Based on the Governments own economic analysis, Frontier Economics has reported that such a programme would provide net economic benefits across the UK of £8.7 billion - comparable economic benefits to infrastructure initiatives such as HS2 Phase 1 and Crossrail.
This report further builds on research from Cambridge Econometrics which shows that an ambitious energy efficiency infrastructure programme could also deliver 108,000 jobs and reduce gas imports by 26%.
Whilst Energy Secretary, Amber Rudd has been listening to industry, it appears that the Chancellor has clearly decided to steer away from cost-effective investment to improve the UK’s housing stock and keep the most vulnerable warm in their homes.
What we are faced with now are cuts to existing funding from the Energy Company Obligation and the Renewable Heat Incentive which can only impact upon the energy bills of these vulnerable customers to those the Government wish to protect and bring further uncertainty and job losses to our industry.
Sarah Kostense-Winterton, Executive at MIMA, said: “The Chancellor, George Osborne has missed an opportunity to boost productivity and jobs in the UK and improving the energy efficiency of our draughty homes across the UK.
Supporting the most cost-effective, easy to deliver energy efficiency measures would realise energy security, bring down our energy bills, taking the pressure of the NHS and keeping the lights on for many consumers, including the most vulnerable, across the UK.
If the Chancellor and the Government are serious about tackling fuel poverty, but also boosting productivity then the Spending Review and Autumn Statement have clearly not delivered and it is a discouraging message.
Mr Osborne must actively support the return of a confident energy efficiency industry; an industry which can deliver investment and job creation across the UK; an industry which can help deliver benefits that will be shared with HM Treasury, the Government and communities right across the country.”