UK Government & Domestic Retrofit
A Streamlined Planning Process or a Play for Time? UK Government outlines barriers and a possible action plan for Domestic Retrofit
Government guidance has just been published indicating a way forward for retrofit in the UK. The draft document is a review of a review (a year-long consultation), carried out as part of the revised National Planning Policy Framework. The document, available on line at https://www.gov.uk/government/publications/adapting-historic-homes-for-energy-efficiency-a-review-of-the-barriers/adapting-historic-homes-for-energy-efficiency-a-review-of-the-barriers , explains the background to the report as well as offering some (limited) insights into potential steps the government can take.
“Adapting historic homes for energy efficiency: a review of the barriers” addresses the difficulties that persist for historic properties when retrofitting for improved energy efficiency. The review which has involved a broad range of participating voices, has taken place over the better part of a year. In the introduction, it states that:
“Appropriate retrofit of historic buildings is part of the solution to achieving Net Zero. Indeed, improving the energy efficiency of historic homes is necessary for their long-term survival as it will ensure they continue to be desirable places to live and will ensure they are maintained as important heritage assets.” The report notes that there are around “2.8 million homes in conservation areas.”
As I’ve noted in previous articles, homeowners have struggled with planning rules that are applied inconsistently and often seemingly in contradiction to the Net Zero ambitions stated in the London Plan. This puts property owners basically in a post-code lottery as regards ease of consent when applying for energy-efficiency upgrades. According to this report, retrofit is the fifth most frequent reason for making a planning application, and the experience was listed as “good” only for 35% of respondents. Further, only about 16% of staff in planning departments expressed confidence in making decisions on energy efficiency retrofit. To help address this, a £29 million Planning Skills Delivery Fund has been announced, to be at least partly funded by steep increases in planning fees.
Interestingly, a very high percentage of completed planning applications made for retrofit are ultimately granted, though this official figure may skew the actual experience for many applicants, since it fails to consider the number that are abandoned—nor is it clear how many are granted with significant restrictions. However, the complexity, cost and uncertainty of outcomes means that some never really get to the point of making an official start in the application process.
Though this document presents some hope, as this is a complex area we shouldn’t expect the mooted changes in the immediate near term. However, we may see some tools used as interim solutions, for example Local Listed Building Consent Orders (LLBCOs). LLBCOs grant listed building consent for specified alterations or extensions in a certain area (for instance it can be applied to installing double-glazing along a particular street with stylistic elements in common). According to the report there is a ‘significant appetite” for increasing the use of LLBCOs.
Although the intention is to action the changes as rapidly as possible, there is more work to do on some technical aspects. One item of note is the intention to simplify and reduce onerous requirements around the installation of heat pumps, potentially including removing the requirement that outdoor units are at least one metre from the property boundary. Further details on the consultation will be announced in due course.
In the meantime, keep an eye out for a major new advisory from Historic England. They will publish a Historic Environment Advice Note (HEAN) on Climate Change and Historic Building Adaptation which will update their advice regarding retrofit, including advice on the permissions and consents needed.
The remainder of the document discusses access that homeowners have to advice and funding, as well as to capable contractors and installers.
EPCs as they are delivered currently, come under fire:
“Experts invited to the Roundtable discussions argued that EPCs are not effectively designed to consider the more specific physical needs of traditionally constructed buildings, and risk recommending costly, ineffective, and/or damaging interventions. This could lead to maladaptation, harming the building fabric, undermining the character of the property, and causing potential health and wellbeing issues for occupants.”
Oddly, though the paper mentions advice lines operated by Historic England and the Energy Department, it does not mention the benefits of using skilled Retrofit Assessors and Coordinators! Except for this perturbing omission, it covers the skills gap in the construction sector in some detail.
It notes:
“If retrofit is carried out by those who do not have the necessary skills, there is a higher risk of poor outcomes… Consumers may need support to ensure that their installer is adequately qualified or to know what consumer protection should be available to them.” (this is another key area where Retrofit Coordinators can help).
EPCs are about to be updated in any case and we should see significant improvements in some of their most negative aspects, though whether the updates will resolve all the current problems is not yet known. For example. EPCs will more pro-actively recommend air source heat pumps over traditional gas boilers whereas currently EPCs do not ever recommend them as a carbon-saving alternative. This is partly because the EPC calculation of carbon footprint for electricity has not been updated for years. Currently, UK-wide, a little over 50% of electricity is generated by low- or no-carbon sources and yet our current EPCs barely register the carbon difference between electricity and gas. We are waiting for the new system to roll out, hopefully this spring.
Regardless, it is unlikely that a government website will provide the specific information most home-owners need. An EPC is at least a partial source of information. Presumably when contractors have been trained appropriately in methods for improving historic properties, an EPC and a knowledgeable contractor will be sufficient input for most improvement projects. In the meantime, hose who can afford it should consider getting more detailed advice from a third-party, qualified specialist.
No major changes are in store for funding for clients deemed “able-to-pay” though it mentions a new programme (with a fairly modest budget) to partly fund installation of insulation and improve radiators, details of which are not yet released. Most emphasis in the report is on ongoing government commitment to funding social housing improvements.
Zero-rated VAT for a wider range of energy retrofit measures is mentioned, but without any conclusion, as this decision is up to a different government department.
However, the paper states that the government is committed to “catalysing the market for green finance. The Green Home Finance Accelerator (GHFA), launched in October 2022, is providing up to £20 million in grant funding to support the development of innovative green finance products and services. “ It does seem that some banks and other lenders are gearing up to support loans for retrofit, but it isn’t clear whether this is because of government assistance or whether they have simply realised that it makes sense to start to future-proof their considerable assets.
We’ll be tracking these issues and will provide updates as they become available.
You can read the full article here: