The UK housing stock is among the least energy-efficient in Europe, with over half of the properties having an energy rating of D or below. This signals a vast opportunity for improvement in the sector.
Proper insulation not only enhances energy efficiency and reduces heating costs but also improves the comfort of living spaces and lowers health risks caused by frequent indoor temperature fluctuations. With stable energy prices, these improvements can lead to significantly lower energy bills.
The UK government has introduced various schemes to support lower-income households and encourage the transition from fossil fuel heating systems to sustainable alternatives like heat pumps. However, progress in retrofitting existing buildings remains slow. One of the key barriers to adoption is the low financial efficiency of home improvements, as payback periods can stretch over decades. Additionally, government research suggests there is no strong statistical link between improved energy ratings and increased property values.
The Standard Assessment Procedure currently used to provide energy rating to the properties is being revised and new the home energy model is going to be introduced in 2025.
Despite these challenges, the government continues to push for progress. Several organizations are promoting the need for building fabric improvements, including the Sustainable Energy Authority of Ireland, Energy Savings Trust, Home Energy Scotland, and commercial providers like Furbnow, Ecofurb, and Snugg. Furthermore, new-build properties are increasingly being constructed to meet higher energy efficiency standards.
Source: CCC, 2019, p.10
References:
BBC (2022) “Home insulation: How can it cut energy bills?”, 28 November, accessed on 2 Dec 2024, https://www.bbc.co.uk/news/explainers-60289396
BEIS (2020) “The impact of solid wall insulation on property value” , https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/913512/impact-solid-wall-insulation-property-value.pdf
CCC (2019) UK Housing: Fit for the Future? https://www.theccc.org.uk/wp-content/uploads/2019/02/UK-housing-Fit-for-the-future-CCC-2019.pdf
DESNZ (2024) , Home Energy Model: replacement for the Standard Assessment Procedure (SAP), https://www.gov.uk/government/consultations/home-energy-model-replacement-for-the-standard-assessment-procedure-sap
GOV.UK (2023), “Find energy grants for your home (Help to Heat)”, 23 March, https://www.gov.uk/government/collections/find-energy-grants-for-you-home-help-to-heat
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