Debate contribution: Household Energy Costs

Debate contribution by Mr Gordon Lyons on 7 October 2025.

MLA

Mr Gordon Lyons

Party at the time

Democratic Unionist Party

Date

7 October 2025

Type

Debate contribution (made as a minister)

Business

Private Members' Business

Heading

Household Energy Costs

Assembly identifier

Official Report component 5165118

Read the official Assembly record

Text

Thank you, Madam Principal Deputy Speaker. I thank the Members who tabled the motion and brought it to the House today. There is much that I agree with in the motion; there is some I disagree with, which I will come to. My focus is on putting people first and making sure that we reduce fuel poverty across Northern Ireland. That is why I have instigated work on a new fuel poverty strategy, which I look forward to presenting to the Executive for approval by the end of the year, as I pledged to do. I acknowledge the role that poorly insulated and low-energy-efficiency homes play in increasing costs for householders. We have all agreed on that today. Enhanced energy-efficiency standards will undoubtedly reduce heating costs, and that is crucial to tackling fuel poverty. The proposals for a long-term framework in the draft fuel poverty strategy are intended to improve energy efficiency in homes, reduce energy costs, support those in fuel poverty and ensure consumer protections. Of course, we know that warmer homes contribute to better health outcomes for physical and mental well-being, and the implementation of higher standards will stimulate the demand for skilled labour in the construction, retrofitting and renewable technology sectors, which supports job creation. I welcome the collaborative engagement across government to develop the strategy. We now have a real opportunity to address the scourge of cold, damp homes. I recognise the need to improve the minimum housing standards, and therefore one of the three themes of the draft fuel poverty strategy is to make homes more energy efficient. The setting and enforcing of new standards appropriately will also help protect those most at risk from the costs and impacts of climate change, in line with the just transition principles. To support low-income households, my Department is continuing to deliver the affordable warmth scheme for low-income owner-occupiers and those in the private rented sector to provide energy-efficiency improvement measures, such as cavity and loft insulation, replacement heating systems and windows, where appropriate. Since the scheme began in 2015, it has supported over 30,000 households with an investment of over £136 million. When I was making decisions about this year's budget, £7·5 million was allocated to the scheme. However, I made a bid in the June monitoring round to the Department of Finance for an additional £3·75 million, but the bid was unsuccessful. I will continue to seek opportunities and press for additional funding to be made available for this vital scheme. In addition, I have asked my officials to bring forward a new, more ambitious fuel poverty scheme: the warm healthy homes scheme. The new scheme will continue to offer low-income households a range of energy-efficiency measures, such as insulation. However, in recognising the need to move towards renewables, it will also include low-carbon heating solutions and renewable technologies. Of course, interventions should not cause a detriment to those who are less able to engage with or invest in the changes, and it should not cost householders more to heat their homes after the installation of renewable technologies and decarbonisation measures. As I have said, the new warm healthy homes scheme will be more ambitious than its predecessor, and it will require significantly more investment to ensure that it can balance assisting the households most in need while contributing to a reduction in emissions. The private rented sector is a key component of a thriving housing market, but too many people who rent privately are falling into fuel poverty, and that is why consideration is being given to how any new energy-efficiency scheme could support that sector. The overarching themes are to reduce energy consumption, introduce lower carbon options for heating and raise standards, with policies and proposals being brought forward by my Department, along with the Economy, Finance and AERA Departments. There is a responsibility on social housing providers to ensure that they have strategies in place for the long-term management of their homes, by maintaining and improving their stock. The work includes updating insulation, doors, windows and heating systems, which will contribute to increasing the energy efficiency of social homes and, consequently, reduce the energy usage and related cost for tenants. My officials are reviewing the Decent Homes Standard, which is a minimum standard for existing social homes and is designed to trigger landlord interventions.

That review will consider how an updated standard could enhance and improve the quality and sustainability of existing homes, improve thermal comfort for residents and potentially reduce their energy usage.

The Northern Ireland Housing Executive has a 400-unit thermal improvement pilot under way. That £14 million investment from the Housing Executive's own income stream will be located across all three Housing Executive regions. The focus on improved energy efficiency measures includes low-carbon heating, the adoption of renewable technologies, electric tariff changes and improved household education. Of course, the Housing Executive is not the only social housing provider. The Housing Executive has invited registered housing associations to bring forward energy efficiency innovation pilot schemes for new-build homes through the social housing development programme. I note the request to bring forward proposals for the redesign of social homes, incorporating higher energy efficiency standards and renewable energy integration. I think that we are all in favour of that. We want to see those higher standards. However, those come at an immediate capital cost. The Member may be aware of the homes that were constructed in north Belfast to Passivhaus standards In some cases, we are talking about an extra 25% to 35% cost for those houses. We had that conversation in the Committee before, and she said that that will pay off over time. That may be the case, but are we prepared to cut back on our social homebuilding in order to build homes to that higher standard? It is a legitimate point that she makes. I do not know whether she is calling for that today. I am happy to take an intervention. Is she saying that we in the Department for Communities should build all future social homes to Passivhaus standards?

1,012 words. Text as published by the Northern Ireland Assembly.

Assessment

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Assessed 21 October 2026 at 13:23 UTC by jev-1.13.0 (requested as typesafe/jev) under rubric 2026.10-r9, methodology 1.9.

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