The report also revealed that in the year to May, gas price inflation was almost double that of electricity, meaning heating an energy-efficient home with a heat pump is now more than £220 cheaper per year than heating of an average home with natural gas. boiler. At the same time, a 30 per cent inflation in petrol prices has further widened the difference in running costs between internal combustion vehicles and electric vehicles, with the latter being around £780 a year cheaper on average. Unfortunately, high energy and fuel costs are expected to continue for the coming months, with the average dual fuel bill expected to reach £2,800 by October, Ofgem said. Continued petrol price volatility, meanwhile, has led some to predict prices well above £2 a litre. ECIU’s head of analysis, Dr Simon Cran-McGreehin, said: “Electricity-powered homes and cars are not just cheaper to run, they are far less polluting and increasingly run on British offshore wind. “These net zero technologies allow more and more homes to break free from Putin’s hands on the oil and gas markets, doing their bit for their own and the UK’s energy security. “For hard-pressed families who can, even investing a few hundred pounds in insulation now pays off in record time. “Installing a heat pump with the help of government grants will reduce heating costs and the growing market for used electric vehicles opens up cheaper travel costs to more households. “By taking further steps to make these net zero technologies more affordable, the government can stand up to Putin and help households lower their bills.” READ MORE: The ‘new Saudi Arabia’ that could keep the energy crisis at bay As well as benefiting individual households, moving away from the use of fossil fuels would also strengthen the UK’s energy security and generate significant savings on a national scale. In fact, UK households could spend at least £35bn less on heating and car journeys in an electric future than they do today. The ECIU admitted that low-income households will need support to be able to buy clean technologies, but noted that they are “becoming increasingly affordable as prices fall”. For example, alongside the £5,000 offer for heat pumps, the government is working with industry to try and halve their cost, which can be between £4,000-10,000, by 2025 and by 2030 . Experts found that 4.8 million of the UK’s 28 million homes are suitable for heat pumps, while 8.4 million would only need minimal changes, such as the introduction of wall and attic insulation, which also serve to reduce heating bills by by themselves. On the electric car front, while the government has stopped offering £1,500 grants to help consumers make the switch from fossil fuels, the second-hand market offers affordable options for many, the ECIU said. In fact, 40,000 electric vehicles changed hands in 2021, up 119% from the previous year. DON’T MISS: Lifeline to energy crisis: five areas mapped out for Cornwall’s wind farms [REPORT]A massive volcano lurking beneath Russia could kill millions [ANALYSIS]Rolls-Royce reveals six potential UK sites for nuclear reactors [INSIGHT] Commenting on the findings, the Chair of the Parliamentary Group on Renewable Energy and Sustainable Energy, Bim Afolami MP, commented: “There is no category where inflation hits homes and businesses more than the cost of energy. “The UK’s wind power generation is already starting to replace our reliance on natural gas, the high price of which has had a huge impact on energy bills for homes and businesses. “The route to cost-effective and efficient home renewable energy is through expanding home insulation and installing heat pumps. “In recent months we have also seen petrol and diesel prices skyrocket in forecourts across the UK and beyond. “Charging electric vehicles will be both cheaper and cleaner as wind power continues to grow from strength to strength. “It’s great to see the used EV market growing to provide more affordable options for families to shift gears and drive electric.”
