New Homes (Solar Generation) Bill

Paul Holmes Excerpts

2nd reading
Friday 17th January 2025 Commons Chamber

[Paul Holmes (Hamble Valley) (Con)]

I commend the hon. Member for Cheltenham (Max Wilkinson) for bringing this important issue to the House. It is good to see the Minister in his place—I know he and Ministers in his Department have had a busy week.

Solar energy has an essential role to play in decarbonising our power sector by putting otherwise unused roof space to good use. Solar panels are an effective technology for reducing carbon emissions, and the Bill proposes a forward-looking measure that would require the installation of solar PV generation equipment on new homes. Its Second Reading offers us an opportunity to debate the merits of the proposal and its potential contribution to our shared goal of reaching net zero by 2050.

While welcoming the Bill and its aims outlined this morning, I would like to add to the debate some possible unintended consequences of the Bill in its present form. I want to be a genuinely constructive voice in ensuring that the Bill gets to Committee—I hope the hon. Member sees that—but some areas could be strengthened. I appreciated his sunny disposition in bringing the legislation to the House today. I will try to be a ray of sunshine as I get through this speech. [Interruption.] I am in danger of misleading the House there. I hope to be a sunny ray of light in Committee should the Bill get through and we table amendments to it.

The previous Government supported solar energy generation where it was appropriate. Our efforts included a £50 million fund aimed at supporting rooftop solar installations to enhance on-farm energy security. The responsibility for advancing solar and renewable energy now rests with this Government, and we wish them luck in doing so while remaining sceptical about the abilities of GB Energy to see that through. Under the last Government’s leadership, we delivered 2.5 million homes since 2010, including 1 million homes during our final term in office. That provided more people with the opportunity to own their homes and expanded options for renters.

Additionally, in November 2023, as has been outlined, the Ministry of Housing, Communities and Local Government announced expanded development rights, making it easier for homeowners and businesses to install rooftop solar panels without the need for planning permission in most cases. That was a positive step, and I hope to see such support continue. As the Government pledge to deliver 1.5 million homes in this Parliament, we must ask ourselves what impact the Bill would have on house building. Building costs are already high and projected to rise further. Even the chief executive of Homes England has admitted that delivering Labour’s housing target may require two parliamentary terms, not one as the Minister outlined.

I also note that the implementation date of 1 October 2026 in clause 1 provides little time for the industry to adapt to the significant challenges the Bill introduces. Given the growing pressures on the industry, it is necessary to question whether the Government have considered and worked on the potential skills shortage, as an hon. Member raised earlier, and the feasibility of implementing the standards in this well-intentioned Bill.

We know that the UK has one of the oldest housing stocks among developed countries, with a particularly complex system of housing tenure. Buildings owned by freeholders and occupied by a mix of leaseholders and tenants present ongoing challenges for successive Governments when implementing necessary updates and retrofits. Meanwhile, in the realm of housing development, where 1.4 million new units already have planning consent, developers continue to highlight issues, such as the cost of solar panels, as a significant obstacle to advancing new housing projects. We must therefore consider whether the additional costs imposed by the Bill could hinder progress in delivering housing. Could it add restrictions to house building plans, particularly when it comes into effect in 2026? We are open to the timescale that the Bill would implement.

[Sir Roger Gale]

Does my hon. Friend not accept that, while it is not remotely surprising that some developers are resistant on the grounds that the Bill will add to the costs of building property—it indubitably will—we should recognise the flipside of that coin, which is that it will enhance the value of the property and make its management and running much more affordable?

[Paul Holmes]

My right hon. Friend is absolutely correct. If he will allow me, I will elaborate on that further on in my oration this morning, when I will look at the other side of the coin. While absolutely taking into account that house builders will have concerns over costs and will claim concerns over costs, as we have seen various organisations do, we also have concerns about the ongoing maintenance costs of these technologies for those who buy the properties in the first place. There is a balance to strike, which we can look at further if the Bill goes into Committee.

Maintaining solar panels, as my right hon. Friend was tempting me to say, is not without challenges. Repairs often require scaffolding, which can be expensive. We worry that an unintended consequence of the Bill could be increased costs for residents, home owners and property owners. How will we support home owners facing frequent and costly repairs?

The updates to the national planning policy framework present an opportunity to consider how such requirements can be better embedded in planning law. I recognise that administrators face a challenging task. The framework contains approximately 19 chapters of guidance, which each local authority must reflect in its local plan after public examination, ensuring full alignment with those chapters. The complexity of the process, combined with consideration of local environmental factors, such as surface water run-off, and the need for materials to align with established practices, creates a considerable challenge.

