A pioneering new scheme promises to deliver a future where homeowners face no energy costs, offering average annual savings of nearly £1,800. The initiative, led by the UK's largest energy supplier Octopus Energy, is set to transform the housing market for hundreds of thousands of future residents.
The Zero Bills Tariff: How It Works
Octopus Energy is collaborating with several major housebuilders to construct new properties equipped with a suite of bill-busting technology. These homes will be fitted with solar panels, heat pumps, and battery storage systems, designed to generate and manage their own energy efficiently. In a landmark pre-Christmas move, Octopus has partnered with the country's largest housebuilder, Barratt Redrow, to deliver the first 54 of these homes next year.
The initial developments will be located in Wixams, Bedfordshire, and Tewkesbury, Gloucestershire. Crucially, the new residents of these properties will pay absolutely nothing for their energy for at least 10 years. Based on the Ofgem price cap set for the start of 2026, this represents an average yearly saving of £1,758.
Scaling Up for a National Rollout
This is not a small-scale trial. Octopus Energy has announced an ambitious target to roll out 100,000 homes on its revolutionary 'Zero Bills tariff' by 2030, recently backing the initiative with a £100 million investment. So far, over 5,000 homes have been approved with various developers.
Nigel Banks, Zero Bills Director at Octopus Energy, stated: "We are now able to showcase what can be achieved with Zero Bills at scale in new housing developments. Eliminating home energy bills with our game-changing tariff is now a simple, viable and cost-effective upgrade."
The scheme is expanding rapidly with other partnerships already in place. These include work with Tilia Homes for properties in Hardingstone, Northampton, and with Thakeham, which says half of its homes in Templegate, Burgess Hill, are eligible for the scheme.
Where Are These Zero-Bills Homes Being Built?
For potential buyers, Octopus has provided a list of some participating developers and locations across England:
- Bristol (with Verto)
- Devon (with Verto)
- Weeley, Essex (with Purely)
- Epping Forest, Essex (with gs8)
- Exeter (with Verto)
- Somerset Moors (with Autograph Homes)
- North Somerset (with Edenstone)
- Newport (with Hill)
- Sussex (with Thakeham)
- Stanford-le-Hope (with Soresi)
Government Backing and Wider Implications
The scheme has garnered significant political support. Housing Secretary Steve Reed recently commended the initiative, highlighting its potential to ease the cost-of-living crisis. He asked: "How we can make more homes capable of generating their own energy in the way that this development is?"
"If you move into one of the homes on this development, you'll have no energy bills for at least five years, possibly as long as 10 years," Reed said. "It's going to be such a welcome change for people." This support comes as the Labour government reaffirms its pledge to deliver 1.5 million new homes by the next election.
The Octopus Zero Bills scheme represents a major shift in how new homes are designed and powered, offering a tangible solution to high energy costs and aligning with broader national sustainability goals. For future homeowners, it turns the dream of liberation from energy bills into a concrete reality.
