Miliband and Rayner join forces to save net zero

Telegraph

01-05-2025

Gas boilers in new homes will be banned as soon as next year under plans being spearheaded by Ed Miliband and Angela Rayner.
The energy and housing secretaries have joined forces on new rules for housebuilders, which will require newbuilds to have heat pumps and solar panels.
The Telegraph understands the new rules will be announced by Ms Rayner this summer, and are likely to be in force by next year.
The fight for net zero is at the heart of a growing row engulfing Labour, exposed this week by Sir Tony Blair who warned Sir Keir Starmer that his current green policies were 'doomed to fail'.
Despite Labour MPs and unions urging Sir Keir to change course on net zero, Mr Miliband and Ms Rayner will drive their radical reforms forward this year.
The Cabinet ministers have been working together on net zero requirements in the Future Homes Standard, a change to building regulations first proposed by the Conservatives in 2019.
Insiders said the pair had opted for the most 'ambitious' version of the new rules, which would ban gas boilers as fast as possible in new homes by increasing the energy efficiency requirements on developers.
But housebuilders have warned that onerous new net zero requirements could increase costs, making it less likely that Ms Rayner will meet her target of building 1.5 million homes by the end of Labour's first term.
Industry sources said the boiler ban had been expected to come into force in 2027, after a 12-month period for the legislation to take effect and a further year to implement the changes.
Government sources now say the rules could take effect as soon as early 2026, giving the industry as little as six months to prepare.
Mr Miliband and Ms Rayner's new rules will also require solar panels on almost all newbuilds, adding up to £4,000 to the cost of the properties.
That plan, first floated in a Conservative-era public consultation, comes despite pressure from the housebuilding sector to make solar panels optional.
The latest report from Britain's fiscal watchdog estimated that Labour will fall 200,000 homes short of its 1.5 million target, even without the changes to building regulations.
On Thursday, Downing Street insisted the changes would not make it harder to hit the target.
The new homes standard was repeatedly delayed under previous Conservative governments, but has been quickly pursued by both Ms Rayner and Mr Miliband since they took office last year.
Officials at the Department of Energy Security and Net Zero are also working on plans to encourage homes with open fires and wood burning stoves to replace them with heat pumps.
Ministers have commissioned a Westminster-based research company to survey homes with 'secondary heating', including electric and gas fires, wood burning stoves and fan heaters.
In the company's contract, seen by The Telegraph, officials argued that 'reaching net zero by 2050 will require significant changes to how households heat their homes'.
The company was asked to find out whether the 'introduction of a heat pump would change households' use of secondary heating', noting that ministers wanted to 'minimise potential burden on the electricity grid and transition away from fossil fuel-based secondary heating'.
The Telegraph understands the report is designed to build understanding of how people use secondary heating, and no policy has yet been formed on whether or how to phase it out.
Labour has watered down other net zero policies, including a ban on new non-electric cars by 2030 that will no longer include vans, hybrids, or most British supercars.
Mr Miliband has clashed with his Cabinet colleagues over concerns that his net zero policies were unpopular with voters and threatened to hinder growth, despite his insistence that the drive for clean power will result in economic benefits.
On Wednesday Downing Street failed to guarantee that his job as Energy Security and Net Zero Secretary was safe for the remainder of Labour's first term.
Ms Rayner has also had her differences with Sir Keir, which sources close to her say have since been resolved since he tried to sack her in May 2021. However, earlier this week it was claimed that she threatened to resign over the Government's target to build 1.5 million homes, but was talked down by Sir Tony.
This week Sir Tony, who has been advising Sir Keir, criticised what he described as 'financial sacrifices and changes in lifestyle' imposed on the public for the sake of a 'minimal' reduction in emissions.
The former prime minister later rowed back on that view, arguing that Labour's approach was the 'right one' following a conversation with Downing Street.
But Labour sources were furious with Sir Tony for his implied criticism of one of the Government's flagship policies just days before the local elections. One said the 'pretty incredible' intervention showed he had been 'out of the game for too long'.
Labour is bracing for a bloodbath at Thursday's local elections, with the party expecting to lose hundreds of council seats across the country.
