Recommendations & Conclusions
12 items
13
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
To limit further faulty installations, the Department asked the certification bodies and scheme providers, via TrustMark, to suspend installer businesses based on their failure rate. By the end of January 2025, 38 installers had been suspended, preventing them from carrying out new work of this kind under government schemes.22 The …
Government response. The response addresses a different recommendation regarding a blanket ban on external/internal wall insulation installations, not the specific issues raised in this conclusion about the suspension and reinstatement of installers.
HM Treasury
15
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
Delays in finding and fixing these homes increase the risk of damage to the property, including damp and mould, and leave people in homes with unaddressed health and safety risks.29 We asked the witnesses how they would make sure the remaining faulty installations would be found and fixed in a …
Government response. The response addresses a different recommendation regarding a blanket ban on external/internal wall insulation installations, not the specific issues raised in this conclusion about delays in finding and fixing faulty installations.
HM Treasury
16
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
The Department and TrustMark told us that TrustMark would oversee a find-and-fix process for homes with external wall insulation. It would offer audits to all homes with external wall insulation installed through ECO4 or GBIS, provide direct oversight to ensure the work is corrected, and work with local communities to …
Government response. The response addresses a different recommendation regarding a blanket ban on external/internal wall insulation installations, not the specific issues raised in this conclusion about the TrustMark find-and-fix process and optimistic timescales.
HM Treasury
17
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
The Department told us that it plans to identify faulty internal wall insulation through existing audit processes. First, TrustMark and the certification bodies continue to conduct business-as-usual audits. Second, households with concerns can contact their installer and certification body, or the ECO contact centre run by Ofgem, through which calls …
Government response. The response addresses a different recommendation regarding a blanket ban on external/internal wall insulation installations, not the specific issues raised in this conclusion about identifying faulty internal wall insulation.
HM Treasury
18
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
The original installer is liable for fixing the installation to meet the relevant standards. However, the National Audit Office reported that not all installers are complying with the remediation process.38 We asked TrustMark whether the process for installer businesses to become TrustMark-registered (and therefore be able to do work under …
Government response. The response addresses a different recommendation regarding a blanket ban on external/internal wall insulation installations, not the specific issues raised in this conclusion about the financial stability of installer businesses.
HM Treasury
20
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
Written evidence submitted to us by the Green Homes Group highlighted how some people are unlikely to trust the original installer to fix the issues they created.42 The Department said it is providing assurance to households by ensuring the installer is appropriately certified as competent to do the work, and …
Government response. The government states that all EWI and IWI measures installed under ECO4 and GBIS schemes should have a guarantee that lasts for 25 years.
HM Treasury
21
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
If the installer has ceased to trade or fails to fix the issues, remediation costs up to £20,000 should be covered by a guarantee.44 TrustMark confirmed in follow-up correspondence that these policies do not cover compensation for ill health or loss of earnings that might arise as a consequence of …
Government response. The government states that all EWI and IWI measures installed under ECO4 and GBIS schemes should have a guarantee that lasts for 25 years.
HM Treasury
22
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
TrustMark told us that three organisations provided the bulk of the cover.47 In written evidence provided after the oral evidence session, the Department confirmed that the guarantee market for solid wall insulation is limited to three companies: QualityMark Protection, which provides regulated insurance-backed guarantees through SafeWorld; and SWIGA and CIGA/IAA, …
Government response. The government states that all EWI and IWI measures installed under ECO4 and GBIS schemes should have a guarantee that lasts for 25 years.
HM Treasury
23
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
We asked the witnesses whether they had analysed the guarantee policy wording to ensure they did not include excesses or complex issues that render them useless in practice, or had reviewed the balance sheets of the 39 Q 64 40 C&AG’s Report, para 16 41 Qq 59, 60 42 FEE023 …
Government response. The government states that all EWI and IWI measures installed under ECO4 and GBIS schemes should have a guarantee that lasts for 25 years.
HM Treasury
24
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
Where guarantees are invoked, the repairs will likely in some cases cost more than the £20,000 covered by guarantee. TrustMark advises it should normally cost between £250 and £18,000 per home to correct the faulty installations, if it can be done before major damage occurs. However, in the worst case …
Government response. The government states that all EWI and IWI measures installed under ECO4 and GBIS schemes should have a guarantee that lasts for 25 years.
HM Treasury
31
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
The Department told us it designed the consumer protection and quality assurance system in response to the 2016 Each Home Counts review, introducing a single quality mark (delivered by TrustMark) and higher standards that consider multi-measure retrofits in the context of the whole home.69 It told us that the new …
Government response. The response addresses a different recommendation, regarding an annual report on retrofit schemes, and not the conclusion about the complex consumer protection and quality assurance system.
HM Treasury
32
Conclusion
62nd Report - Faulty energy efficiency …
Not Addressed
We asked the witnesses why no-one warned the Department about the risks or flaws with the system it had designed, or considered whether the system as a whole was protecting consumers.72 While TrustMark accepted it should have done much more, Ofgem highlighted their limited role within the flawed system. • …
Government response. The response addresses a different recommendation, regarding an annual report on retrofit schemes, and not the conclusion about lack of warnings about the risks or flaws of the system.
HM Treasury