The Construction Industry Council (CIC) has welcomed the long-awaited £15 billion ’Warm Homes Plan’ to help millions of families benefit from solar panels, batteries, heat pumps and insulation that can cut energy
bills.
Launched on Tuesday 20 January, the comprehensive plan to upgrade the nation’s homes includes targeted interventions for those on low incomes; upgrades for social housing; new protections for renters; and a universal offer for all households to upgrade homes.
Government hopes that the plan, along with other measures, will help lift up to one million families out of fuel poverty by 2030 and lower energy bills for families. Initiatives include increasing the Boiler Upgrade Scheme and offering up to £7,500 for qualifying heat pump installations.
It includes requirements for new homes to include solar panels as standard from 2026 and Government also committed to publish the Future Homes and Buildings Standards consultation response, including the standards’ full specification, and intends to lay the associated regulations in the first quarter of this year. It was also confirmed that the Great British Insulation Scheme (GBIS) will end as planned on 31 March 2026 and that DESNZ has consulted on extending ECO4 by nine months, ending on 31 December 2026. The National Audit Office estimated that 98% of homes with external wall insulation installed under ECO4 and the GBIS had major issues requiring remediation although other work types under the schemes had significantly lower levels of defects.
The Warm Homes Plan also references the importance of decarbonising our existing building stock and protecting against overheating and it set out how the measures could save the NHS billions in treatment costs and improve Britain’s energy security.
CIC Policy and Public Affairs Manager Matt Mahony commented, “On the whole the announcement is very positive. It shows government grasps the issues behind and understands what is driving the need for such measures. Yet despite the long wait for a plan, many questions remain about whether it is likely to deliver.
“We welcome the plan to address the upfront cost barriers to uptake of products such as batteries, heat pumps and solar panels. For this to work and for the market to grow Government needs to prioritise helping consumers tackle the time and administration associated with the grants and the work needed and help ensure that they get the best possible use out of the products when installed.
“Consumer awareness and confidence is key. There must be a robust plan for upskilling rapidly to cope with demand as increased deployment can correlate with higher defects and lower quality. Neither Government nor the public can afford another flop along the lines of ECO4, GBIS or the earlier Green Deal for Home Improvement so a robust system of oversight must be established.
“Given the emphasis on promoting diverse systems of energy generation for households, government must also not lose sight of the importance of insulating homes for warmth.”
The Warm Homes Plan is available to read here.