Speeches made during Parliamentary debates are recorded in Hansard. For ease of browsing we have grouped debates into individual, departmental and legislative categories.
These initiatives were driven by Lord Foster of Bath, and are more likely to reflect personal policy preferences.
A Bill to require an electrical safety certificate to be provided to a prospective purchaser of domestic premises in specified circumstances; and for connected purposes
A bill to require the Secretary of State to ensure that domestic properties have a minimum energy performance rating of C on an Energy Performance Certificate; to make provision regarding performance and insulation of new heating systems in existing properties; and for connected purposes
A Bill to make provision to increase the energy performance of buildings; and for connected purposes
A Bill to make provision for a national strategy for cost-effective and efficient use of energy; and for connected purposes.
A Bill to give all football clubs the freedom to build, or maintain existing, safe standing sections in their stadia if they choose; to establish minimum safety criteria that must be met for standing sections in football stadia; and for connected purposes.
Lord Foster of Bath has not co-sponsored any Bills in the current parliamentary sitting
The Heat and Buildings Strategy is based on a 'fabric first' approach to decarbonising buildings by focusing on upgrading the building fabric before making changes to heating systems, to ensure the transition to low-caron heating is cost-effective and resilient.
Current schemes allow the installation of measures which improve the energy performance of a dwelling within the scope of the “Standard Assessment Procedure” (SAP) – which assesses the energy performance of dwellings. This can include measures such as solid wall insulation, cavity wall insulation, loft insulation, underfloor insulation, draught-proofing, air source heat pumps, ground source heat pumps, high heat retention storage heating, low energy lighting, solar PV, solar thermal and heating controls.
As part of their work, the Taskforce has established four working groups. These have included insulation experts.
The Electrical Storage Health and Safety Governance Group last met on 13th March 2023. Member organisations include: the Department for Levelling Up, Housing and Communities, the Department for Energy Security and Net Zero, the Department for Environment, Food and Rural Affairs, the National Physical Laboratory, the Health and Safety Executive, the Office for Product Safety and Standards, London Fire Brigade, Kent Fire and Rescue Services, the National Fire Chief’s Council, the Association For Renewable Energy and Clean Technology, the National Association of Professional Inspectors and Testers, the British Association of Electrotechnical Allied Manufacturers Association, the British Standards Institution, the University of Newcastle, the Institute for Engineering and Technology, the Energy Institute, and representatives from both the domestic and grid-scale energy storage industry as well as engineering consultancies.
Research funded by Government between 2015 and 2018 by the Building Research Establishment indicates the risk from solar PV fires is very low. Government continues to work with industry to make solar even safer and ensure best practice. In February 2023 RISCAuthority, the Microgeneration Certification Scheme and Solar Energy UK published an updated Joint Code of Practice on recommendations for fire risk prevention in UK solar systems.
The Offshore Transmission Network Review seeks address the uncoordinated growth of offshore transmission assets and develop a more coordinated approach to the design and delivery of transmission for offshore wind in Great Britain. For projects that already had firm connection contracts, limited changes could be made without breaking those commercial contracts, which is something the government has no power to do. For these projects, the Government has launched a £100m funding scheme to support developers to develop options for voluntary coordination. This could include reconsideration of some cable routes to reduce landing zones and use brownfield sites.
Ensuring environmental protections are maintained is a key component of work being undertaken by Government to facilitate the acceleration of offshore wind. The Energy Bill makes provisions to deliver the Offshore Wind Environmental Improvement Package (OWEIP), which was announced in the British Energy Security Strategy.
The OWEIP will streamline Habitat Regulation Assessments, develop and implement Offshore Wind Environmental Standards, and create a Marine Recovery Fund to enable environmental compensation to be undertaken at a strategic level. This ensures developments are located where there are lower environmental sensitivities, and/or where impacts can be avoided, reduced, mitigated, or if required, compensated.
No individual pre-emptive assessments are made by the Government to avoid prejudicing planning decisions which are taken on the merits of each individual case.
All projects are consented after thorough consideration of all relevant information, including cumulative impacts. Environmental and socio-economic impacts are considered in line with policy in the National Policy Statements.
