Committee publication · Correspondence · 11 March 2026
Correspondence from Kulraj Roewal relating to the one-off Warm Homes Plan oral evidence session on 11 March 2026, dated 28 February 2026
From: Energy Security and Net Zero Committee
Inquiry: Warm Homes Plan
Summary
Kulraj Roewal submits written evidence to the Energy Security and Net Zero Committee criticising the government's decision to scrap the Energy Company Obligation (ECO) scheme. He argues the £1.13 weekly saving claim masks a 25% cut in green homes funding, is destroying the insulation workforce (78,000 jobs at risk), leaving defective homes unremediated, and undermining the Warm Homes Plan pledge to lift one million families out of fuel poverty—with knock-on damage to heat pump uptake.
Key findings
- ECO scrapping cuts household bills by just £1.13/week (£59 of claimed £150) whilst green homes funding falls from £20bn to £15bn in real terms—a 25% reduction hitting far fewer households than predecessor schemes
- Installation Assurance Authority estimates 78,000 jobs at risk within 12 months; major firms like Consumer Energy Solutions already collapsed; SMEs shut out from new Warm Homes tenders by complex procurement before ECO end was announced
- Warm Homes Plan replaces £1.7bn annual ECO levy + £2.7bn LAD/HUG grants with just £500m over three years in direct grants, relying instead on low/zero-interest loans mirroring the failed Green Deal model households rejected
- ECO4 external wall insulation failures (98% of 22,000–23,000 homes with major defects) left unrepaired; 'find and fix' programme remediated only ~10% by late 2025; closing firms mean defects untreated or taxpayer-funded fixes post-guarantee expiry
- Heat pump uptake via Boiler Upgrade Scheme likely to 'dip significantly' as ECO-bundled solar subsidies disappear; phased transition with TrustMark reform abandoned in favour of cliff-edge ending
Tone
CriticalTopics
Key actors
Kulraj Roewal, Rachel Reeves, Energy Company Obligation (ECO), Warm Homes Plan, TrustMark, Installation Assurance Authority (IAA), Department for Energy Security and Net Zero (DESNZ), Consumer Energy Solutions
Notable line
“Fuel-poor families will be left in cold, damp homes while Labour claims a £1.13 weekly "saving".”
Key Quotes
“… so I am scrapping it!”
“Of that, £59 comes directly from ending ECO – just £1.13 per week .”
“A survey by the Installation Assurance Authority (IAA) estimates up to 78,000 jobs at risk within 12 months across installers and their supply chains.”
“A Public Accounts Committee report revealed that 98% of EWI installations (around 22,000 – 23,000 homes) and 29% of IWI had major defects – risks of water ingress, condensation, mould and immediate health and safety issues.”
“Those schemes, run under Ofgem, delivered upgrades without the same quality collapse and "worked reasonably well".”
“A phased transition – with ECO tapering down as Warm Homes grants ramped up, alongside immediate reform of TrustMark oversight – would have preserved jobs, protected households, and avoided repeating the Green Deal's mistakes. Instead, the government chose a cliff edge.”
Source · parliament.uk record ↗