs (price cap), with 35% of customers on fixed contracts. This compares to 72% of customers on SVTs last quarter (1 Jan 2025) and 85% last year (1 April 2024).
Commenting on today’s price cap announcement Tim Jarvis, Director General of Markets at Ofgem, said:
“The first thing I want to remind people is that you don’t have to pay the price cap – there are better deals out there so it’s important to shop around, and talk to your existing supplier about the best deal they can offer you. And changing your payment method to direct debit or smart pay as you go can save you up to £136.
“In the longer term, we need an energy system where prices are insulated from the volatile international gas market, and which ensures more stable prices and energy security. And we’re working closely with government to get the investment we need to reach our clean power and net zero targets as quickly as possible.
“We’re also doing everything we can to support consumers today and pushing ahead with more changes to help consumers. This includes working on ways to support those trapped in energy debt and bringing in reforms to standing charge tariffs for this winter.”
Wednesday 21 May 2025
Ofgem Energy Redress Scheme launches new fund to monitor impact of energy advice services for vulnerable households
The Ofgem Energy Industry Voluntary Redress Scheme (Energy Redress Scheme) opened its twelfth funding round for applications on Monday 19 May 2025.
A total of £40 million is available for charities and community energy groups, including community interest companies, co-operative societies and community benefit societies, to apply for grants through six funding streams, supporting projects across England, Scotland and Wales.
Eligible projects may focus on supporting households most at risk from cold homes and high energy bills, developing innovative products and services related to domestic energy use, or reducing carbon emissions.
A new fund, being piloted in this funding round, will focus on monitoring the impact of projects providing energy advice services and other support to people in vulnerable situations. This fund aims to encourage more widespread adoption of impact monitoring.
Ofgem’s enforcement and compliance activity collects voluntary payments from companies that may have breached Ofgem administered rules. Since 2018, the Energy Redress Scheme, managed by Energy Saving Trust, has distributed £169 million in funding to support more than 687 projects.
Previous projects have included impartial energy advice services supporting vulnerable people, initiatives boosting the uptake of whole-house retrofits and trials of new business models and interventions helping households make greater use of locally generated energy.
Graham Ayling, senior project manager at Energy Saving Trust, said: “We’re pleased to offer this funding to the voluntary sector and look forward to supporting projects that help those most in need to heat their homes, while also contributing to a greener and fairer energy future.”
Cathryn Scott, Regulatory Director of Market Oversight and Enforcement at Ofgem, said: “This new round of funding presents an exciting opportunity for charities and community energy groups dedicated to supporting those in need. Energy suppliers who fail to comply with our rules face the consequences, and an additional £40 million will now be allocated to providing essential support and guidance for vulnerable people.”
The deadline for applications to this funding round is 5pm on 11 June 2025, via the Energy Redress website. Organisations not yet registered with the scheme must do so 10 working days before the relevant fund closes to allow time for eligibility checks to take place.
24th April 2025
Which? warning over energy saving plugs https://www.theguardian.com/money/2025/apr/22/illegal-potentially-unsafe-energy-saving-plugs-available-uk
Research from ECIU on health impacts of net zero https://eciu.net/analysis/briefings/the-health-impacts-of-net-zero
CSE on energy flexibility To move to an energy system based on renewables, we will need to become… | Centre for Sustainable Energy
Preparing for ‘low electricity demand’ this summer – NESO’s summer outlook Preparing for low electricity demand in 2025 Summer Outlook | National Energy System Operator
Gov considering extending BUS to include low carbon heating? UK government may extend domestic energy grants to heat batteries | Heat pumps | The Guardian
The Committee on Fuel Poverty has published its response to the WHD proposed changes CFP response to the consultation on expanding the Warm Home Discount Scheme, 2025 to 2026 – GOV.UK
Ofgem Head calls for ‘truce’ over zonal pricing https://www.theguardian.com/business/2025/apr/18/ofgem-boss-calls-for-truce-in-row-over-britains-electricity-market-overhaul
10/04/25 Ofgem green lights round the clock support for customers cut off due to meter faults | Ofgem
Government opens Warm Homes Grant application https://www.gov.uk/apply-warm-homes-local-grant and guidance for LAs https://assets.publishing.service.gov.uk/media/66f1573cbd3aced9da489bcf/Warm-Homes-Local-Grant-guidance.pdf
Thursday 3 April 2025
Ofgem Energy Redress Scheme distributes £2.3 million to support community renewable energy projects
Funds from the first round of the Just Transition Fund will be distributed to thirteen organisations across England, Scotland and Wales through the Ofgem Energy Industry Voluntary Redress Scheme (Energy Redress Scheme)
The Ofgem Energy Industry Voluntary Redress Scheme (Energy Redress Scheme) has announced how the latest round of funding is being awarded. A total of £2.3 million in grants is being distributed to thirteen organisations across England, Scotland and Wales, to support the development of community renewable energy projects. These projects aim to benefit vulnerable residents by reducing energy bills and promoting carbon reduction initiatives.