The rationale for the Secretary of State’s decision for development consent in relation to Sizewell C, consented offshore wind farms and associated infrastructure are set out in the published decision letters available on the relevant project pages of the Planning Inspectorate’s National Infrastructure Planning website.
In the Government’s consultation response published in April 2022, we proposed the creation of a new, independent Future System Operator (FSO). Depending on a number of factors, including timings of legislation, updating licensing arrangements, amending industry codes, and discussing timelines with key parties, the FSO could be established by, or in, 2024.
The Primary Legislation required to establish the FSO is contained within the Energy Bill 2023, which is currently passing through Parliament. Subject to reaching Royal Assent, we aim to establish the FSO as soon as practicable, while maintaining the safety and stability of the energy systems and ensuring a smooth transition.
The Electricity System Operator has undertaken consideration of the best approach to coordinate offshore transmission infrastructure to deliver greater efficiencies, reductions in planned infrastructure and accelerate the offshore wind delivery. Belgium’s Modular Offshore Grid connects several wind farms via a single cable. The UK’s Holistic Network Design delivers a similar outcome at greater scale, covering 21GW of offshore generation in its first round and 23GW in its second. Our approach will utilise shared connection points for multiple generators and aims to use multipurpose interconnectors to transmit energy from generators to consumers; reducing costs and impacts for developers, communities, and bill-payers.
The Department continually gathers information on the propensity to install measures as it delivers energy efficiency policies. The potential issues these schemes address include financial barriers, information on what measures to install, concerns about the quality of installations and access to installers. Independent evaluation reports are published that summarise key lessons.
All e-bikes and e-scooters must comply with product safety legislation including the batteries used to power them. The Government maintains regular contact with the Fire and Rescue Services and has discussed many issues including fire incidents relating to e-bikes and e-scooters. We encourage users to follow available guidance, including from Electrical Safety First and from the London Fire Brigade, alongside manufacturer instructions on safe use.
Condition 26 of Ofgem’s gas and electricity supply licence conditions requires suppliers to identify consumers who are eligible for the Priority Service Register and offer to add any, or all, of the Minimum Details to the Priority Services Register during interactions. Condition 29 of Ofgem’s gas supply licence conditions requires suppliers to provide a gas safety check free of charge to vulnerable consumers. Further details on support available for those on the Priority Service Register can be found on the Ofgem website.
Placing new or innovative products on the market requires the same product safety requirements to be met as is required for existing products. Guidance is available for businesses to help set what is required so that they have a clear route for getting their products to market.
Innovate UK, part of UK Research and Innovation (UKRI), acts as the prime channel through which Government incentivises business-led technology innovation. It funds innovation through the allocation of competitively awarded grants and funding is available to all businesses undertaking innovation, irrespective of the technology or sector in which they are working. The UKRI Gateway, available via UKRI’s website, provides data on all funded research and innovation projects.
Innovate UK also helps to connect innovative businesses with the right partners and expertise to help them bring their ideas to market, and grow and scale their companies, through the Knowledge Transfer Network and Innovate UK EDGE.
Placing new or innovative products on the market requires the same product safety requirements to be met as is required for existing products. Guidance is available for businesses to help set what is required so that they have a clear route for getting their products to market.
Innovate UK, part of UK Research and Innovation (UKRI), acts as the prime channel through which Government incentivises business-led technology innovation. It funds innovation through the allocation of competitively awarded grants and funding is available to all businesses undertaking innovation, irrespective of the technology or sector in which they are working. The UKRI Gateway, available via UKRI’s website, provides data on all funded research and innovation projects.
Innovate UK also helps to connect innovative businesses with the right partners and expertise to help them bring their ideas to market, and grow and scale their companies, through the Knowledge Transfer Network and Innovate UK EDGE.
Businesses have a legal duty to notify market surveillance authorities where they have identified a safety issue with a product they have placed on the market, including online. To support the best use of this information, in 2019, the Office for Product Safety and Standards (OPSS) launched the UK’s Product Safety Database. The database allows authorities to access and exchange data securely and effectively to ensure swift and appropriate action can be taken to protect consumers. If consumers have a concern about the safety of a product, or other consumer concerns relating to quality or faults, they can contact Citizens Advice in England and Wales, Advice Direct Scotland or Consumer Advice Service. They will refer suspected breaches of consumer law on to Trading Standards for enforcement action where appropriate.
