Following today’s cut to VAT on electricity bills, Mitsubishi Electric‘s James Chaplen, Head of Product Marketing and Communications, believes the move could help make heat pumps more affordable by narrowing the gap between electricity and gas prices.
He also states that there is more to be done, saying: “The cut to VAT on electricity bills from October is a welcome step towards encouraging households to make the switch to heat pumps and to move away from gas boilers.
“This VAT reduction in the cost of electricity will be welcomed by many households. By rebalancing and narrowing the gap between the price of gas and electricity makes the transition to renewable home heating more affordable.
“This is a positive step to addressing the fundamental problem of electricity being more expensive than gas per kilowatt hour. Importantly, it also reduces the UK’s reliance on fossil fuels and improves energy security in the long-term.
“Miatta Fahnbulleh’s appointment as Secretary of State for Energy Security and Net Zero is also encouraging. Her understanding of the Department’s work and what can be achieved through the successful decarbonisation of buildings puts her in a strong position to help accelerate the transition to low-carbon heating, and support the electrification of society and the economy.”
