A NEW report from the Climate Change Committee says that the UK is not moving fast enough to electrify, which is costing householders higher bills as a result.
The report shows that since the start of the Iran war, households with gas boilers and petrol cars have seen energy bills rise almost four times more than those with heat pumps and EVs.
A typical household could save around £1,200 a year today by combining an EV, a heat pump, solar panels and a time-of-use tariff, the Climate Change Committee’s report said today (24 June 2026). For some rural homes this could rise to as much as £1,900.
Opportunity missed to minimise energy price traumas
The report said the UK had missed an opportunity to enhance UK energy security in the face of rising threats, leaving the UK exposed to geopolitical shocks. 93% of the UK’s emissions were now outside the electricity supply sector and around three-quarters of a typical household’s driving and home energy bills were from the direct use of fossil fuels in cars and gas boilers, it said.
“The transition to clean electricity is not happening fast enough,” commented Nigel Topping, Chair of the Climate Change Committee.
“Government support to accelerate the shift to electric vehicles and heat pumps is critical, not only to keep our climate targets within reach but to unlock savings. At this moment of political uncertainty, any weakening of current positions risks slowing these transitions, undermining investment and the long-term consistency businesses need.”
A recent survey by YouGov instigated by leasing brokerage Gateway2Lease found that rising petrol prices were persuading nearly a third of drivers to consider an electric car.
Sales in electric cars were continuing to grow, the report added, with nearly one in four car sales electric.
But in other areas of electrification, the brakes were firmly on, it said. Heat pump installation was 56% last year; this year it’s slumped to 7%.
“This is about more than targets, it’s about cleaner air, energy security and shielding the economy from fossil fuel shocks. Ultimately this is about putting money back into people’s pockets,” added Topping.
The Climate Change Committee report can be read here
Progress in reducing emissions 2026 report to Parliament
Ralph Morton is the leading journalist in the leasing broker sector and editor of Broker News, the website which provides information and news for BVRLA-registered leasing brokers. He also writes extensively on the fleet and leasing market in both the UK and Europe.
