Energy costs are now the single biggest concern for businesses in Greater Manchester, and they have told Mayor Andy Burnham to make them his priority. The message, delivered by a coalition of local business leaders, lands at a moment when the average UK household is still paying £1,738 a year on the price cap, nearly double pre-crisis levels. This is more than a corporate lobbying point for homeowners. It signals political pressure on energy prices shifting from national to local, which could mean new money for home upgrades.
As The Times reports, the business group wants Burnham to use his devolved powers to tackle energy infrastructure and reduce costs for companies, and, by extension, for residents. But what does a mayor’s energy strategy mean for someone living in a 1930s semi with an EPC rating of D?
Who qualifies, and who doesn’t
Burnham has already secured a devolved net-zero deal with Whitehall, which includes funding for home energy upgrades. The business chiefs want him to go further: faster grid connections for local renewable projects, bulk purchasing of heat pumps for homes, and a street-by-street insulation programme. The catch is that these schemes are currently limited to Greater Manchester. Homeowners in other metro mayoral areas, Liverpool, West Midlands, Tees Valley, may have to wait for their own elected leaders to follow suit.
Yet the principle is national. If Burnham delivers lower bills through local action, it will create a template that other mayors will copy. The Energy Saving Trust estimates that a typical semi-detached home with poor insulation loses 25% of its heat through the roof and 35% through the walls. Local bulk-buy schemes could cut the cost of cavity wall insulation from £2,500 to under £1,500 per home.
What it costs a typical 3-bed semi
Ofgem confirmed in August 2025 that the price cap will rise by £63 in October, the third increase this year. For a 3-bed semi using 12,000 kWh of gas and 2,900 kWh of electricity annually, that means an extra £5.25 a month. Not catastrophic, but cumulative. The business leaders in Manchester are arguing that these recurring increases destroy household budgets and business margins alike.
Homeowners who act now on insulation or a heat pump can lock in lower usage. The Boiler Upgrade Scheme currently offers £7,500 off an air-source heat pump, though installers report lead times of 8–12 weeks in the North West. The total cost of a heat pump installation typically ranges from £7,000 to £13,000 after the grant, depending on the property’s size and existing radiator system.
The ‘but’ pivot, what this misses
But the business leaders’ demand is not a universal fix. They want cheaper energy for commerce, which means lower wholesale prices and faster grid connections for factories. That does not automatically translate to cheaper domestic bills. The domestic price cap is set by Ofgem, not by mayors. Burnham can lobby for better insulation grants and local solar farms, but he cannot cap the unit price of gas.
The real benefit for homeowners will come if the mayor uses his devolved housing fund to mandate minimum EPC standards for private rentals and social housing. A recent report from the Greater Manchester Combined Authority shows that 42% of homes in the region are rated EPC D or below. Raising those to C could save each household an average of £320 a year. That is the sort of figure that makes a mayor’s energy strategy worth watching, even from outside the region.
What to do and by when
Homeowners in Greater Manchester should check their EPC rating now through gov.uk. If it is D or lower, contact the local energy advice service (Greater Manchester Energy Advice) for information on grant-funded insulation. Those outside the region should still apply for the Boiler Upgrade Scheme before the April 2026 budget review, when the grant amount may change. Households on standard variable tariffs can compare deals via Ofgem-accredited sites, though the cheapest tariffs are still about 8% above the cap.
Frequently Asked Questions
Not directly, the price cap is set nationally by Ofgem. But Burnham's devolved powers could fund local insulation schemes and bulk-buy heat pump deals, which lower your usage and therefore your bill. If you live in Greater Manchester, check your EPC rating and contact the local energy advice service.
The current £7,500 grant for air-source heat pumps runs until at least April 2026, but the government has signalled a review. Industry bodies expect the grant to continue in some form, possibly with a lower amount for lower-income households. Apply now to lock in the current rate.