To translate the aspirations outlined by Members into real-world outcomes, we must simplify the process for local authorities to enable them to fulfil their role as community leaders. Instead of requiring lengthy and costly procedures to prove compliance with planning law, we need to ensure that the relevant standards can be implemented efficiently. The previous Government consulted on a future homes standard to ensure that all new homes would be zero carbon-ready. That included provisions for solar panels where appropriate. We must also ensure that brownfield sites are prioritised for housing development and stand-alone solar power, rather than sacrificing valuable agricultural land, as we risk seeing under the Government’s proposals. I sincerely hope that they will build on the progress we saw as a result of the previous Government’s consultation and the feedback gathered.

As we consider the Bill, it is important to recognise that not all buildings are suitable for solar panels. Factors such as structural strength, the direction and orientation of buildings and challenges with maintenance access must be taken into account. As I believe the hon. Member for Cheltenham has recognised, a one-size-fits-all mandate might lead to unintended consequences or inefficiencies. What discussions has he or the Government had and what consultations have taken place with the building industry during the drafting of this legislation? Collaboration with developers and stakeholders is critical to ensuring the successful implementation of such a policy. Consumer and local choice must also play a role in these decisions. I am concerned about the Labour Government’s apparent intent to reduce the influence of local representatives on planning committees. Local people should have a say on what is built in their area—we have heard some examples from local council leadership across the country this morning.

If this Bill receives passes its Second Reading today, we will scrutinise it thoroughly to ensure that it balances the need to build more homes with the imperative of increasing energy efficiency and production. I welcome the proposed exemptions for buildings that cannot support solar due to roof positioning or other factors. Those exemptions need further scrutiny in Committee to ensure that they are comprehensive. Sensibly, the Bill allows for other renewable energy systems to be used where solar is not feasible; that is practical. However, the list of exemptions should not allow developers to adapt their designs in order to avoid installing solar panels, so that they can avoid what they claim are increased costs. As my right hon. Friend the Member for Herne Bay and Sandwich (Sir Roger Gale) and a number of colleagues on the Labour Benches mentioned, there remains a risk that house builders or developers will identify loopholes in the legislation that they can use to say, “We can’t build solar on that, so we will do either a cheaper alternative or none at all.” However, if Members in all parts of the House work together in Committee, we can strengthen the legislation to ensure that developers put these technologies on buildings across the country.

[Caroline Voaden]

When the zero carbon homes standard was scrapped by the Conservative Government in 2015, a Government report said that scrapping that standard was designed to reduce regulations on house builders. Many people said that the Conservative party had been put under considerable pressure by house builders who were very generous to that party. Will the shadow Minister reassure me that if this Bill reaches Committee, he will be in favour of putting pressure on the house builders to comply?

[Paul Holmes]

There I was, being nice about a Liberal Democrat-proposed Bill. As the hon. Lady knows, the Liberal Democrats are the bane of my life in my constituency, but I was being nice to the Liberal Democrat Member who introduced this Bill, and the hon. Lady has come back and been quite nasty to a Conservative. [Interruption.] Thank you very much.

As my speech clearly outlines, we in the Opposition will take a pragmatic approach to legislation that comes before the House, so that people will see the right measures brought in—for developers, if necessary—for new developments across the country. I am not going to be party political and talk about donations. The last Government had a very strong track record of reducing carbon emissions and making sure we delivered the homes that we need across the country. We will continue to be a constructive voice in Parliament, as I tried to outline to the hon. Member for Cheltenham. We will be very pragmatic and constructive in making sure that the aims of this Bill are realised, should it reach Committee. The hon. Member for South Devon (Caroline Voaden) has my assurance on that, as the shadow Minister responsible for this policy area.

I fully support initiatives to encourage renewable energy and solar panel usage, but it is crucial to address the practical challenges we face. As has been mentioned, the national grid’s infrastructure may not be equipped to handle a significant increase in capacity from solar generation alone. A recent article outlined that £60 billion of investment in the national grid is needed to make sure that solar energy can be put back into the grid in a sustainable way.

I will conclude—many will be pleased to hear—by reaffirming the Conservative party’s strong commitment to the UK’s target of reaching net zero by 2050. I am proud to say that we have already achieved a 50% reduction in emissions between 1990 and 2022 while growing our economy by 79%. As we continue on this journey, our policies must strike a balance between ambition and realism. I look forward to hearing more about the provisions in this Bill, and hope that this debate will bring us closer to solutions that support both its practical implementation and our environmental goals. I once again congratulate the hon. Member for Cheltenham, and look forward to seeing him—if he is lucky—in a Committee on this legislation. At the risk of being sanctioned, I promise him that I will be a ray of sunlight when we work together to ensure that this Bill is strengthened and becomes legislation.