Miatta Fahnbulleh is pressing the Treasury to consider broader relief for households facing another increase in energy bills at the start of 2027.
The Energy Secretary wants ministers to examine removing remaining legacy renewable-energy levies from bills and meeting those costs through general taxation instead.
Her intervention comes as forecasts indicate the household price cap could rise by about 16 per cent in January, taking the typical annual bill to approximately £1,999.
The Chancellor is separately considering targeted help for lower-income households, including a possible increase in the Warm Home Discount from £150 to £250. Final Budget decisions have not been announced.
Fahnbulleh’s proposal would spread assistance beyond households receiving means-tested support, but moving the costs into taxation would still require public funding.
The discussion concerns older schemes including the Renewables Obligation and feed-in tariffs. It is separate from longer-term work on tariff reform and reducing Britain’s exposure to volatile international gas prices.
The Treasury has not confirmed that the wider levy change will be included in the 28 October Budget. The proposal should therefore be treated as a ministerial intervention, not an agreed fiscal measure.
