The drive to Net Zero will see the average British household facing a £900 rise in energy bills by 2030, researchers say.
A major report conducted by Professor Gordon Hughes, a former energy advisor to the World Bank and Edinburgh University’s former head of economics, paints a grim picture of Britain’s energy future.
The study warns that the costs associated with producing electricity, maintaining the grid, and funding green subsidies will lead to dramatic bill increases by 2030.
Prof Hughes also looked into the effect rising prices might have on net zero's effect on costs outside energy bills. Because businesses are facing the same hikes, these are likely to be passed onto the customer.
It means consumers face up to £1,800 a year in additional costs on everyday living such as groceries, leisure and travel.
His findings directly challenge claims put forward by Labour, which has promised its net zero electricity system would cut the average household bill by £300.
“I have absolute faith,” Energy Secretary Ed Miliband said. “Net Zero will do great things for our country and our world.”
Last week, Miliband reaffirmed Labour’s green energy ambitions, stating: “The single most important thing we can do is stick to our clean power mission.”
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But Prof Hughes's research shows energy costs are set to rise by at least 75 per cent, with businesses and consumers alike bearing the brunt of these increases.
He said: “If the Government presses ahead with its plans for net zero and decarbonising the grid by 2030, the effects on bills and prices will be huge.
“The economic effects will be so large it is difficult to imagine the Government persisting with this.”
The professor's analysis is based on a detailed and sophisticated model of the UK’s electricity system.
Instead of reducing costs, the shift to renewables is set to exacerbate the financial burden on British households and businesses alike.
Andrew Montford, director of Net Zero Watch, which scrutinises green energy policy, said: “Ed Miliband is running amok over the UK economy.
“For everybody's sake, Sir Keir Starmer needs to deal with him, and quickly.”
Prof Hughes went on to dismantle the argument the primary driver of rising energy costs is volatile fossil fuel prices.
As GB News exclusively reported last week, Prof Hughes has shown the wholesale price of electricity - where fluctuations in gas prices are most visible - has remained relatively stable over the past two decades.
Yet, in that time, electricity bills for domestic households have tripled, while those for businesses have nearly quadrupled.
While Russia’s 2022 invasion of Ukraine temporarily sent European natural gas prices soaring, Prof Hughes says blaming external geopolitical factors is misleading.
Instead, he points to ever-increasing green taxes, levies, and subsidies as the real culprits behind Britain’s spiraling energy costs.
These additional charges now account for more than three-quarters of household electricity bills.
Prof Hughes said: “The steady increase in inflation-adjusted electricity prices over the last two decades is largely a matter of self-inflicted harm.”
Despite the promise of a net zero utopia, Prof Hughes warns that the inefficiency of renewables means fossil fuels will remain essential for years to come. Britain will be forced to invest billions into new backup gas-fired power stations simply to ensure grid stability when wind and solar power fail to deliver.
Prof Hughes's model predicts that constructing new wind and solar farms will cost around £150billion over the next five years, a figure far exceeding official Government estimates.
With the UK increasingly reliant on undersea electricity imports from Europe, consumers will be left at the mercy of foreign energy suppliers.
The consequences of net zero go beyond household bills. The economic fallout could be catastrophic, warns Prof Hughes.
The energy-intensive manufacturing sector, already struggling with rising costs, faces potential extinction.
“Electricity-intensive industries which compete in world markets can only meet these costs by reducing wages or profits.
“Since workers are unwilling to accept reductions in their incomes, the result has been that they have closed their activities in the UK and moved elsewhere.”
A Department for Energy Security and Net Zero spokesperson said: “We wholly reject these findings, which are fundamentally incorrect on what has driven higher energy prices.
“Every family and business has paid the price of rocketing energy bills because previous governments failed to invest at scale over many years in the clean, secure home-grown power our country needed, so we have been left exposed to volatile international fossil fuel markets.
“As shown by the National Energy System Operator’s independent report, clean power by 2030 is achievable and will deliver a more secure energy system, which could see a lower cost of electricity and lower bills.”