In order to further support consumers, OPSS publishes alerts on GOV.UK about unsafe products and recalls using information from the database. This includes regular Product Safety Reports. These contain information about individual products, including electrical products, that have been investigated and found to present a risk to the health and safety of consumers. Reports include details about the product, photos of the product, the risks it presents (such as electrical shock), the details of distributor and/or manufacturer, whether it was sold on an online marketplace, details of non-compliance, and the corrective actions taken by businesses.
OPSS does not currently record information regarding electric shocks, or other injuries such as burns, caused by electrical items purchased online. However, OPSS is currently trialling information sharing with some NHS hospitals and continues to examine how we can make the best use of available data.
In relation to counterfeit goods, the Government works with industry and enforcement agencies on a range of initiatives. The Intellectual Property Office collects intelligence on counterfeit items and works in partnership with Trading Standards, law enforcement, and industry groups to reduce the sale of counterfeit goods on e-commerce stores and via links from social media channels such as Facebook and Instagram.
Businesses have a legal duty to notify market surveillance authorities where they have identified a safety issue with a product they have placed on the market, including online. To support the best use of this information, in 2019, the Office for Product Safety and Standards (OPSS) launched the UK’s Product Safety Database. The database allows authorities to access and exchange data securely and effectively to ensure swift and appropriate action can be taken to protect consumers. If consumers have a concern about the safety of a product, or other consumer concerns relating to quality or faults, they can contact Citizens Advice in England and Wales, Advice Direct Scotland or Consumer Advice Service. They will refer suspected breaches of consumer law on to Trading Standards for enforcement action where appropriate.
In order to further support consumers, OPSS publishes alerts on GOV.UK about unsafe products and recalls using information from the database. This includes regular Product Safety Reports. These contain information about individual products, including electrical products, that have been investigated and found to present a risk to the health and safety of consumers. Reports include details about the product, photos of the product, the risks it presents (such as electrical shock), the details of distributor and/or manufacturer, whether it was sold on an online marketplace, details of non-compliance, and the corrective actions taken by businesses.
OPSS does not currently record information regarding electric shocks, or other injuries such as burns, caused by electrical items purchased online. However, OPSS is currently trialling information sharing with some NHS hospitals and continues to examine how we can make the best use of available data.
In relation to counterfeit goods, the Government works with industry and enforcement agencies on a range of initiatives. The Intellectual Property Office collects intelligence on counterfeit items and works in partnership with Trading Standards, law enforcement, and industry groups to reduce the sale of counterfeit goods on e-commerce stores and via links from social media channels such as Facebook and Instagram.
The Experimental Statistics on Heat Networks published by the Government in 2018 showed that approximately 440,000 of all UK heat network customers are residential. The specific geographical distribution in terms of number of residential customers can be found in Figure 1 below.
Government Office Region | Number of customers |
East Midlands | 15,769 |
East of England | 25,147 |
London | 195,851 |
North East | 16,418 |
North West | 35,212 |
South East | 39,107 |
South West | 23,800 |
West Midlands | 29,436 |
Yorkshire and The Humber | 25,824 |
England | 406,566 |
Wales | 7,680 |
Scotland | 23,779 |
Northern Ireland | 1,524 |
UK | 439,549 |
The latest 2020 Fuel Poverty Statistics published shows that only 3% (i.e. 92,000) of all fuel poor households in England has central heating systems that use ‘other’ fuels, which consist of propane, bulk LPG and community heating or heat networks. Therefore, the proportion of fuel poor households served by district heating systems are likely to be much smaller than 3%.
The Government’s Heat Network Consumer Survey published in 2017 estimated that the proportion of heat network customers living in more energy efficient buildings such as flats or social housing are significantly higher than the general England and Wales population. Given most flats or social housing tend to have energy efficiency ratings higher than EPC Band D, it therefore indicates heat network customers are much less likely to experience fuel poverty in comparison to the wider population.
