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UK Green Energy Surges Amid Middle East Conflict and Rising Bills

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UK Green Energy Surges Amid Middle East Conflict and Rising Bills
Key Points
  • Consumer interest in green energy surges due to Middle East conflict and rising bills
  • Record sales and installations of solar panels, heat pumps, and EV chargers
  • Future Homes Standard mandates renewable energy in new homes from 2028

The number of Britons considering switching to greener power sources has surged due to concerns about rising energy bills and petrol prices from the conflict in the Middle East, according to multiple reports. A third of adults are now more inclined towards home energy installations following the conflict in Iran, sources indicate. Gas and oil prices are rising due to disruption in the Strait of Hormuz, fueling this shift in consumer behavior.

Rising energy costs are driving urgency, with Ofgem's energy price cap setting the maximum bill for a home with average usage to £1,641 per year from April to June. Forecaster Cornwall Insight predicts the price cap could jump to £1,973 per year from July if the conflict continues. Multiple reports show 83% of respondents expressed worry about energy price hikes anticipated from July, and 44% indicated they would be unable to afford them.

This concern is translating into action, with Octopus Energy having its best month ever for solar panel sales in March, up 54% on the year before. Sales of heat pumps climbed 51% and there was a 20% rise in those getting electric vehicle chargers fitted. Just over 177,000 domestic solar installations were completed in 2025, equivalent to 485 per day, according to industry data.

Solar panel adoption is growing across UK households, with more than 1.6 million homes having installed solar panels. Plymouth Moor View is the nation's solar panel capital with 144 installations per sq/km. Households with solar panels can sell excess solar power back to the National Grid at times of high demand, creating additional financial incentives.

The government's Future Homes Standard will make heat pumps and solar panels standard in new homes, but will not be fully in force for two years. The majority of new homes will be built with onsite renewable electricity generation, likely in the form of solar. The Future Homes Standard will create at least 75% fewer carbon emissions than homes built to 2013 standards.

Specific requirements mandate that from 2028, newly-built homes will no longer have gas boilers and instead must be fitted with heat pumps or linked to heating networks. Homes must have solar panels on their roofs covering an area equivalent to 40% of the ground floor space. The new rules will not be fully implemented until 2028, according to government plans.

Cost implications concern developers, with the cost to developers of complying with the new rules potentially reaching £10,000 per home on average. Developers have warned that solar panels will add to the cost of building homes and aren't suitable for many properties. However, the new standards will save homeowners £830 a year on bills compared to a standard EPC C dwelling.

Public opinion shows 76% hold US President Donald Trump responsible for impending energy bill increases, with 63% agreeing these rises constitute a 'Trump tax'. Reform UK opposes Labour's Net Zero push, calling it 'Net Stupid Zero' and plans to scrap these policies, according to Richard Tice. Critics point out that the Future Homes Standard plans won't help the vast majority of Britons who don't live in a new-build home.

While we support targeted rooftop solar where it actually works, we do not support Mad Miliband’s Net Zero push that risks wrecking our countryside and valuable agricultural land. At a time when household bills are already skyrocketing, it is completely tone deaf for Labour to push the public into buying expensive plug-in solar panels. Reform’s position has been clear from the start. We will scrap these Net Stupid Zero policies and bring energy bills down.

Richard Tice, Reform's shadow business, trade and energy secretary

Government initiatives include the Warm Homes plan, backed with £15 billion of taxpayer cash, under which homeowners will soon be able to access support for energy upgrades. A scheme will provide discounted energy bills to customers living near wind farms on windy days, mainly benefiting Scotland and the East of England. Multiple reports indicate 71% advocate for greater government support for insulation, and 68% desire more funding for solar panels and heat pumps.

Innovation is emerging in plug-in solar panels, which are small solar panels that can be bought at a supermarket, attached to an external wall, and plugged into a power socket. The government is working with retailers including Amazon and Lidl, and manufacturers such as EcoFlow, to introduce plug-in solar panels to the UK market. Plug-in solar panels will cost around £400, and will be available in shops 'within months'.

European success shows plug-in solar fitted to balconies is especially popular in Germany, with more than a million sets installed between 2022 and 2025. The price of plug-in solar halved between 2022 and 2025, with small models costing around €200 and large ones with storage costing less than €1,000. Plug-in solar is already widely used by households across Europe, with Germany seeing around half a million new devices plugged in per year.

Corporate adoption is growing, with Aldi installing solar panels at 62 more stores across the UK this year, investing £8.4 million to install panels at 100 branches across 2025 and 2026. Each solar installation at an Aldi store can provide up to 30% of the store’s annual energy requirements. Octopus Energy teams up with developers to deliver houses with heat pumps, solar panels and batteries where residents are guaranteed to pay nothing for at least five years.

Government policy actions include bringing forward the annual renewables auction to July. The most recent renewables auction was the biggest ever and alongside the previous auction, enough clean energy to power 23 million homes has been confirmed. Local planning authorities are responsible for renewable and low carbon energy development of 50 megawatts or less installed capacity.

Public skepticism remains, with 60% believing energy-saving technologies are too expensive to install. Google Trends shows searches for solar are up 20% and heat pumps are up 30%. Multiple reports indicate 64% believe the energy industry is profiteering from the Iran conflict.

Current adoption rates show around 142,000 new homes were built to completion in 2025. Only around 4,500 newbuilds had accredited heat pumps installed in 2025, and nearly 98,000 accredited solar arrays were installed. One controversial proposal is Lime Down in Wiltshire, a proposed 500-megawatt, 3,000-acre solar farm.

Remaining unknowns include what specific regulatory barriers are being removed to allow plug-in solar panels to be sold in UK shops and how many households are expected to adopt them once available. The exact timeline for full implementation of the Future Homes Standard across all new homes beyond 2028 has not been detailed. How the government will ensure increased costs for developers do not disproportionately affect new home buyers, and what measures support households in existing homes who cannot afford upgrades, remain unclear.

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