CIH welcomes the government's decision to remove VAT from domestic electricity bills from 1 October

This is a positive first step that demonstrates serious intent to tackle the cost of living while making cleaner forms of heating more affordable to run. The measure should provide some immediate relief to households facing ongoing pressure from high energy costs and is an important signal that reducing the cost of electrification is a policy priority.

However, this action alone will not address the scale of the challenges many households face. Too many residents are struggling with high energy bills and growing energy debt, while housing providers see first-hand the impact that energy costs can have on household finances and wellbeing.

We hope to see bold action at the Autumn Budget to reduce energy costs further and tackle the growing burden of energy debt. Maintaining a strong focus on living costs will be essential, particularly for lower-income households who continue to face financial pressures.

We encourage the government to build on this announcement with measures that support the transition away from fossil fuel heating, accelerate electrification and improve the energy efficiency of homes. Making homes warmer, healthier and cheaper to run is one of the most effective ways to reduce fuel poverty, improve living standards and support the transition to a low-carbon future.

This announcement is an encouraging start. The challenge now is to turn that intent into a comprehensive package of measures that delivers sustained reductions in energy costs and greater financial security for households across the country.