Britain’s Plan to Create Warmer, More Energy-Efficient Homes

The UK has the oldest housing stock in Europe, with the highest percentage of pre-war homes among all European countries. Approximately 38% of UK properties were constructed before 1946, when environmental standards were non-existent or significantly weaker than today.

Many of Britain’s Georgian row houses and Victorian terraces date back to the early 1700s and 1800s. While these older homes can be aesthetically pleasing, they are often more challenging to insulate than newer constructions. They typically feature solid walls instead of cavity walls, resulting in energy inefficiency, cold interiors, and draughty conditions.

A concerning report from Sir Michael Marmot’s Institute of Health Equity, published in February 2024, indicates that one-third of all UK households—approximately 9.6 million—are poorly insulated. These cold and draughty homes primarily belong to low-income families, contributing to the nation’s poor health outcomes. The report identifies “fuel poverty” as a central issue, which is influenced by three factors: fuel price, the quality of housing, and the poverty level.

Cold homes not only worsen existing medical conditions like hypertension, arthritis, and anaemia, which can become life-threatening in winter, but they also increase the risk of mental health issues among young people. Additionally, living in a cold environment can lead to social consequences such as increased isolation, loneliness, and lower educational attainment.

Heating cold, poorly insulated homes can be expensive. Approximately a quarter of the money households spend on heating is wasted due to inadequate insulation. Furthermore, energy prices have surged fourfold because of the war in Ukraine.

In Britain, housing accounts for 25% of the country’s energy consumption and 14% of its emissions. To achieve net-zero emissions, the carbon footprint of homes must be reduced by 40% over the next decade. Making homes energy-efficient and well-insulated is essential to reaching this goal.

Achieving net zero also involves replacing gas boilers with electricity-powered heat pumps. Currently, less than 2% of homes in Britain are heated by heat pumps, compared to 21% in France. To meet emissions targets by 2035, Britain’s figure needs to increase to 25%.

Before the country can fully benefit from energy efficiency and lower emissions from switching to heat pumps, it must address insulation issues and eliminate cold drafts. Thermally efficient homes require 40% less energy to heat than poorly insulated homes. Additionally, the transition to heat pumps will increase the electricity demand, and the grid may struggle to supply enough power during peak times when heating needs are at their highest.

“Warm Homes Plan”

Retrofitting Britain’s draughty homes is easier said than done. The Labour government has introduced the “Warm Homes Plan” to tackle the significant challenge of insulating old and drafty homes, including rental properties. The Labour government wants 6 million rented houses to meet a minimum energy-efficiency standard of EPC C (or its equivalent) by 2030.

An Energy Performance Certificate (EPC) is a document that outlines a property’s energy efficiency. In the UK, it is a legal requirement for all homeowners and landlords to have a valid EPC, lasting 10 years, before selling or renting their properties to potential buyers or tenants. Properties are rated from A (very efficient) to G (inefficient) to indicate their energy performance.

The labour government’s Warm Homes Plan aims to upgrade millions of homes, permanently lower families’ energy bills, and create warm, sustainable living spaces. The plan enables the government and local authorities to enhance cold, draughty homes in their jurisdictions, thereby creating jobs for construction workers, plumbers, and installers across the country.

This initiative is expected to reduce household heating bills by up to £500 annually, decrease gas imports, and create opportunities for British businesses of all sizes.

Its website says, “As a key part of the Warm Homes Plan, the Government has committed with its partners to deliver a range of insulation measures and other improvements such as solar panels, batteries and low carbon heating to cut bills for families, slash fuel poverty, and reduce carbon emissions in support of the net zero 2050 target. If your home is energy inefficient — with an Energy Performance Certificate rating of D to G — the intention is to improve properties to achieve an EPC rating of C.”

The plan provides funds and grants to support low-income homeowners and private tenants with energy performance upgrades and cleaner heating. 

The scheme could fund various measures to improve home insulation and energy efficiency. This includes the installation of hot water cylinders or tanks, heating controls, solar photovoltaic (PV) systems, low-energy lighting, battery storage, draught-proofing, and double or triple glazing. Additionally, it could support the installation of energy-efficient doors.

Retrofitting the UK’s ageing housing stock is essential for its citizens’ health and economic well-being and the country’s ambitious climate goals. The government’s Warm Homes Plan is crucial to addressing the country’s fuel poverty issues, poor insulation, and high energy prices.

Although insulating millions of homes and transitioning to low-carbon heating systems will be challenging, it offers significant long-term benefits for residents.

These benefits include lower energy bills, better health and well-being, and progress toward achieving net-zero emissions goals, all of which contribute to a more sustainable future.