Warm Homes Plan, Labour’s Net Zero Strategy

By Luke Beard · 24 September 2024

The Secretary of State for Energy Security & Net Zero, Ed Miliband has announced further details of the Labour Governments Warm Homes Plan. Not too much seems to have changed in terms of the SHDF based on the draft guidance issued earlier this year which should provide the sector with some certainty around investing in their homes and properties. ARK Assistant Director Luke Beard has provided an overview of the key information released:

Warm Homes: Social Housing Fund

The SHDF scheme that we have been accustomed to has been re-branded and is now called the Warm Homes: Social Housing Fund. The fund is available for social housing providers to continue their net zero journey with guidance issued for wave 3. The extension of this scheme gives providers confidence to continue with their plans to invest in housing stock and continue their work tackling fuel poverty. The Social Housing Fund will open on 30 September 2024. For the first time, all applications that meet minimum requirements will receive some funding, with a new expedited pathway for organisations that have a track record of successful delivery.

Warm Homes: Local Grant

The launch of a Warm Homes: Local Grant, formerly known as the Home Upgrade Grant (HUG), offers energy performance upgrades and clean heat solutions to low-income homeowners and private renters. The Warm Homes: Local Grant is expected to open for Expressions of Interest (EOIs) later in the year. The funding is targeted at energy performance upgrades and the installation of cleaner heating for low-income households living in the worst quality, privately owned homes in England.

Minimum Energy Standards

As part of the Warm Homes Plan, the Government has also announced that it will consult on a new minimum energy efficiency standard for the private and social rented sectors before the end of year. The proposal is to uplift the minimum energy efficiency standards of all rented homes to Energy Performance Certificate (EPC) rating C by 2030. For private rented homes, this marks a considerable increase from the current standard, which is set at an EPC rating of E. In contrast, social rented homes currently have no formal minimum energy efficiency requirements however the sector has been planning for this target in preparation for an introduction of a minimum energy rating.

This is a positive first step towards helping to alleviate fuel poverty. The introduction of a minimum energy standard could be transformative across both the social housing and private renting sector.

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