A government taskforce intended to help people save energy and lower their bills has been disbanded after just six months.
The Energy Efficiency Taskforce was set up by the chancellor, Jeremy Hunt, in March to boost uptake of insulation and boiler upgrades in homes and commercial buildings.
It included Sir John Armitt, chair of the National Infrastructure Commission, along with bosses of banks, housing developers and behavioural experts – aiming to drive a 15 per cent reduction in energy usage by 2030.
The group had four meetings but were yet to make any formal recommendations. Energy efficiency minister Lord Callanan wrote to them yesterday to say their work would be incorporated into the work of the Department for Energy Security and Net Zero.
Jess Ralston, an energy analyst at non-profit group the Energy and Climate Intelligence Unit, told Sky News: “This appears to be yet another u-turn that could lead to higher bills just like the prime minister’s decision last week to roll back landlord insulation standards that could leave renters paying an additional £8bn on energy bills.”
One figure familiar with the taskforce discussions blamed the Treasury for not being willing to consider radical measures to incentivise families and businesses to take up the measures. One idea suggested was stamp duty reform.
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The person said: “The Treasury spent £40bn last winter on energy support payments but wouldn’t spend £1-2bn on energy efficiency incentives which would save people money on their bills. It’s short-sighted”.
A Treasury source rejected this, and said: “Our commitment to energy efficiency has not changed one iota”
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They added the decision to close the taskforce had been taken by the Department for Energy and Net Zero, created in February this year.
The taskforce was chaired by Lord Callanan and the former NatWest Group chief executive Alison Rose who resigned from the bank in July in a row over the closure of Nigel Farage’s account. It was intended to stimulate private sector investment and identify barriers in the market.
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A spokesperson for the department confirmed the taskforce was being disbanded and said: “We would like to thank the Energy Efficiency Taskforce for its work in supporting our ambition to reduce total UK energy demand by 15% from 2021 levels by 2030.
“We have invested £6.6bn in energy efficiency upgrades this Parliament and will continue to support families in making their homes more efficient, helping them to cut bills while also achieving net zero in a pragmatic, proportionate and realistic way.”
It comes after the prime minister made a speech this week rowing back on parts of the green agenda pursued by his predecessors – with targets relaxed for phasing out petrol and diesel cars, upgrading boilers and for landlords to make their properties energy efficient.
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The oldest housing stock in Europe
Insulating homes is key to meeting the UK’s net zero target in 2050 – which remains in place. The UK has the oldest housing stock in Europe with millions of draughty, poorly insulated homes.
It had been estimated six million homes would need to be insulated by 2030 to reach the government’s target of reducing energy usage by 15%.
Ed Miliband, Labour’s Shadow Energy Security and Net Zero Secretary, criticised the move.
“Every family is paying the price in higher energy bills due to 13 years of Tory failure on insulating homes.” he said.
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“After Rishi Sunak’s track record as chancellor with the disastrous Green Homes Grant, this is another short-sighted decision that will cost families money.”
Energy efficiency in England’s homes has increased since 2010, when just 14% were in the highest efficiency bands A to C. By 2020, it was 46%, according to the English Housing Survey. For homes that were improved to a Band C level, the annual energy saving was £282 per year.
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There’s no question that Kemi Badenoch’s on the ropes after a low-energy first year as leader that has seen the Conservative Party slide backwards by pretty much every metric.
But on Wednesday, the embattled leader came out swinging with a show-stopping pledge to scrap stamp duty, which left the hall delirious. “I thought you’d like that one,” she said with a laugh as party members cheered her on.
A genuine surprise announcement – many in the shadow cabinet weren’t even told – it gave the Conservatives and their leader a much-needed lift after what many have dubbed the lost year.
Image: Ms Badenoch with her husband, Hamish. Pic: PA
Ms Badenoch tried to answer that criticism this week with a policy blitz, headlined by her promise on stamp duty.
This is a leader giving her party some red meat to try to help her party at least get a hearing from the public, with pledges on welfare, immigration, tax cuts and policing.
In all of it, a tacit admission from Ms Badenoch and her team that as politics speeds up, they have not kept pace, letting Reform UK and Nigel Farage run ahead of them and grab the microphone by getting ahead of the Conservatives on scrapping net zero targets or leaving the ECHR in order to deport illegal migrants more easily.
Ms Badenoch is now trying to answer those criticisms and act.
At the heart of her offer is £47bn of spending cuts in order to pay down the nation’s debt pile and fund tax cuts such as stamp duty.
All of it is designed to try to restore the party’s reputation for economic competence, against a Labour Party of tax rises and a growing debt burden and a Reform party peddling “fantasy economics”.
She needs to do something, and fast. A YouGov poll released on the eve of her speech put the Conservatives joint third in the polls with the Lib Dems on 17%.
That’s 10 percentage points lower than when Ms Badenoch took power just under a year ago. The crisis, mutter her colleagues, is existential. One shadow cabinet minister lamented to me this week that they thought it was “50-50” as to whether the party can survive.
Image: (L-R) Shadow business secretary Andrew Griffith, shadow environment secretary Victoria Atkins and shadow housing secretary Sir James Cleverly. Pic: PA
Ms Badenoch had to do two things in her speech on Wednesday: the first was to try to reassert her authority over her party. The second was to get a bit of attention from the public with a set of policies that might encourage disaffected Tories to look at her party again.
On the first point, even her critics would have to agree that she had a successful conference and has given herself a bit of space from the constant chatter about her leadership with a headline-grabbing policy that could give her party some much-needed momentum.
On the second, the promise of spending control coupled with a retail offer of tax cuts does carve out a space against the Labour government and Reform.
But the memory of Liz Truss’s disastrous mini-Budget, the chaos of Boris Johnson’s premiership, and the failure of Sunak to cut NHS waiting lists or tackle immigration still weigh on the Conservative brand.
Ms Badenoch might have revived the room with her speech, but whether that translates into a wider revival around the country is very hard to read.
Ms Badenoch leaves Manchester knowing she pulled off her first conference speech as party leader: what she will be less sure about is whether it will be her last.
I thought she tacitly admitted that to me when she pointedly avoided answering the question of whether she would resign if the party goes backwards further in the English council, Scottish parliament and Welsh Senedd elections next year.
“Let’s see what the election result is about,” was her reply.
That is what many in her party are saying too, because if Ms Badenoch cannot show progress after 18 months in office, she might see her party turn to someone else.