The Government is aware of the steep increases that some consumers on communal networks are facing. For this reason, the government is taking action worth more than £9.1bn supporting households through initiatives such as the Energy Bills Rebate, the Household Support Fund, Warm Home Discount, Winter Fuel Payments and Cold Weather Payments. These measures are intended to cover heat network consumers and the government is engaging closely with industry and consumer groups to understand the specific impacts in the heat network sector and continue to assess whether further options are needed to help households through this challenging period.
I refer the noble Lord to the answers given by my Rt. Hon. Friend the Minister of State for Business, Energy and Clean Growth to the Hon. Member for Battersea on 28 February to Questions 125466 and 125467. We need to ensure heat network consumers receive a fair price for their heating and that is why we are committed to legislating within this parliament to regulate the heat networks sector and in December 2021 we announced that Ofgem will take on the role of regulator. We will be giving Ofgem new powers to regulate prices in this sector as a matter of priority. This will enable equivalent protection for domestic heat network customers as well as ensuring heat network operators are securing good purchasing deals for their consumers. This will mean that consumers are charged a fair rate for heating whilst encouraging investment in heat networks.
The Experimental Statistics on Heat Networks published by the Government in 2018 showed that approximately 440,000 of all UK heat network customers are residential. The specific geographical distribution in terms of number of residential customers can be found in Figure 1 below.
Government Office Region | Number of customers |
East Midlands | 15,769 |
East of England | 25,147 |
London | 195,851 |
North East | 16,418 |
North West | 35,212 |
South East | 39,107 |
South West | 23,800 |
West Midlands | 29,436 |
Yorkshire and The Humber | 25,824 |
England | 406,566 |
Wales | 7,680 |
Scotland | 23,779 |
Northern Ireland | 1,524 |
UK | 439,549 |
The latest 2020 Fuel Poverty Statistics published shows that only 3% (i.e. 92,000) of all fuel poor households in England has central heating systems that use ‘other’ fuels, which consist of propane, bulk LPG and community heating or heat networks. Therefore, the proportion of fuel poor households served by district heating systems are likely to be much smaller than 3%.
The Government’s Heat Network Consumer Survey published in 2017 estimated that the proportion of heat network customers living in more energy efficient buildings such as flats or social housing are significantly higher than the general England and Wales population. Given most flats or social housing tend to have energy efficiency ratings higher than EPC Band D, it therefore indicates heat network customers are much less likely to experience fuel poverty in comparison to the wider population.
The Government is aware of the steep increases that some consumers on communal networks are facing. For this reason, the government is taking action worth more than £9.1bn supporting households through initiatives such as the Energy Bills Rebate, the Household Support Fund, Warm Home Discount, Winter Fuel Payments and Cold Weather Payments. These measures are intended to cover heat network consumers and the government is engaging closely with industry and consumer groups to understand the specific impacts in the heat network sector and continue to assess whether further options are needed to help households through this challenging period.
I refer the noble Lord to the answers given by my Rt. Hon. Friend the Minister of State for Business, Energy and Clean Growth to the Hon. Member for Battersea on 28 February to Questions 125466 and 125467. We need to ensure heat network consumers receive a fair price for their heating and that is why we are committed to legislating within this parliament to regulate the heat networks sector and in December 2021 we announced that Ofgem will take on the role of regulator. We will be giving Ofgem new powers to regulate prices in this sector as a matter of priority. This will enable equivalent protection for domestic heat network customers as well as ensuring heat network operators are securing good purchasing deals for their consumers. This will mean that consumers are charged a fair rate for heating whilst encouraging investment in heat networks.
The Government is currently assessing the options for the UK’s future exhaustion regime and will provide an update on this consultation in due course.
The Government recently held a consultation on the UK’s future exhaustion of intellectual property rights regime. The potential impact of an international exhaustion regime on author incomes is likely to form part of the overall assessment, alongside the potential effect on other sectors of the economy. The Government will provide an update on this consultation in due course.
The Nuclear Energy (Financing) Bill will require all GB-licenced suppliers to make contributions to a revenue collection counterparty under a Regulated Asset Base (RAB) model. We expect that suppliers’ contributions will be calculated based on their expected share of the energy market.
