Households face £500 hike in bills after Sunak u-turn on energy efficiency commitments for landlords, says Labour

New analysis from Labour shows Rishi Sunak’s u-turn on energy efficiency measures for rented homes will cost tenants over £500 a year in higher energy bills, on current prices.

Labour Deputy Leader and Shadow Levelling Up Secretary Angela Rayner has accused the government of “condemning millions to soaring energy bills in the middle of a cost of living crisis”.

More than 60% of private rented houses in England are rated below EPC C, leaving 3 million tenants across the country facing higher bills and colder homes. Under plans consulted on in 2021, landlords would have seven years to get their homes up to standard, with warmer homes and lower bills for tenants. 

Angela Rayner MP, Labour’s Shadow Deputy Prime Minister and Shadow Secretary of State for Levelling Up, Housing and Communities, said: 

“Rishi Sunak is condemning millions of families to soaring energy bills in the middle of a cost of living crisis. Not only is he selling out British businesses, he’s left households facing a £500 spike in bills and colder homes

“This Prime Minister is once again being bullied by Liz Truss, and once again leaving families up and down the country paying the price for his weak leadership.

“These regulations would save renters money and protect some of the most vulnerable in our society from the scourge of unsafe and unfit housing, but Rishi Sunak has abandoned them.

“Labour’s Warm Homes Plan will upgrade nineteen million homes, rollout energy efficiency measures and give devolved governments and local authorities the power and the resources to bring every home in their area up to standard within a decade.”

ENDS

Notes

£500 increase in energy bills for tenants 

• The government’s proposal is a betrayal of tenants who are living in cold, draughty homes that are expensive to heat. 
• Based on latest energy prices, the move will cost tenants over £500 a year in higher energy bills. 

• In 2020 the English Housing Survey found the average annual cost saving of moving to EPC C for private renters was £276. 

• The energy price cap in 2020 was £1,042. Based on current energy prices and the cap of £1,923, this means savings for renters would be over £500. 

• More than 60% of private rented houses in England are below EPC C, meaning 3 million tenants across the country face higher bills and colder homes. 
• This includes: 

• 840k families in the North  

• 550k families in the Midlands

• One in nine private renters suffer from damp problems, equivalent to just under half a million families.