ECO4 and Insulation Schemes

Oliver Ryan Excerpts

Thursday 23rd January 2025 Commons Chamber

[Miatta Fahnbulleh]

I thank the hon. Member, and I am again glad to hear that she agrees we need a big overhaul of the system, which is absolutely our focus and our commitment. On other measures under ECO and GBIS, audits are not finding the same scale of systemic problems. We think the problem is focused on solid wall insulation in particular. We are doing stress tests and additional audits of other measures to make sure, but we think there is a specific problem with those measures, so we are focusing on them and moving at pace to get them remediated. Where we are finding major issues, we are setting expectations that that work is prioritised, and installers are coming in and remediating it as soon as possible.

Under the existing publicly available specification framework, remediation after installers have not put the work right has to be done within 12 weeks, and we are setting the expectation so the system moves at pace to respond to consumers. We will absolutely be looking to prioritise households in fuel poverty and vulnerable households. We are doing two things: we are contacting them, but we will also create the ability for people to reach out if they are worried or vulnerable, so that we are doing the necessary triaging and, critically, getting into properties to fix work that has not been done right.

[Oliver Ryan (Burnley) (Lab/Co-op)]

I sincerely thank the Minister for her great work on this. In the six months she has been in post, she has made more progress than the last lot did in 14 years. This has been a serious problem for victims in Burnley, so I thank her. I am glad she is looking at earlier schemes, too, because many homes have fallen victim to cowboy builders and failed insulation over several years. I look forward to her updates on earlier schemes, which needed to be actioned by the previous Government but were not, and were ignored for an awful long time. I particularly welcome the stronger regulation, the clarity for consumers and the clear process for complaints, which will make a genuine difference.

I have two questions. Will the bans on particular companies follow the directors of those companies? Too often, we have seen companies being established and putting in poor insulation, and then the directors go away, extinguish the company and start again somewhere else. As my hon. Friend the Member for Bradford East (Imran Hussain) asked, will this cover cavity wall insulation where it has been Government-backed?

[Miatta Fahnbulleh]

I thank my hon. Friend for all the work he has done on this, and for engaging with me and my Department. We are aware of instances where companies have folded so as not to deliver on their obligation to remediate work, and have then set up again. We are putting in place processes through the certification bodies to mitigate that, with a clear expectation that companies will not be taken on by another certification body if they do not get the work right.

Our priority at the moment is solid wall insulation, because that is where we think there is an immediate problem with ECO and GBIS. We are aware, from Members contacting us, of the wider issues that need to be addressed. I come back to the fact that we understand that the system has not been working for consumers. Quite frankly, the quality—and quality assurance—across the system has been far too fragmented and patchy. Critically, consumer protection has not been underscored in the way it needs to be. We are looking to overhaul the system, and we are conscious that there are issues with other schemes and are thinking about the best way in which we can resolve them.