UK Homeowners Face Setback with Delayed Consultation on Net Zero Construction: A Major Blow for the Housing Sector

Housebuilding experts warn that delays to the government’s planned consultation on net zero regulations for housebuilding will result in more households being burdened with high energy bills. The proposed future homes standard (FHS), which requires housebuilders to construct low carbon homes, was originally scheduled for consultation in March but has been postponed to a promised summer publication. At the Tory party conference, Martin Callanan, the minister for energy efficiency and green finance, stated that the consultation would not be released until next year, although he later clarified that it would be opened by the end of this year.

Juliet Phillips, senior policy adviser at thinktank E3G, highlighted the problems that the delay would cause for homeowners. She emphasized that the standard is crucial in ensuring new homes are energy-efficient and cost-effective. Louise Hutchins, head of policy at the UK Green Building Council, noted that the continued delays and uncertainty around higher green building standards only benefit those who speculated that the government would be slow to address the climate emergency.

A recent investigation by The Guardian revealed that housebuilders have avoided constructing low-carbon homes, resulting in savings of at least £15 billion over the past eight years. Retrofitting homes with heat pumps, solar panels, and insulation is far more expensive than implementing them during construction. The costs, which were approximately £5,000 per house prior to the COVID-19 pandemic and have now risen to about £8,000 per house, are currently borne by the housebuilders. It is estimated that around 1.5 million homes have been built without these low-carbon features since the Conservative government abandoned the zero carbon homes standard in 2015. The expense of retrofitting these homes is projected to reach £30-£45 billion, which will ultimately be paid for by homeowners or taxpayers.

Notably, housebuilders and property developers are major donors to the Tory party, with at least 10% of all donations to the party since 2010 coming from the sector. Opposition parties have described these findings as scandalous and accused the Conservatives of prioritizing developer donors over environmental protection. Seeking further delays to the future homes standard could ultimately harm the housing industry and result in public backlash, similar to what water companies have faced, warns Hutchins.

E3G’s Phillips urged for the timely implementation of the new future homes standard, highlighting the decade-long wait for the government to introduce a standard that ensures buildings are prepared for the future. The Labour party did not respond to The Guardian’s requests for comment.

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