The speculation in the run up to yesterday’s Budget created a lot of uncertainty for businesses across the country. Our industry suffered more than most as the uncertainty around the future of ECO intensified.
The ending of ECO after nearly 30 years of supplier obligations is a significant step. Energy efficiency obligations are not perfect, but they have delivered home improvements for millions of the most vulnerable in society. They have effectively operated under Labour, Conservative and Coalition Governments and they have continued because they have delivered consistently and at huge scale.
Whilst we await the all-important detail of how the Warm Homes Plan will function, we need to shape our businesses to make the most of the opportunities this scheme presents, the Chancellor recommitted £13.2 billion in funding for the Warm Homes Plan yesterday. The shift to a modern energy system will require a radical overhaul of our housing stock and this presents us all with opportunities. Our businesses understand the practical challenges of upgrading homes whilst consumers are living in them. We understand how to engage with consumers and how to guide them through complex upgrades, building consumer trust and delivering quality measures.
This expertise has never been truly recognised by policy makers or Government, but is what will ensure that our businesses are at the heart of the transformation to our housing stock, which the Government needs to happen in the next few decades.
As I reflect on the events of the last couple of weeks, a couple of things are clear. First, the future of our sector was very much under threat, and we faced a prospect of no ECO and no replacement. It is also clear the reason why there has been funding announced under the Warm Homes Plan, is due to concerns within Government around fuel poverty. The vast majority of activity under supplier obligations have been directed towards those in fuel poverty. Scrapping ECO and not replacing it with an equivalent scheme would have adversely effected those who need it most. The Government have acted for this reason alone and not to protect our businesses.
Our industry has been on the receiving end of lots of criticism this year. Some of that criticism has been justified, most of it has not and has been blown out of all proportion. Collectively we have successfully helped millions of the most vulnerable people in society consistently for nearly 30 years. What we do makes a real difference; we’re making the coldest homes in the UK warm and dry, and we’re saving people money on their energy bills.
As we look ahead, I think we need to remind ourselves and Government of the good we do each and every day. Our industry will be needed as we finish the job of making every home in the UK warm and energy efficient. Our industry will be vital as we help the most vulnerable in society to access renewables that would otherwise only be available to the more affluent members of society.
The team at InstaGroup will be here to help on that journey. The next few months will be challenging as we navigate through the transition from ECO to Warm Homes. However, we have gone through a number of transitions in the last 30 years and we will navigate this together with you.
