In a speech, Mr Sunak said the UK needed "a fairer, better approach to decarbonising how we heat our homes". He signalled a major shift in the government's net-zero policy, with planned changes including:

  • A delay on the ban on installing oil and LPG boilers, and new coal heating, for off-gas grid homes to 2035, instead of phasing them out from 2026
  • An exemption to the phase out of fossil fuel boilers, including gas, in 2035, so that households who will most struggle to make the switch to heat pumps or other low carbon alternatives won’t have to do so. The government expects this to apply to approximately 20% of UK homes
  • A raise of the Boiler Upgrade Scheme grant by 50% to £7,500 from 23 October
  • A scrappage of policies forcing landlords to upgrade the energy efficiency of their properties
  • The ban on the sale of new petrol and diesel cars moved back by five years, so all sales of new cars from 2035 will be zero emission.

Speaking about the policy shift, Rishi Sunak said: "This country is proud to be a world leader in reaching net-zero by 2050. But we simply won’t achieve it unless we change.

"We’ll now have a more pragmatic, proportionate, and realistic approach that eases the burdens on families.

"All while doubling down on the new green industries of the future. In a democracy, that’s the only realistic path to net-zero."