The fund will also build the capacity of the community energy sector to deliver impactful renewable energy projects and demonstrate how a just transition to net zero can benefit everyone.
Wales based developer of community-owned clean energy infrastructure, YnNi Teg, will receive £247,003 in funding for its Bangala Community Power Plant. The project aims to enable urban communities to be part of a community-owned ‘virtual power plant’, generating, storing and controlling their own renewable power. This initiative will directly reduce energy costs and carbon emissions for approximately 300 households.
Jonathan Townend, Executive Director at YnNi Teg, said:
“The funding will enable us to develop ambitious plans for a community-owned ‘virtual power plant’, integrating the operation of solar PV and battery storage installations across hundreds of households for optimum shared benefit.
“As well as helping vulnerable households reduce their bills, the project aims to create a replicable and scalable model for communities to participate in a sustainable transition to Net Zero.”
Community Energy Scotland will receive £185,750 to support their Cowal Peninsula Community Wind Pioneers project. The project will explore the best routes to community ownership, ensuring that local people can benefit from a long term, sustainable income from local natural resources.
Darragh Keenaghan, Project Manager at Community Energy Scotland, said:
“This funding allows us to provide support and expertise to Cowal’s communities to harness the potential of community-owned renewable energy. By mapping out viable options, including repowering, shared ownership, and new community-led projects, we hope to create a long-term income stream that will help tackle fuel poverty and support just transition initiatives.
“This project is about local people having a real say in their energy future and ensuring the benefits of renewables stay within the community.”
Southern Staffordshire Community Energy will also receive £52,280 in funding for their Solar for Social Impact Expansion project. This initiative will scale the portfolio of fourteen sites across five NHS Trusts and Primary Care Networks. Additionally, the project aims to generate funding for fuel poverty initiatives through solar energy sales, enabling a proactive model that benefits patients and shifts from reactive to preventive care.
Neil O’Brien, Chair of Staffordshire Community Energy (SCE) said:
“This is vital funding to enable us to complete the development work on a range of solar PV projects, which we plan to install on the roofs of several hospitals and other NHS buildings. This will help NHS bodies save on electricity bills and reduce their carbon emissions.
“Crucially, this project will also allow SCE to provide up to £2 million to the local charity, Beat the Cold, over the next 25 years. This funding will offer advice and support to NHS patients in fuel poverty, reducing demand on hospital services during critical winter periods.”
Since 2018, the Energy Redress Scheme has supported 660 projects in England, Scotland and Wales. The funding is collected through Ofgem’s enforcement and compliance activities, where companies that have breached energy rules agree to make a voluntary payment into the Energy Redress Scheme. Energy Saving Trust manages the allocation of payments for the scheme
Graham Ayling, senior project manager at Energy Saving Trust, said: “This funding will support the development of community-owned renewable energy at a crucial time, enabling such projects to play a larger role in the transition to a net zero energy system.
“These projects demonstrate how a future energy system can be fairer through greater citizen ownership, where residents see direct benefits. We’re pleased to be able to work towards this by recycling the profits from energy generation to help people struggling to heat and power their homes.”
Cathryn Scott, Regulatory Director of Market Oversight and Enforcement at Ofgem, said: “As the energy regulator, we are committed to protecting consumers while helping pave the way towards net zero, and the Energy Redress fund is key to this. With another £2million from the fund going to community energy projects across England, Scotland, and Wales, it’s rewarding to see our compliance and enforcement efforts paying off.
“Community-led projects like those receiving funds ensure that local people benefit from the development of community renewable energy projects, which will ultimately help reduce bills and further our progress towards net zero.”
Read more about all the funded projects here.
March 2025 News
Warm Homes: Local Grant – successful local authorities https://www.gov.uk/government/publications/warm-homes-local-grant-successful-local-authorities
February 2025 News
Latest from Cornwall Insight – https://www.cornwall-insight.com/press-and-media/press-release/cornwall-insight-release-final-april-price-cap-forecast/
Gov announces its Plan for Change consultation https://www.gov.uk/government/news/warm-homes-and-cheaper-bills-as-government-accelerates-plan-for-change with a plan to uprate to at least EPC C for rentals by 2030. NEA’s response here https://www.nea.org.uk/news/fuel-poverty-strategy-and-mees/
New skills investment announced https://www.gov.uk/government/news/support-for-workers-to-benefit-from-thousands-of-clean-power-jobs
Proposed reforms to enhance the regime in 5 critical areas:
Strengthening the quality of air conditioning inspection reports
Updating what EPCs measure through additional metrics
Updating when energy certificates are required by refining the rules for obtaining EPCs and DECs
Managing energy certificate quality
Improving the accessibility of building performance data
The Radio Teleswitch Service. The radio signal will be shut down and the service it supports will end on 30 June 2025. The service uses radio signals to tell some electricity meters to switch between peak and off-peak rates. End of the Radio Teleswitch Service (RTS): what we’re doing to help | Ofgem.