Faulty Insulation Could Cost Government's Warm Homes Plan Over £3bn, Warn Experts
The National Warm Homes Council has warned £3.2bn of loft installation could be wasted without proper protection.
3 min read
The government's plan to make households more energy efficient risks being undermined by a failure to properly protect loft insulation, an industry group has warned.
In new research shared with PoliticsHome, the National Warm Homes Council said that the government's warm homes strategy could result in £3.2bn being wasted due to damaged insulation.
Ministers are committed to upgrading up to 300,000 homes in 2025 as part of their bid to reduce household bills and increase the UK's energy security, with protecting insulation being part of their plan.
It also includes more funding for replacing boilers with heat pumps, a switch that the government says will help households reduce their carbon emissions.
However, the NHWC, a body of British SMEs focused on reducing household energy bills and achieving net zero, has warned that when it comes to loft insulation, the government strategy does not go far enough, and that the focus on technology like heat pumps and solar panels will produce limited success unless loft insulation is properly addressed.
Director of the NWHC, Dave Raval, said the Labour government needed to prevent "mistakes of the past" being repeated when it comes to protecting insulation.
“This is a once-in-a-generation opportunity to upgrade the UK’s housing stock. But if the government overlooks the basics – such as proper protection for loft insulation – it risks creating an expensive legacy that future governments will have to rectify."
Raval explained that the "vast majority" of households damage their loft insulation when they use their lofts, which "drastically" reduces the effectiveness of the insulation, limits savings in their energy bills, and ultimately leads to the insulation needing to be replaced in the future.
“British SMEs fully support the government’s plan to lower bills for consumers and have already developed affordable and accessible insulation protection solutions to help.
"It's crucial these are integrated into government policy immediately before the mistakes of the past are repeated," he said.
Simon Francis, co-ordinator at the End Fuel Poverty Coalition, agreed that the success of the government's warm homes strategy will hinge on "getting the basics" like loft insulation right.
"The success of the Warm Homes Plan must be judged by how far it goes in ending fuel poverty, not simply by maximising the raw number of measures taken," he said.
"But it is crucial that it learns from past failures and delivers high-quality, properly designed installations that genuinely reduce bills and improve comfort for the long term.
"This includes getting the basics right: insulation must be installed to the right depth, with proper protection and follow-up where necessary to ensure it remains effective."
He warned that high-tech solutions will "underperform" if homes continue to leak heat due to faults like poor insulation.
A Department for Energy Security and Net Zero spokesperson said the NWHC figures "ignore the fact that any measures installed under government schemes — including loft insulation — must be fitted by a TrustMark registered installer to the highest standards, with protections in place if issues arise".
They added: “Our Warm Homes Plan will make homes cheaper and cleaner to run, and we are investing £13.2bn to improve up to five million homes over this Parliament, helping families to cut their energy bills for good."
Adam Berman, director of Policy and Advocacy at Energy UK, said that while insulation was important, the government was "right to prioritise measures such as heat pumps and solar installations".
"Insulation will continue to be a complementary solution for many households, but the evidence is clear that getting the most out of every penny spent in the Warm Homes Plan will rely on electrification technologies, ensuring the UK can bolster its energy security and reduce emissions at the lowest cost.”
