AG INSIGHT | 02/09/2024
Homes must be fit for a net zero future: why England needs an expert energy retrofit advice service
Taking learnings from the successes of schemes in other nations within the United Kingdom, Stew Horne, Head of Policy at Energy Saving Trust, makes the case for an English energy retrofit advice service and its positive knock-on effects.
Almost two months into the new administration, the UK Government is demonstrating its clear ambition to capitalise on the opportunities of net zero. Following a period of uncertainty, policy delivery will need to be accelerated to reach the UK Government’s 2030 clean power commitment and legally binding 2050 net zero target. It remains paramount that new Ministers continue to quickly translate their bold aims into action.
As it stands more than 15 million homes across Great Britain are classed as energy inefficient. With both the climate and energy crises rooted in the UK’s overreliance on fossil fuels, it’s critical that we rapidly transition to low carbon heating. The UK must cut its energy demand – primarily through rolling out energy efficiency improvements in homes. This is desperately needed if we are to meet both our carbon reduction targets and reduce energy bills.
The new UK Government needs to make up for missed opportunities over the last few years to act on these key areas and correct the recent rollback on key green targets.
While energy efficiency installations from Government-funded schemes have stalled, the UK has spent around £105bn on wholesale gas in the last two and a half years. This is an extra £75bn since the energy crisis began. So it is good to see that the new UK Government has committed to double the funding available for energy efficiency to upgrade five million homes through a Warm Homes Plan. This ambition is welcome but we now urgently need to see a concrete roadmap for addressing energy demand.
People must be supported to buy and install a range of improvements, including insulation and low carbon heating. For many people, the upfront cost of these measures remains the main barrier to uptake. Through our experience delivering the Home Energy Scotland Grant and Loan Scheme, we have seen how effective access to green finance can be in reducing upfront costs and accelerating the installation of low carbon technologies.
Decarbonising the UK’s housing stock to deliver a just transition can only be successful if it’s happening in every part of the country. As upgrading our homes can be a complex process, key to the successful delivery of the Warm Homes Plan will be ensuring people across the UK feel empowered to act. While national expert advice services exist in Wales and Scotland, this is lacking in England.
England needs an overarching national expert energy advice service which delivers consistent outcomes across the country. This service should integrate with and enhance local advice services where present, to end the advice postcode lottery in England. Advice needs to be action-oriented and tailored to each home to be effective in giving people the confidence to invest.
The impact of the Home Energy Scotland service shows the value of an ambitious, joined up approach to energy efficiency that combines access to low cost green finance with comprehensive, impartial advice at both a local and national level. More than 130,000 people are advised through the service each year. In 2021-22, 47% of people who used the service, installed at least one energy efficiency, low carbon heat or renewable energy improvement after receiving advice, with 38% planning to do so within 12 months.
Advice is a low cost, high impact measure. Based on our delivery experience, this would see a £15 return on investment for every £1 spent. Advice must therefore be a key piece of infrastructure to support the successful delivery of the Warm Homes Plan.
Such a service would also increase the effectiveness of government funding and make referrals into private sector delivery. This in turn will have positive knock on effects for the supply chain, incentivising scale up to meet increased demand for energy efficiency.
More than half of the way through the UK Government’s first 100 days, this remains a crucial time to grasp the opportunity of a net zero future which benefits us all.
By Stew Horne, Head of Policy at Energy Saving Trust
About Energy Saving Trust
Energy Saving Trust is an independent organisation dedicated to promoting energy efficiency, low carbon transport and sustainable energy use. We aim to address the climate emergency and deliver the wider benefits of clean energy as the UK transitions to net zero.
We empower householders to make better choices, deliver transformative programmes for governments and support businesses with strategy, research and assurance – enabling everyone to play their part in building a sustainable future.