Housing and Planning Bill

Lord Krebs Excerpts

Tuesday 8th March 2016 Lords Chamber

[Baroness Parminter (LD)]

My Lords, the Government’s attempt to solve the current housing crisis needs, at the same time, to address the issue of what types of homes are built. They should be of high quality and high energy efficiency standards which drive down future energy bills, help to protect against fuel poverty and provide healthy living environments. The Explanatory Notes to the Bill make it clear that its principal aim is to bring forward proposals that make homes more affordable. This laudable aim was dealt a serious blow by the scrapping of the zero-carbon homes policy by the Chancellor last July. Without this standard, which until last July had cross-party and cross-industry support, the new homes promised by the Government will not be as affordable as they might be. They will lock their owners into a cycle of higher fuel bills and the need for costly retrofits. The amendment requires that all new homes built in England from 1 January 2018 achieve the previously agreed zero-carbon homes standard.

Reinstating this housing standard will not only help keep homes affordable for the long term, it will help meet our legally binding climate commitments. We are committed to reducing UK emissions by 50% by 2025. Buildings accounted for 34% of the UK’s total greenhouse gas emissions in 2014, with 64% of building emissions coming from homes. It is in the building sector that most of the cost-effective potential carbon savings are to be found. Housebuilding must, of course, remain financially viable for the private sector, which will deliver the bulk of future housing. Yet the scrapping of zero-carbon homes by the Chancellor was not accompanied by any evidence that building homes to that standard would affect the speed at which the UK can build new homes. Indeed, evidence to the House of Lords Select Committee on National Policy for the Built Environment showed that the removal of the zero-carbon homes requirement has generated uncertainty for homebuilders. Moreover, they were provided with no clear evidence that the removal would lead to an increase in housebuilding. This evidence persuaded the committee—and I declare an interest as a member—to call on the Government to reverse the decision to remove the requirement for new homes to generate no net carbon emissions.

Reinstating the zero-carbon standard would help deliver affordable homes for the long term, and not burden occupants with needlessly high energy bills. This would also make the UK’s statutory greenhouse gas emission targets more achievable. Post-Paris, it is surely time for leadership and not backsliding. I beg to move.

[Lord Krebs (CB)]

My Lords, I support the amendment. I put my name to it because I believe that, as the noble Baroness, Lady Parminter, said, we have an opportunity to ensure that the proposed 1 million new homes are not just suitable for their immediate occupants but for the long term. I declare an interest as a member of the Committee on Climate Change and the chair of its adaptation sub-committee. The committee, established under the Climate Change Act 2008, is the statutory body that provides advice to the Government on how to achieve the legally binding target, already referred to, of reducing our greenhouse gas emissions by at least 80% below 1990 levels by 2050. The adaptation sub-committee advises the Government on how to prepare for the inevitable impacts of climate change.

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[Viscount Younger of Leckie]

That is the figure I have mentioned and I am very happy to reaffirm that. However, in the same breath I would also say that it is deemed to be a step too far in adding costs to housebuilders, particularly given that the focus is on the smaller housebuilders who need the breathing space to build such houses.

[Lord Krebs]

Can the Minister confirm that his brief contains a full cost-benefit analysis of these additional measures and, if so, over what time period the analysis applies?

[Viscount Younger of Leckie]

This is definitely getting into a technical area, and I am happy to write to the noble Lord with the details of the research to establish the figures we have come up with.