The government introduced the Energy Independence Bill in Parliament on Wednesday 4 November 2026. It is a wide-ranging package covering consumer protection, support with bills, home upgrades and energy infrastructure. Most details will be set in later regulations, so the effect on bills will depend on how the measures are finished.
Protecting savings already on bills
The Bill would put a Renewables Obligation change on a lasting legal footing. Moving 75% of domestic Renewables Obligation costs from bills to the Exchequer has already taken around £90 a year off an average household bill, according to the Department for Energy Security and Net Zero (DESNZ). The current powers have to be renewed every six months. The Bill would cover the period to March 2029 and let ministers require suppliers to pass the saving on, including to customers on fixed deals.
The government also says it will bring forward amendments to support the plan, announced in the Budget, to scrap standing charges on household gas bills. It says around 60% of gas account holders could save an average of £45 a year. Our earlier report on the Budget and energy bills explains the timetable for that change.
Tougher regulation
The Bill would strengthen Ofgem’s duties and enforcement powers, including action on unfair bonuses at failing companies. Energy brokers and price comparison services would come under Ofgem regulation, with powers to order compensation, fine and ban rogue operators. The government estimates this could save businesses more than £100 million a year in mis-selling and hidden commissions.
It would also let ministers remove some charges on electricity that is stored and exported back to the grid, which is aimed at home batteries and vehicle-to-grid charging.
Renters, homes and the grid
Local authorities would get stronger powers over landlords who fail to meet energy efficiency standards, with fines of up to £30,000. The government says this supports plans to save households in upgraded rented homes around £210 a year by 2030. The Bill would also put a Warm Homes Agency into law to administer home upgrade schemes, and establish the publicly owned Great British Grid through an amendment still to come.
On the North Sea, the Bill would end new licences to explore new oil and gas fields. New Transitional Energy Certificates would allow further production in areas already explored, which the government says could unlock around 60 million barrels of oil.
What happens next
The Bill must pass both Houses of Parliament, and several measures, including the gas standing charge change, depend on amendments or secondary legislation yet to be published. Nothing in it changes the energy price cap directly. For wider context, see our UK energy overview.