The Government will consult on draft regulations implementing the detailed requirements of RAB revenue arrangements before they are introduced.
The Impact Assessment published alongside the Nuclear Energy (Financing) Bill sets out the illustrative costs of building and financing a generic new nuclear power plant using a Regulated Asset Base (RAB) model.
Negotiations on the Sizewell C project are ongoing. These will determine its overall cost and value for money. No decisions have yet been made, but discussions to date have been constructive.
The Government recently held a consultation on the UK’s future exhaustion of intellectual property rights regime. The potential impact of an international exhaustion regime on the UK’s book exports is likely to form part of the overall assessment, alongside the potential effect on other sectors of the economy. The Government will provide an update on this consultation in due course.
The Government remains in active and constructive negotiations with EDF over the Sizewell C project. No decisions have yet been taken and the negotiations will be subject to reaching a deal that is value-for-money and achieving all relevant Government approvals.
BEIS has published an Impact Assessment (IA) to support the Nuclear Energy (Financing) Bill which illustrates the cost savings of funding a generic nuclear plant through a Regulated Asset Base (RAB) model versus a Contract for Difference. The IA contains estimates of the capital costs and a range of rates of return.
The Government remains in active and constructive negotiations with EDF over the Sizewell C project. No decisions have yet been taken and the negotiations will be subject to reaching a value for money deal and relevant Government approvals. Value for money assessments will be carried out in line with guidance set out in the HM Treasury Green Book.
The Government is fully committed to transparency and is including measures in the Nuclear Energy (Financing) Bill to support this.
In the 2020 Energy White Paper, the Government set out its objective to bring at least one large-scale nuclear project to a final investment decision (FID) by the end of this Parliament, subject to clear value for money and all relevant approvals. The Government announced £1.7 billion funding in the Spending Review to enable a final investment decision this Parliament. The Government remains in active and constructive negotiations with EDF over the Sizewell C project.
The Government remains in active and constructive negotiations with EDF over the Sizewell C project. No decisions have yet been taken and the negotiations will be subject to reaching a value for money deal and relevant Government approvals.
A nuclear project would be subject to detailed value for money assessments before being approved for a Regulated Asset Base (RAB), or awarded a Government Support Package (GSP).
Under a RAB model, risks are shared between investors and consumers. This will facilitate private investment into new nuclear projects, thereby reducing the cost of capital, and ultimately costs to consumers. My Rt. Hon. Friend the Secretary of State would take costs to consumers into account when modifying a licence for a nuclear company to insert a RAB, as well as considering our decarbonisation targets and the need to ensure future energy security. An economic regulatory regime will incentivise the project and its investors to manage costs and delivery effectively, to ensure the project is on time and to budget. The GSP would offer Government protection for investors and consumers from low probability but high impact events.
Constructive negotiations between the Government and EDF over the Sizewell C project are ongoing and subject to commercial sensitivities. As part of the negotiations, detailed assessment and diligence activities are underway to substantiate the basis of the project cost estimates. No decisions have been taken. The negotiations will be subject to Government approval and securing a deal that ensures value for money.
The Government has recently held a consultation on the UK’s future exhaustion of intellectual property rights regime. The Intellectual Property Office held constructive discussions with stakeholders across multiple business sectors, including representatives from the creative industries and design sectors. The Government is currently assessing the options and will make a decision in due course.
The UK sought an agreement with the EU on reciprocal disclosure for unregistered designs. This would have been beneficial to UK design businesses. However, the EU decided to pass up the opportunity to conclude such mutually beneficial text, which is disappointing. The Government recognises that this an important issue for UK designers and will consider it in future work on the UK designs system.
As my Rt. Hon. Friend the Secretary of State set out in the BEIS Select Committee on 20/07/21, the Government is planning to publish a Heat and Buildings Strategy in due course. The strategy will set out the immediate actions we will take for reducing emissions from buildings, as well as our approach to the key strategic decisions needed to achieve a mass transition to low-carbon heat.
In order to ensure that we remain on a credible path to net zero while retaining the option to pursue the optimal mix of technologies, we will grow the heat pump market to 600,000 per year by 2028; and undertake large-scale trials for hydrogen, to prove their safety case and build the market.
