Prime minister Rishi Sunak’s decision to establish a department for energy security and net zero, one of four newly created government departments, has been broadly welcomed by the industry.
Grant Shapps, new energy security minister, will have his work cut out as he is tasked with manging energy policy, and in particular on energy efficiency requirements for homes, as the housing market continues to wait for clarity on EPC rule changes and how this will impact on homes in the private rented sector.
Kate Davies, executive director of IMLA, commented: “The prime minister’s decision to split up BEIS and restore a standalone energy department brings hope for more efficient decision making on energy policy, and in particular energy efficiency requirements for homes. However, action to match this aspiration must follow if real change is to take place.
“In 2021, the Committee on Climate Change (CCC) estimated that £55bn of investment in home energy efficiency was needed by 2050 for the UK to achieve a balanced pathway to net zero. However, the UK housing market has been waiting for clarity on EPC rule changes for months now, despite the first proposed deadline – the 2025 cut off for all rented properties to become EPC band C – looming nearer every day.
“Landlords in particular have been left with a significant amount of work to do and little guidance on how, when or whom they should approach to ensure their properties are compliant with whatever EPC regulations are introduced. We hope that a new, streamlined department will help provide some much-needed clarity on the requirements for landlords, lenders, brokers and housebuilders alike.
“It will also be very important that the new department does not operate in a vacuum – but works closely with other departments, agencies and stakeholders in order to develop a joined-up, long-term strategy.”
Propertymark says that it is pleased to see that the UK government is demonstrating its dedication to the Net Zero target by creating this new department.
The organisation’s head of policy and campaigns, reminds us that buildings account for 30% of emissions in the UK, with homes making up 17% of the total, which means there is room for improvement across the sector. But also points out that that the industry is seeking clarity.
He commented: “Agents are looking for clarity on how landlords, homeowners and businesses can meet energy performance targets.
“Our Lagging behind: Energy Efficiency in Low-Viability Properties report calls for local and central government to produce a coordinated strategy across the country which incorporates financial incentives, awareness raising and skills development to deliver the improvements that are needed. Improving the energy efficiency of housing and buildings is not only important to reduce fuel bills but is the right thing to do.
“We look forward to working with the new department to ensure that the property sector can play its part in the UK becoming Net Zero by 2050.”