Speaking on Wednesday a Downing Street spokesman insisted that the Government would try to 'tread lightly' on voters' lives when implementing net zero policies.
Sir Keir said last month that he would look for 'flexibilities' to reduce the burden on consumers and companies.
A Housing Department spokesperson said: 'The Future Homes Standard will be published later this year.
'We have always been clear that we want solar panels on as many new homes as possible, because they are a vital technology to help cut bills for families, boost our national energy security, and help deliver net zero.
'Through the Future Homes Standard we plan to maximise the installation of solar panels on new homes, as part of our ambition to ensure all new homes are energy efficient, and will set out final plans in due course.'
A Downing Street spokesman said on Thursday that the Future Homes Standard would contain measures to increase the uptake in solar panels.
Asked if this would affect the Government's housebuilding target, the spokesman replied: 'No. We're obviously doing this in consultation with the industry, which is why we're working on the details of it which you'll see once the future homes standard has been published.
'These proposals aren't new… We'll obviously also introduce it in a way that industry has time to deliver, deliver the new standards and that's exactly what we're working on as we speak.'
Rayner using Miliband to flex her political muscles
By Gordon Rayner
On Wednesday, No 10 insisted the Government would 'tread lightly' on people's lives as it implemented net zero policies.
A day later, we learn that Angela Rayner and Ed Miliband are pursuing the most radical possible net zero reforms to house building. So what exactly is going on?
A disconnect between Downing Street and Mr Miliband's department for energy security and net zero has been plain to see almost since Labour came to power, but the fact that Ms Rayner has teamed up with Red Ed smacks of factionalism.
No matter how hard the various parties might try to insist that they are all getting on swimmingly, Ms Rayner is canny enough to know how her latest move will be perceived, and in the eyes of voters perception is reality.
As the former Labour MP Tom Harris wrote earlier this week, speculation is rife among Labour MPs that Sir Keir Starmer might not contest the next general election as Labour leader. A bad set of results in this week's local elections and Runcorn and Helsby by-election will only turn up the volume on that Westminster gossip.
Currying favour
You might, then, speculate that Ms Rayner is hedging her bets by standing with Mr Miliband on his net zero agenda. Regardless of whether Mr Miliband has any chance of succeeding Sir Keir as leader and prime minister (a chance that is slim but not zero), Mr Miliband remains hugely popular with Labour members – the people who will choose the next leader.
Despite his disastrous previous crack at the Labour leadership, he remains more popular with the members than his Cabinet colleagues, and Ms Rayner may well want to share Mr Miliband's umbrella if bad news continues to rain down on the Starmer premiership.
What else could explain Ms Rayner's decision to back a policy that might scupper her chances of hitting her target of 1.5 million new homes by the time of the next election?
By speeding up a gas boiler ban and insisting on heat pumps and solar panels in new builds, Ms Rayner is increasing the cost and regulatory burden for builders at a time when she is already predicted to fall 200,000 homes short of her goal.
However, the new net zero rules are also a way for her to flex her political muscles by driving through changes that might not be popular with Sir Keir or Rachel Reeves, but which they can do little to stop.
Ms Rayner, directly elected as Labour's Deputy Leader, cannot be sacked from that role by Sir Keir, meaning he would hardly dare to remove her from her other job as Housing Secretary.
Sir Keir has watered down other net zero policies, including the ban on non-electric cars by 2030 that won't now include vans, hybrids or most British supercars.
There is also a suspicion among some Labour figures that Sir Tony Blair's curious net zero intervention this week, in which he said the current policies are 'doomed to fail', was designed to prepare the ground for a further downgrading of net zero policies by Sir Keir, who is desperate to stem the flow of voters to the net zero-sceptic Reform UK.
There are even those who believe Mr Miliband will be used as a scapegoat for poor election results this week, and could lose his job in the next reshuffle as a result.
Much has been read into the fact that Downing Street refused earlier this week to guarantee he would still be in post by the time of the next election, unlike Ms Reeves and David Lammy, the Foreign Secretary, who have been assured they will keep their jobs throughout this Parliament.
If Mr Miliband were to be sacrificed by Sir Keir, Ms Rayner would at least be able to produce evidence to Labour members that she did not dip her hands in the blood.