The targets for the current iteration of ECO are based on the Home Heating and Cost Reduction Obligation (HHCRO) powers set out in the Electricity Act 1989, Section 41B, and Gas Act 1986, Section 33BD. This allows Government to set a target for the promotion of measures for reducing the cost to individuals of heating their homes. Therefore, measures which do not result in space heating savings are not eligible.
Under the current scheme, ECO3, 44% of measures delivered were a form of insulation with the remainder being heating measures, such as replacement boilers, as of January 2021. ECO3 will end in March 2022, however, it was announced in February’s Sustainable Warmth Strategy that ECO4 will run from April 2022 through to 2026. The value of the scheme will also increase to £1bn per annum for ECO4. Further details about ECO4, including the scope of eligible measures, will be consulted on later this year.
The Green Homes Grant Local Authority Delivery (LAD) scheme, which supports energy efficiency and low carbon heat projects for low-income households, is being delivered in three phases:
The 2019 Conservative Manifesto committed to a £3.8bn Social Housing Decarbonisation Fund (SHDF) over a 10-year period, to improve the energy performance of social rented homes.
The Summer Economic Update announced the SHDF Demonstrator project, launched in 2020, which has awarded £62m of funding to social landlords across England and Scotland to test innovative approaches to retrofitting at scale, seeing over 2300 social homes improved to at least EPC band C.
The Autumn 2020 Spending Review committed £60m of funding for the first wave of the £3.8bn manifesto commitment in financial year 21/22.
The Government has since committed an additional £300 million on green home upgrades through Local Authorities. This extension will be through an increase in funding to Local Authorities via LAD and the SHDF wave one, and whilst the schemes are currently being designed, the focus remains on upgrading the worst-performing homes with energy efficiency installations and low-carbon heating.
In the Clean Growth Strategy, the Government set the aspiration that as many homes as possible to reach EPC C by 2035 where practical, cost-effective and affordable.
We recently consulted on raising the energy performance standards in the domestic private rented sector to EPC band C for new tenancies from 2025 and all tenancies by 2028. We are currently analysing the responses and will be publishing the Government response in due course.
As set out in the answer I gave the noble Lord on 18 March to Question HL13898, our plan for supporting fuel poor households is set out in the recently published strategy, Sustainable Warmth – supporting vulnerable households in England. Our forthcoming Heat and Buildings Strategy will set out how we intend to meet our wider energy efficiency commitments and set us on a path to decarbonising homes and buildings by 2050.
The Government remains fully committed to the aspiration set out in the Clean Growth Strategy for as many homes as possible to be EPC Band C by 2035 where practical, affordable and cost-effective. This is reiterated in 2020 Energy White Paper and we are taking action to achieve this, as evidenced in recent consultations on improving the energy performance of privately rented homes in England and Wales, and on improving home energy performance through lenders.
However, new innovative approaches, including technologies and processes, may be developed over the next 14 years. The Bill’s proposal to introduce this aspiration onto statute could reduce flexibility in the way we approach greenhouse gas emission savings and potentially mean that more cost-effective savings receive less attention or support.
Our forthcoming Heat and Buildings Strategy will set out how we intend to meet our wider commitments and set us on a path to decarbonising homes and buildings by 2050.
In the context of this target, we use the word ‘ensure’ to mean that we will take steps to make sure that this target is delivered. We will make sure that as many fuel poor homes as is reasonably practicable achieve a minimum energy efficiency rating of Band C, by 2030.
The Government believes supporting the Private Members Bill in question generally would reduce flexibility in the way we approach greenhouse gas emission savings and could potentially mean that more cost-effective approaches receive less attention or support. In addition, Government is committed to supporting low income and vulnerable households by meeting our statutory fuel poverty target, to improve as many fuel poor homes as is reasonably practicable to a minimum energy efficiency rating of Band C by 2030. The Government has recently published a strategy, Sustainable Warmth – supporting vulnerable households in England, which sets out our plans to support fuel poor households in detail.
The Government remains committed to the Clean Growth Strategy aim for as many homes as possible to be EPC Band C by 2035, where practical, cost-effective, and affordable.
