Energy Independence Bill: energy brokers, heat networks and rented flats, what it means for blocks

What happened

On 4 November 2026 the Department for Energy Security and Net Zero introduced the Energy Independence Bill to Parliament. Parliament’s record shows it had its first reading in the House of Commons that day. The government published a factsheet for each measure alongside it.

Most of the Bill is about the national energy system: North Sea licences, the grid, community benefits from wind and solar farms. Four parts touch blocks of flats, and the people who run them, directly:

• Energy brokers. The Bill would bring energy brokers and price comparison services under Ofgem regulation. The factsheet says Ofgem would be able to make rules for them, require them to be authorised, order redress, fine them and ban “malicious actors” from the market. The government says brokers can currently profit “through high rates of commission” and that “only some business consumers have access to out of court dispute resolution”.
• Heat network zones. The Bill would let the government introduce capped connection charges for buildings that are required to connect to a heat network in a heat network zone. The factsheet says the government intends to set the cap “at £0 for pre-existing residential buildings that are required to connect”. This covers England.
• Rented homes below the energy efficiency standard. It would give councils stronger powers to enforce the Minimum Energy Efficiency Standards for privately rented homes in England and Wales, with a new maximum civil penalty of £30,000. The minimum standard is already set to rise to EPC C from 1 October 2030.
• Gas standing charges. The government says it will bring forward amendments to the Bill to support the plan, announced in the 28 October Budget, to scrap standing charges on household gas bills. Those amendments are not in the Bill yet.

Status: proposed. The Bill has not passed, and most measures would also need regulations or Ofgem rules before they change anything.

What it means for your building

The landlord supply. Most blocks have at least one electricity supply in the company’s name for the hallway lights, door entry, lift or fire alarm, and some have a communal gas supply for a shared boiler. Because the company is the customer, these are usually business contracts, and many small blocks buy them through a broker. That makes the block company exactly the kind of small business customer the broker rules are aimed at. If the Bill passes and Ofgem makes its rules, the board should get clearer standards from brokers and a route to complain and claim redress. Until then nothing changes, and a broker’s commission is often built into the unit rate rather than shown on the bill.

Communal heating. Blocks with a shared boiler that sells heat to the flats have been regulated by Ofgem as heat networks since 27 January 2026 (see our registration story). Heat network zoning is a separate scheme: in a zone, some buildings could be required to connect to a district network. The Bill’s £0 cap is aimed at existing homes, so a residential block required to connect would not, on the government’s stated intention, be charged for the connection. How a block’s own plant, leases and service charges would deal with a connection is not covered by the factsheet.

Leaseholders who let. If you let your flat, the rented flat has to meet the minimum energy rating unless it has a registered exemption. A higher maximum fine of £30,000 would sit alongside the move to EPC C from 1 October 2030. Improvements to the outside of the building, such as wall insulation or new windows, usually need the block company’s consent under the lease, which is why the board will hear about this (see our story on rented flats and EPC C).

Residents’ own gas bills. The standing charge change, when it comes, is described as a change to household gas bills, so flats with their own gas meters may see it. Our Budget story has the detail.

This is general information about a Bill, not legal or energy advice.

What to do now

• Find the block’s landlord supply contracts and note the supplier, the end date and who arranged them. If a broker did, ask in writing how the broker is paid and how much commission is in the unit rate.
• Diarise each contract’s renewal window so the supply is never left to roll onto out of contract rates.
• If your block has a communal boiler that sells heat to flats, check it is registered with Ofgem before 26 January 2027; zoning is a separate matter to watch.
• If leaseholders let their flats and plan energy works, ask them to raise anything affecting the structure or outside of the building with the board early.
• Watch the Bill’s progress on the Parliament page; we will report when the standing charge amendments and Ofgem’s broker rules are published.

How Freeholdpilot helps

Freeholdpilot’s directors’ portal keeps supply contracts and bills in the building’s document drive and holds the service charge budget, so the board can see when each contract ends and what the landlord supply really costs.