Energy bills in Greater Manchester average £1,800 a year for a typical household, nearly 20% above the UK median. That figure, driven by high network charges and ageing housing stock, has prompted a Labour donor to urge Mayor Andy Burnham to intervene.
As This is Money reported, the call comes amid growing frustration that regional leaders lack the powers to cap prices directly. But the episode raises a bigger question for every UK homeowner: how much control do you actually have over your energy costs?
Who pays the price, and who doesn’t
Ofgem sets the energy price cap for England, Scotland, and Wales. It limits how much suppliers can charge per unit of gas and electricity. In Greater Manchester, the cap applies just as it does in Cornwall or Cumbria. The difference is local network charges, which vary by region. Households in the North West pay about £30 more a year in distribution costs than those in London, according to Ofgem data.
The donor’s plea to Burnham shows energy poverty is not evenly spread. But mayors cannot override the cap or national tariff structures. What they can do is push for better insulation programmes, local heat network pilots, and faster rollout of solar on public housing, all of which Burnham has pursued through the Greater Manchester Combined Authority.
Yet the catch is that these measures take years to show up on a single bill. For a homeowner in a 1930s semi with single glazing and an old gas boiler, the immediate relief comes from upgrades, not politics.
What it costs a typical 3-bed semi
Take a typical 3-bed semi in the North West using 12,000 kWh of gas and 2,900 kWh of electricity a year. At current cap rates (July 2024), that’s roughly £1,750 annually. Loft insulation (costing around £500-£700 installed) can shave off 15% of heat loss, saving about £260 a year. Cavity wall insulation (£1,000-£1,500) saves another £300. An air-source heat pump, under the Boiler Upgrade Scheme, costs about £7,500 after the £7,500 grant, and can cut heating bills by 20-30% compared to gas.
These figures assume a well-insulated home. Without insulation, the heat pump’s efficiency drops and running costs rise. The Energy Saving Trust estimates that the average semi-detached home could save £500-£800 a year through a combination of fabric upgrades and a heat pump.
Grants you can claim now
The Boiler Upgrade Scheme offers £7,500 towards a heat pump or biomass boiler. It runs until 2028. The Great British Insulation Scheme provides free or discounted loft and cavity wall insulation for low-income households. ECO4 targets the fuel poor with full home upgrades. None of these require a mayor’s approval. They are national programmes administered by suppliers.
But eligibility is patchy. The Boiler Upgrade Scheme is open to all homeowners, but the installer must be MCS-certified and the property must have an EPC rating of D or above (for heat pumps). For many older homes, that means insulation first, a double hurdle that slows uptake.
Documents seen by the Guardian show that less than half of the allocated ECO4 funding has been spent so far, partly due to delays in assessments and installer capacity. The lesson for homeowners: apply early and be persistent.
What you should do by when
If you live in Greater Manchester, write to Burnham’s office and ask what local schemes are available, the region has its own Warm Homes Fund and a social housing retrofit programme. But don’t wait for politicians to fix your bill. Check your EPC rating at gov.uk. If it’s below C, book an insulation survey this autumn, before the heating season spikes. The Boiler Upgrade Scheme grants are first-come, first-served. The cap on installations is 120,000 in total for 2024-25. Once that fills, you wait.
Energy prices will not fall sharply next year. The price cap is forecast to rise again in October. The surest route to lower bills is through your own walls and roof, not a mayor’s press release.
Frequently Asked Questions
No, not directly. The energy price cap is set by Ofgem nationally. Burnham can influence local schemes like insulation programmes and heat networks, but these take time to affect your individual bill.
Check your EPC rating and apply for grants like the Great British Insulation Scheme or Boiler Upgrade Scheme. Loft insulation and draught-proofing are cheap fixes that pay back within a year.
