The Department for Communities (DfC) is refreshing it's proposals for reform of the Private Rented Sector (PRS) which were first published in 2017 . In response to their stakeholder survey, Propertymark has urged the DfC to prioritise increasing housing supply, regulating property agents, and taking a carefully considered approach to energy efficiency targets.

Phase two of the Home Upgrade Grant (HUG2) is a UK Government-funded scheme for properties in England that are not connected to the gas grid. £630 million has been allocated to Local Authorities to provide energy efficient upgrades and low carbon heating to eligible households between April 2023 and March 2025.

The UK Government’s detailed proposals for the 2025 Future Homes and Buildings Standards will amend existing legislation to set new minimum energy efficiency requirements for buildings in England. Most changes will apply to new homes and non-domestic buildings and should ensure no further work will be needed for new buildings to produce zero carbon emissions as the electricity grid decarbonises.

The Scottish Government has set out proposals for how homeowners and landlords can meet energy efficiency targets and reconfirmed its intention to ban polluting heating systems from 2045. Whilst Propertymark welcomes the ambition, we believe enhancements are needed to make the plans achievable.

There are approximately 350,000 listed homes in England, and approximately 600,000 commercial properties dating from before 1919. The impact of the cost-of-living challenges means fewer households and businesses can afford the required work to install energy efficiency upgrades. This, in combination with increased costs for historic building retrofit skills and materials, makes comprehensive retrofit action unobtainable for many property owners.

Homeowners are surrounded by messages about the urgency of taking green measures in their properties, and insulation should be a high priority. However, mortgage lenders are increasingly taking a zero-tolerance approach to spray foam insulation and are declining applications.

Reducing wasted energy is one of the ways individuals can permanently reduce energy bills, contribute to net zero targets, and reduce the UK’s dependence on imported gas. However, two-thirds of households did nothing to improve the energy efficiency of their homes in 2023 because of prohibitive upfront costs.

The Devolved Government has been restored after 24 months of no activity. Whilst the Civil Service moved ahead with some actions, there are issues for the housing sector which have been on hold. Ministers must now act to make key improvements to address supply, implement the rest of the Private Tenancies Act, and rule out rent controls to protect the private rented sector.

The Department for Energy Security and Net Zero (DESNZ) reports applications to the Boiler Upgrade Scheme were 49% higher in December 2023 compared to the same month in 2022, but without mandatory targets, there is little sign yet that energy-efficient homes in the UK command higher prices.

A prevention of future deaths report criticising the location of a prepayment electricity meter has been issued following the death of an elderly woman in her council flat. Property agents do not have any formal responsibility regarding the location of energy meters, however it is sensible to know where to signpost tenants who need support, information or resources.

The Secretary of State for Energy Security and Net Zero, the Rt Hon Claire Coutinho, MP, responded to our call for certainty and confirmed that no changes have yet been made to Minimum Energy Efficiency Standards (MEES) for non-domestic properties. However, she acknowledged it is essential that the UK Government reviews their policy design and timelines to ensure they are still fair and reasonable.

Propertymark has urged the UK Government to do more to help the most vulnerable citizens after the Office for National Statistics (ONS) released data showing multigenerational homes and those with older adults living in them were disproportionately likely to have low energy efficiency.

Propertymark has responded to the consultation from the Department of Finance urging them to prioritise long-term investment over short-term target setting to avoid negative impacts on homebuilding and rental stocks. Any targets that are set must be realistic and come with sufficient support for property owners

In our pre-budget scrutiny Propertymark has called for an increase in the number of homes available to house the Scottish population, with improved standards, help to reduce energy bills, and a private rented sector (PRS) that is fair for everyone.

Fossil fuel systems will be replaced by 2045 and new minimum energy efficiency standards will be set for homes of all tenures, according to plans which have been put out for consultation by the Scottish Government.

Focusing on the key housing sector themes, Propertymark is calling for prioritisation of work with the PRS on homelessness, investment in reliable data collection, and a boost in support for decarbonisation.