For the Few, Not the Many: Tracing the Residualist and Compensatory Nature of British Energy Support

Abstract

Drawing on extensive documentary analysis, this article traces the evolution of British energy policy support since World War II. It analyses shifts in policy design through two interpretive lenses: eligibility (residualist vs. universalist) and function (compensatory vs. preventive). While the UK was once a global leader in preventive, relatively broad-based energy efficiency investments, since the 1980s it has moved increasingly towards reactive, narrowly targeted schemes, mostly delivered through energy supplier obligations and providing means-tested relief. Moments of crisis, such as the oil shocks of the 1970s and the recent energy price surge, prompted temporary shifts to universalism, but such measures have proved short-lived. While successive governments emphasised the many co-benefits of energy efficiency schemes, they remain inconsistently implemented and underfunded. We argue that the persistence of residualist-compensatory models is driven by political, institutional, and ideational factors. To make sense of these developments, we introduce a typology of four models - residualist compensatory, residualist-preventive, universalist-compensatory, and universalist-preventive- which is used to map key policy shifts and assess their implications. We conclude by explaining that a transition towards a universalist-preventive approach must be grounded in a rights-based framework.