UKBillOfficial ✓July 21, 2026· GOV.UK
New PM cuts tax on household electricity bills to give breathing space on cost of living
What happened
The new Prime Minister has taken "immediate action to cut taxes on electricity bills." This aims to provide "breathing space" for "millions of households" during the winter period, specifically to help with the "cost of living."
Why it matters
This policy aims to provide financial relief to households experiencing higher living costs. By reducing electricity bill taxes, the government hopes to ease the financial burden for many families this winter.
Who it affects
- ›Millions of households
- ›Electricity bill payers
- ›Consumers facing cost of living increases
Receipts
The receipts are official. The summary is ours.
Read on GOV.UK ↗Summaries are generated from the official text and may simplify or omit nuance. The official document is the source of truth.
More from UK
UKBillOfficial ✓
Government unleashes £1.2 billion crackdown as part of anti-fraud driveGOV.UK·Oct 26, 2026
UKNoticeOfficial ✓
UK, Ukraine and Latvia extend crackdown on Russian grain theftGOV.UK·Oct 26, 2026
UKNoticeOfficial ✓
PM confident every rough sleeper will have route off the street by Christmas as funding doublesGOV.UK·Oct 25, 2026