Fuel poverty investment delivers £228m in social benefits

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Investment in tackling fuel poverty generated more than £228 million in additional social and economic benefits over two years, according to independent research.

The study by Social Value Lab examined publicly funded fuel poverty and energy efficiency programmes delivered by Warmworks across the UK during 2023/24 and 2024/25.

It found that £174.6 million of public investment generated £403.3 million in total social value, equivalent to £2.31 in wider benefits for every £1 invested.

Ross Armstrong, Chief Executive of Warmworks, said: “The independent research highlights the transformational changes in quality of life, with widespread improvements to the health and well-being of those whose homes have been upgraded, as well as their sense of safety and community, with the benefits extending to the education of children.

“The positive impact on the supply chain of organisations involved in delivery is also stark, with the investment boosting the financial security of businesses and enabling the recruitment of more staff and apprentices in local communities.”

The research included a survey of almost 1,000 households that received measures such as wall and loft insulation, draught-proofing, renewable technologies and heating upgrades, including air source heat pumps.

Health and household finances were among the areas showing improvements. 73% of respondents said the work improved their health or wellbeing, while 56% reported spending less on heating their homes.

The study also found that 47% of households with children believed the improvements benefited their children’s educational experience, while 32% reported increased social activity.

Home safety was another reported benefit, with 72% saying their homes felt safer, partly due to new smoke and carbon monoxide alarms.

The research also examined the impact on businesses involved in delivering the upgrades. 86%reported increased recruitment opportunities, while 87% said the programmes improved financial security and business sustainability.

Almost 80% of businesses said the investment created opportunities to diversify, while the same proportion reported positive effects on local economies.

The findings highlight the potential for energy efficiency programmes to deliver benefits beyond reducing household energy costs, including improvements to health, wellbeing, employment and local economies.