The updated Fuel Poverty Strategy, published February 2021, set out the road map to meeting our statutory fuel poverty target of improving as many fuel poor homes as reasonably practicable to energy efficiency rating Band C by the end of 2030, as well as our interim target of Band D by 2025.
There is no set number of homes to be achieved within those targets. However, the Heat & Buildings Strategy, which we plan to publish in due course, will set out how we intend to meet our commitments and set us on a path to decarbonising homes and buildings by 2050.
In June 2019, following advice from the Climate Change Committee (CCC), the UK Government became the first major economy to set a legally binding target to achieve net zero greenhouse gas emissions by 2050. When publishing their recommendation for the level of the Sixth Carbon Budget in December 2020, the CCC made clear that Net Zero in 2050 remains the right target for the UK.
Ahead of COP26, we will set out ambitious plans across key sectors of the economy to meet our carbon budgets and net zero. We have already published the Energy White Paper and the first phase of our Transport Decarbonisation Plan, and will publish the Heat and Building Strategy in due course. We will also publish a comprehensive Net Zero Strategy, setting out the Government’s vision for transitioning to a net zero economy, making the most of new growth and employment opportunities across the UK. These will raise ambition as we outline our path to hit our 2050 target.
We will build on the strong foundations we have established through our leading progress in decarbonising our economy; our ambitious manifesto commitments; and announcements from my Rt. Hon. Friends the Prime Minister and Mr Chancellor of the Exchequer of measures to cut emissions as we build back better in our economic recovery from COVID-19.
As with all tax policy, Stamp Duty Land Tax (SDLT) is kept under review, but the Government does not currently have any plans to link SDLT on properties with their relative energy efficiency. As set out in the Energy White Paper, we will be consulting on regulatory options to improve the energy performance of owner occupier homes this year.
We see improving the energy efficiency of homes to be the best long term solution to tackling fuel poverty. However, there are limitations as to the energy efficiency measures that can be put in place, including the physical characteristics of the property and the preferences of the householders. For example, some listed buildings cannot make use of certain energy efficiency measures like solid wall insulation. There will also be cases where householders simply do not want energy efficiency measures carried out in their home. These circumstances may mean that it is not reasonably practicable to improve the energy efficiency of the home.
Over time, innovative new energy efficiency measures may help to overcome some of these challenges while also reducing the cost of insulating homes. BEIS is encouraging innovation through funding ‘Innovations in the Built Environment’, a collection of competitions and projects, many of which encompass energy efficiency. We remain committed to encouraging the wide take up of energy efficiency measures.
The Government remains committed to the Clean Growth Strategy aim for as many homes as possible to be EPC Band C by 2035, where practical, cost-effective, and affordable.
In addition, for homes in fuel poverty, we remain committed to our statutory fuel poverty target of improving as many fuel poor homes as reasonably practicable to energy efficiency rating Band C by the end of 2030, as well as our interim target of Band D by 2025.
There is no set number of homes to be achieved within those targets. However, the Heat & Building Strategy and the updated Fuel Poverty Strategy, which we plan to publish in due course, will set out how we intend to meet our commitments and set us on a path to decarbonising homes and buildings by 2050.
There are approximately 4.1 million social homes in England, with around 1.6 million homes currently rated below the Energy Performance Certificate (EPC) band C.
The 2019 Conservative Manifesto committed to a £3.8bn Social Housing Decarbonisation Fund over a 10-year period, to improve the energy performance of social rented homes. The Social Housing Decarbonisation Fund will support the ambition set out in the Clean Growth Strategy, that as many homes as possible are improved to EPC band C by 2035, where practical, cost-effective, and affordable, and for all fuel poor homes to reach this target by 2030. The Social Housing Decarbonisation Fund will bring a significant amount of the social housing stock that is currently below EPC C up to that standard.
The following schemes are also targeting energy performance improvement in social housing:
The £500m Green Homes Grant Local Authority Delivery scheme, which aims to improve the energy efficiency of around 50,000 homes rated EPC level D to G, where Social Housing Providers may work with Local Authorities to upgrade their housing stock;
The £50 million Social Housing Decarbonisation Fund (SHDF) Demonstrator, which has awarded funding to social landlords across England and Scotland to test innovative approaches to retrofitting at scale, seeing around 2300 social homes improved to at least EPC band C.
