Rishi Sunak has announced Brits will see relief from their soaring energy bills thanks to Brexit and the abolishing of red tape imposed by the EU on renewable energy sources.
The Chancellor vowed he would reverse the bloc’s regulations that have hampered Brits from installing more energy-saving materials such as solar panels.
Mr Sunak said: “Thanks to Brexit we're no longer constrained by EU law... We’ll reverse the EU’s decision to take wind and water turbines out of scope – and zero rate them as well. And we’ll abolish all the red tape imposed by the EU.
"A family having a solar panel installed will see tax savings worth over £1,000. And savings on their energy bill of over £300 per year."
Rishi Sunak Chancellor of the Exchequer makes his Spring Statement today
House of Commons
Installing solar panels will now be cheaper for Brits
Mike Blake
Mr Sunak said the policy will not apply immediately to Northern Ireland due to “deficiencies” in the Northern Ireland Protocol but said support would be offered.
The Chancellor also declared VAT will be reduced from five percent to zero on cleaner technologies and materials such as solar panels, heat pumps and insulation as part of his bid to help homeowners reduce their bills.
The announcement was met by cheers from Conservative members.
The chair of the all-party environment group has welcomed Mr Sunak’s plan to cut VAT on energy efficiency measures.
Conservative MP Anthony Browne said: “As energy bills rise, it was welcome to see the Chancellor recognise the important role energy efficiency can play by cutting VAT on energy saving materials such as solar panels, insulation and heat pumps to 0 percent.
“Measures like this can help reduce dependence on expensive gas and I look forward to further announcements on energy efficiency as part of the PM’s energy strategy."