The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Miatta Fahnbulleh)
Let me start by thanking the hon. Member for Harrogate and Knaresborough (Tom Gordon) for bringing this important issue to the attention of the House and highlighting the stories of his constituents.
This Government are committed to ensuring that all energy efficiency installations are done to the highest standards, and that proper consumer protection and redress are built into the system. That matters because building and maintaining consumer confidence and trust are critical to our delivering our warm homes plan and upgrading millions of homes across the country. We will do everything that we can to ensure that the system works for consumers. This is therefore a very important and a timely debate.
We understand the frustration and the difficulties that some homeowners with spray foam loft insulation have experienced when obtaining finance. This problem followed the publication of now-withdrawn guidance from a surveyors association in December 2021. The guidance said that surveyors could not comment on the condition of timber roof structures, or properly assess the risks once installed, given the nature of the product.
In response to the problems that some homeowners were having when obtaining finance, under the previous Government, the Ministry of Housing, Communities and Local Government worked with industry to publish several documents in 2023. These included a consumer guide, a code of practice for installers and an inspection protocol, alongside training for surveyors.
The Building Safety Regulator also completed research to understand moisture risk factors, which indicated that the risk is low if the relevant British standards are followed. Crucially, the inspection protocol now enables a surveyor to determine whether an installation was done properly and, therefore, to determine the risk level. This means decisions on mortgage products should be made on a case-by-case basis, and there should not be a blanket exclusion on mortgages.
I understand that progress is being made and, while some lenders will want to follow the advice of surveyors, most no longer have a blanket policy against lending where there is spray foam insulation. We are aware that just over 6,000 pitched roof insulation measures were installed using a voucher from the previous Government’s green homes grant voucher scheme, and some of these installations may have used spray foam products.
If products have been installed to the standard required under the scheme, we do not expect them to be removed. We expect that they are doing the work and are effective in the home. A surveyor should be able to use the available inspection protocol to make the proper assessment. Where the measure has not been installed correctly, however, homeowners should contact their installer or use the TrustMark dispute resolution process to seek redress. If the installer is no longer trading, the homeowner should contact the guarantee provider. The details of this should be in the paperwork they were given at the point of installation, or they will be available from TrustMark.
Although the system is working, we know that it is not working in too many cases and that people are falling between the cracks. We know that the standards and accreditation processes for Government schemes are too complex, and that accountability structures are not always clear. I am new to my role, but I am the first to admit that there is a job to do to improve the system so that, when problems occur, consumers get the right advice and redress without having to bang their head against the wall to get it. The Government are determined to address this.
The Government’s ambitious warm home plans will upgrade millions of homes across the country to make them warmer and cheaper to run, from installing new insulation to rolling out solar panels and heat pumps. We will review the consumer protection framework as part of this plan, ensuring clear lines of accountability and clear and easy redress mechanisms so that consumers can trust the system.
The plan will also outline the further action we intend to take to drive up quality and standards, and to support the supply chain to grow in size and competence. This will include investing in training and supporting trusted small businesses that work in the community to join the supply chain.
We understand that the hon. Gentleman’s constituents, and constituents across the country, face this issue, and we are looking into it to understand the size of the problem and what we can do in response. More fundamentally, people should be in no doubt that we are committed to building consumer protection and trust, because that is the only way we can take the country on the journey as we try to upgrade millions of homes.
I thank the hon. Gentleman for raising the profile of this issue, for raising the stories of his constituents and the difficulties they have faced, and for giving us the opportunity to highlight the avenues that are available for affected consumers.
Question put and agreed to.