Getting the housing industry to net zero will cost at least £5bn, industry leaders say
In the push for a low-carbon future in the housing sector, renovating the UK’s draughty homes would cost the government £5bn over the next four years and create 100,000 jobs, industry leaders have estimated.
The revamps would also cut people’s energy bills and lift tax revenue, leaders have written to ministers today, the Guardian reported today.
The strategy would boost the UK’s green post-pandemic recovery and help the UK hit its net zero emissions targets. The government’s own heat and buildings strategy is expected to be published soon.
While the government seeks to cut 78 per cent of CO2 emissions by 2035, leaky homes produce nearly one-fifth of the UK’s carbon output.
In a letter to business secretary Kwasi Kwarteng, signed by over 50 organisations, the Construction Leadership Council has outlined a strategy that would help people save more than £400 on their energy bills each year.
“If the UK is to meet our world-leading carbon reduction targets, create jobs and level up, we must address the energy and water efficiency of our 28m homes. Our strategy is a blueprint, endorsed by the construction industry and beyond,” the letter said.
The letter urged for a government-led programme to renovate homes from now until 2024, which would “support the levelling-up agenda, generate government revenue of more than £12bn, provide additional GDP of more than £21bn and unlock £11.4bn of private capital,” they added.
The Construction Leadership Council’s proposal would need a range of policies, from green mortgages to stamp duty rebates on refurbished homes, to be successful.
Reduced VAT on home improvement works and loans to landlords to improve their properties would also be a step in the right direction, the council suggested, as well as government grants for low-income households.