The Green Homes Grant voucher scheme, which provides grants to help homeowners improve the energy efficiency of their homes, is open to social, as well as private, landlords.
The Committee on Climate Change's (CCC) latest estimate puts the incremental costs of action to deliver net zero emissions by 2050 at below 1% of UK GDP throughout the next 30 years. The Government is considering the CCC’s advice on Carbon Budget 6, and our Impact Assessment on setting the level of Carbon Budget 6 will set out more detail on the costs and benefits associated with reducing emissions.
HM Treasury is conducting a review on how to achieve the net zero transition in a way that works for households, businesses and public finances, as well as ensuring that this is compatible with our plans for a thriving and competitive economy. Their interim report, published on 17 December 2020, set out the overall approach to the Review and analysis which will inform the final report due this Spring.
In 2019, the UK became the first major economy in the world to legislate to end its contribution to global warming by 2050. International aviation and shipping emissions are included within the scope of the 2050 net zero target, which was set on a whole economy basis. We fully intend to meet our net zero target through cutting our domestic carbon emissions.
International credits can play an important role in cost-effective global emissions reduction, while creating development co-benefits. We retain our ability to use international credits if necessary, to achieve our commitments as we have said previously when setting Carbon Budgets and legislating for net zero. However, our intention is to meet our Nationally Determined Contribution and net zero commitment through domestic action.
Ahead of COP26, we will set out ambitious plans across key sectors of the economy to meet our carbon budgets and net zero. We have already published the Energy White Paper and the first phase of our Transport Decarbonisation Plan, and will publish the Heat and Building Strategy in due course. We will also publish a comprehensive Net Zero Strategy, setting out the Government’s vision for transitioning to a net zero economy.
The Government remains committed to the ambition set out in the Clean Growth Strategy, that as many homes as possible are improved to Energy Performance Certificate (EPC) band C by 2035, where practical, cost-effective, and affordable.
At the Summer Economic Update, my Rt. Hon. Friend Mr Chancellor of the Exchequer provided up to £50m for a UK-wide Social Housing Decarbonisation Fund (SHDF) Demonstrator, to support jobs, improve energy efficiency and reduce bills for social tenants whilst demonstrating the benefits of the Whole House Retrofit approach to reduce costs overall. At the recent spending review the chancellor announced £60 million in 2021/22 for the SHDF in England.
The Government has also recently published the Social Housing White Paper where we committed to review the Decent Homes Standard to consider how it can better support the decarbonisation and energy efficiency of social homes.
The Government remains committed to the ambition set out in the Clean Growth Strategy, that as many homes as possible are improved to Energy Performance Certificate (EPC) band C by 2035, where practical, cost-effective, and affordable.
We believe this still represents good value for money, and we are focussed on introducing a range of policies and proposals that deliver it. In 2020, alongside a significant package of public funding for building retrofit, we have:
The Heat and Building Strategy will set out further details on the actions we will take to reduce emissions from buildings.
Stamp Duty Land Tax (SDLT) is kept under review, but the Government does not currently have any plans to link SDLT on properties with their relative energy efficiency, as suggested in the report by Policy Exchange.
The Government acknowledges that more needs to be done to improve the energy performance of owner-occupied homes. As such, we are currently consulting on how mortgage lenders can help householders in England and Wales to improve the energy performance of their homes. We have committed to consult in 2021 on regulatory measures for owner occupiers and will consider a range of options as part of that consultation.
We see improving the energy efficiency of homes as the best long term solution to tackling fuel poverty, enabling warmer homes with reduced energy bills. The fuel poverty target is therefore to ensure that as many fuel poor homes as is reasonably practicable achieve a minimum energy efficiency rating of Band C, by 2030. There are interim milestones for the target of a minimum Band E rating by 2020 and Band D by 2025. Good progress is being made and in 2018, our most recent statistics indicated there were around 900,000 fewer fuel poor households living in an E, F or G rated property compared to 2010. An updated Fuel Poverty Strategy for England will be published in due course.