New Prime Minister delivers on ECA call for cut in electricity costs

  Posted by: electime      21st July 2026

Electrical Contractors’ Association (ECA) congratulates new UK Prime Minister Andy Burnham on his announcement, within his first 24 hours in office, that VAT will be removed from household electricity bills.

ECA has campaigned for the past five years for the price of electricity to be cut, including through a reduction in the taxes and levies that make electricity significantly more expensive than gas. Removing VAT from household electricity bills is an important step towards fairer energy pricing and will help encourage wider adoption of low-carbon electrical heating and transport.

Gary Parker, Deputy Director of Technical at ECA, said: “We thank the new Prime Minister on answering ECA’s call and taking swift action to reduce household electricity costs and support the UK’s transition to electrification.

“ECA has long campaigned for a cut in the cost of electricity, and removing VAT from household bills is a welcome and practical first step. We now urge Government to ensure safety remains central to the energy transition, with competent, qualified electricians recognised as essential to delivering it.”