EUA response to Budget 2026

28th Oct 2026

 

Comment from Mike Foster, CEO of trade body EUA

'The Chancellor has played a tricky hand well in today’s budget statement. He has recognised that lower bills are a true test for energy policy. Households facing a cost-of-living crisis need breathing space now, alongside progress towards net zero. 

'Scrapping the standing charge on gas next year is something EUA has called on for a number of years and yes, this should be followed by the same for electricity too as the logic for acting is also the same. 

'Stressing that investments in energy infrastructure need to show they lower costs to the end users is a useful barometer to test whether the public feel the benefit or not. It should be applauded and it is a useful prism by which to view all energy-related subsidies too. 

'Cutting the heat pump subsidy budget will not impact industry as the actual expenditure has been consistently lower than planned. It reflects the reality of home decarbonisation, where heat pumps are currently too expensive for the vast majority of households.'