Under the leadership of Andy Burnham, 100,000 households living within 500 metres of energy pylons and infrastructure will receive Cost of Living payments starting early next year. This initiative forms part of a wider government strategy to support communities hosting critical energy infrastructure.
A government impact assessment conducted earlier this year estimated that over 100,000 households could benefit from this scheme in the coming decades as new projects continue to develop.
Labour Party Energy Minister Michael Shanks emphasised the importance of upgrading Britain’s electricity grid, which he described as essential for delivering secure, homegrown energy and fostering economic growth. “We are renewing infrastructure largely built in the 1960s,” Shanks said, noting that modernising the grid will help lower electricity bills across the country. He also stressed the commitment to ensuring that communities hosting pylons directly benefit through reduced energy costs.
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Neil Lawrence, executive director for delivery and schemes at Ofgem, highlighted the role of communities in supporting Britain’s transition to a cleaner and more secure energy system. He explained that the bill discount scheme is designed to provide eligible households near new transmission infrastructure with tangible financial relief. Lawrence also assured that Ofgem will oversee the scheme to guarantee payments are delivered effectively, fairly, and transparently.
Minister for Energy Consumers Miatta Fahnbulleh echoed these sentiments, stressing that as new energy infrastructure is developed to provide affordable and homegrown energy, communities must be given a stake in the process. She stated that the government is collaborating with communities hosting new pylons to ensure they receive direct and meaningful benefits. Fahnbulleh concluded by reaffirming the commitment to build for the future, drive innovation, and prioritise community support throughout this endeavour.