Source · Select Committees · Environmental Audit Committee
Recommendation 1
1
Paragraph: 29
The scale of the challenge to retrofit existing homes to tackle the climate crisis is...
Conclusion
The scale of the challenge to retrofit existing homes to tackle the climate crisis is enormous. Energy efficiency is a precursor to the transition to low carbon heat, so action must be taken in the 2020s to set homes on a decarbonisation trajectory to meet our net zero targets. The Government’s current targets for domestic energy efficiency are set for an 80 per cent reduction in emissions by 2050 and not the net zero target established in law. Yet the Government is not on track to meet even this.
Paragraph Reference:
29
Government Response
Not Addressed
HM Government
Not Addressed
The Government remains committed to the aspiration set out in the Clean Growth Strategy, that as many homes as possible are improved to Energy Performance Certificate (EPC) band C by 2035, where practical, affordable and cost effective. We believe this represents a cost-effective step towards our net zero goal, helping to prepare homes for low carbon heat. Our comprehensive approach seeks to encourage as much action as possible in the 2020s by: (1) Introducing minimum standards across tenures to encourage action around key trigger points, taking a ‘fabric first’ approach. We have: a) Consulted on raising minimum standards to EPC Band C for Private Rented Sector homes by 2028 for all tenancies; b) Committed to review the Decent Homes Standard for social housing, taking account of energy efficiency and decarbonisation of social homes; c) Committed to consult on regulatory options for improving the energy performance of owner occupied homes in 2021. (2) Providing targeted funding and support to those that need it most, including the fuel poor and most vulnerable. We have committed to: a) Introducing a Homes Upgrade Grant in line with the manifesto commitment, including £150 million allocated in the 2020 Spending Review b) £500 million for the Green Homes Grant Local Authority Delivery element in 2020- 21, with £320 million for the Green Homes Grant voucher scheme in the 2020 Spending Review c) Investing further in the Social Housing Decarbonisation Fund in line with the manifesto commitment, with a further £60 million in 2021–22 d) £300 million additional funding for the Local Authority Delivery and Social Housing Decarbonisation Fund schemes in 2021–22, with delivery continuing to March 2023 following closure of the Green Homes Grant voucher scheme e) An expanded ECO worth £4bn from April 2022 to March 2026 f) £100m for the Clean Heat Grant to support the deployment of heat pumps, and in limited circumstances biomass boilers from 2022 to 2024. (3) Getting market enabling measures in place to support action by homeowners and occupants, for example: a) Providing tailored advice and information for homeowners and consumers to support action. For example, our digitally led service—Simple Energy Advice—has helped around 1.5 million users to date. b) Catalysing the green home finance market, including consulting on the role of mortgage lenders in supporting homeowners improve the energy performance of their homes, and supporting innovation in green home finance products. c) Working with industry to get the right quality standards and consumer redress in place working with industry. d) Continuing to improve home energy measurement and performance through improvements to SAP and funding the development of actual performance ratings (SMETERS) By 2050, to meet our net zero target at least cost, the vast majority of homes will need to reach a higher level of energy performance. We have sought views in recent consultations on further strengthening of minimum energy performance standards to support our Carbon Budget 6 and net zero targets. It is important to note that each home is different, and the right mix of energy efficiency measures, smart technologies, and low carbon heating for an older rural property will not be the same as those for an urban low-rise 1950s flat. There will also be some properties that cannot reach this level of performance, due to practical, affordability or cost effectiveness constraints, and appropriate safeguards and protections will be required.