Find Out More...
A major report conducted by Professor Gordon Hughes, a former energy advisor to the World Bank and Edinburgh University’s former head of economics, paints a grim picture of Britain’s energy future.
The study warns that the costs associated with producing electricity, maintaining the grid, and funding green subsidies will lead to dramatic bill increases by 2030.
Prof Hughes also looked into the effect rising prices might have on net zero's effect on costs outside energy bills. Because businesses are facing the same hikes, these are likely to be passed onto the customer.
It means consumers face up to £1,800 a year in additional costs on everyday living such as groceries, leisure and travel.
His findings directly challenge claims put forward by Labour, which has promised its net zero electricity system would cut the average household bill by £300.
“I have absolute faith,” Energy Secretary Ed Miliband said. “Net Zero will do great things for our country and our world.”
Last week, Miliband reaffirmed Labour’s green energy ambitions, stating: “The single most important thing we can do is stick to our clean power mission.”
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But Prof Hughes's research shows energy costs are set to rise by at least 75 per cent, with businesses and consumers alike bearing the brunt of these increases.
He said: “If the Government presses ahead with its plans for net zero and decarbonising the grid by 2030, the effects on bills and prices will be huge.
“The economic effects will be so large it is difficult to imagine the Government persisting with this.”
The professor's analysis is based on a detailed and sophisticated model of the UK’s electricity system.
Instead of reducing costs, the shift to renewables is set to exacerbate the financial burden on British households and businesses alike.
Andrew Montford, director of Net Zero Watch, which scrutinises green energy policy, said: “Ed Miliband is running amok over the UK economy.
“For everybody's sake, Sir Keir Starmer needs to deal with him, and quickly.”
Prof Hughes went on to dismantle the argument the primary driver of rising energy costs is volatile fossil fuel prices.
As GB News exclusively reported last week, Prof Hughes has shown the wholesale price of electricity - where fluctuations in gas prices are most visible - has remained relatively stable over the past two decades.
Yet, in that time, electricity bills for domestic households have tripled, while those for businesses have nearly quadrupled.
While Russia’s 2022 invasion of Ukraine temporarily sent European natural gas prices soaring, Prof Hughes says blaming external geopolitical factors is misleading.
Instead, he points to ever-increasing green taxes, levies, and subsidies as the real culprits behind Britain’s spiraling energy costs.
These additional charges now account for more than three-quarters of household electricity bills.
Prof Hughes said: “The steady increase in inflation-adjusted electricity prices over the last two decades is largely a matter of self-inflicted harm.”
Despite the promise of a net zero utopia, Prof Hughes warns that the inefficiency of renewables means fossil fuels will remain essential for years to come. Britain will be forced to invest billions into new backup gas-fired power stations simply to ensure grid stability when wind and solar power fail to deliver.
Prof Hughes's model predicts that constructing new wind and solar farms will cost around £150billion over the next five years, a figure far exceeding official Government estimates.
With the UK increasingly reliant on undersea electricity imports from Europe, consumers will be left at the mercy of foreign energy suppliers.
The consequences of net zero go beyond household bills. The economic fallout could be catastrophic, warns Prof Hughes.
The energy-intensive manufacturing sector, already struggling with rising costs, faces potential extinction.
“Electricity-intensive industries which compete in world markets can only meet these costs by reducing wages or profits.
“Since workers are unwilling to accept reductions in their incomes, the result has been that they have closed their activities in the UK and moved elsewhere.”
A Department for Energy Security and Net Zero spokesperson said: “We wholly reject these findings, which are fundamentally incorrect on what has driven higher energy prices.
“Every family and business has paid the price of rocketing energy bills because previous governments failed to invest at scale over many years in the clean, secure home-grown power our country needed, so we have been left exposed to volatile international fossil fuel markets.
“As shown by the National Energy System Operator’s independent report, clean power by 2030 is achievable and will deliver a more secure energy system, which could see a lower cost of electricity and lower bills.”
Find Out More...