Energy Matters - Issue 17

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energymatters

Report: A wake-up call for the energy assessment industry

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Grenfell
Elmhurst
Warm Homes Plan: Relaunched funding scheme for England

Wednesday 12th February 2025

King Power Stadium, Leicester

10am – 4pm

Featuring key government updates, industry case studies and insights into the future of the energy efficiency and retrofit sector, it’s a staple for your 2025 calendar.

5 Hours of Certified CPD

Talks delivered by key stakeholders in our industryincluding government departments and industry experts

Q & A Sessions with all speakers

Ample networking time with other attendees and our sponsors

Dedicated Elmhurst Stand – ask us your questions

Free Hot Fork lunch and refreshments throughout the day

Welcome to the latest edition of Elmhurst’s Energy Matters magazine.

I hope you’re keeping warm and looking forward to the festive season.

As we head into the final month of the year, we’re still awaiting clear details from the government on any changes in direction regarding the energy efficiency of our buildings. The intent remains clear: to build more homes, retrofit more buildings and continue on the road to net zero.

I am pleased to see that the longawaited EPC Reform consultation has now landed. EPC Reform is something that Elmhurst has continued to lobby government and industry on since 2019 and even earlier. The ‘New EPC’ should do much more than simply estimate energy bills. It should include information on energy consumption, carbon emissions and how a building’s construction impacts its ability to retain heat. Moreover, following the release of this consultation, we now anticipate that the Minimum Energy Efficiency Standards (MEES) consultation will also be published before the new year.

At Elmhurst, industry leadership is something we take great pride in. We regularly attend and speak at conferences and exhibitions, engage with journalists, and respond to consultations across the UK to ensure that our voice – and the voice of our members – is heard on important topics. We continue to advocate for Elmhurst members

at every turn. The work that our members complete is vital to creating warmer and more efficient buildings across the UK, helping owners/tenants understand how to reduce carbon emissions and lower their fuel bills, and so much more.

I was delighted to see the successful turnout and engagement at the recent Elmhurst Wales and Northern Ireland Conferences. We’re now planning the National Conference to be held in February at the King Power Stadium in Leicester, featuring talks from experts across government, academia and industry. Tickets are now available, and I look forward to seeing you there if you’re able to attend.

In case you missed it, the energy assessment industry recently hit the news with a Channel 4 Dispatches program, as well as coverage in many newspaper columns, highlighting F and G rated homes rented by the Duchy of Cornwall and Lancaster. Elmhurst was approached as an independent expert, and we take our role seriously. We consistently advocate for better performing homes and buildings throughout the UK – regardless of ownership. This media coverage underscores the increasing public interest in Energy Performance Certificates (EPCs) and the critical role of well-performing buildings.

I am also delighted to share that we recently won the National Quality Management, Compliance & Training Company of the Year Award at the 10th National Energy Efficiency Awards. This recognition is a testament to the dedication and expertise of our entire team,

and it reflects our commitment to setting high standards in quality and compliance across the industry. Thank you to all staff and members for their invaluable contributions.

As we approach 2025, we anticipate that the long-overdue RdSAP 10 update will land shortly, closely followed by the new version of SAP - known as the Home Energy Model (HEM) - which is due for release alongside the Future Homes Standard. We will continue to keep members and stakeholders informed of any updates on these developments.

As always, I hope you enjoy the variety of articles inside this issue, and I wish you and your families a joyful festive season.

Warm Regards,

Contact us for the latest news and updates

Elmhurst Energy, 16 St Johns Business Park, Lutterworth, LE17 4HB 01455 883 250 enquiries@elmhurstenergy.co.uk www.elmhurstenergy.co.uk

ElmhurstEnergy

ElmhurstEnergy

Elmhurst-Energy-Systems-Limited

Stuart Fairlie Managing Director, Elmhurst Energy

Important Deadline Approaches for Renewing Display Energy

Certificates

Many public buildings in England, Wales and Northern Ireland are nearing an important deadline to renew their Display Energy Certificates (DECs).

As of 9th July 2015, the threshold for requiring a DEC was reduced from buildings larger than 500m² to include those with a floor area over 250m². Consequently, all public buildings with a floor area between 250m² and 500m² were now required to obtain a DEC, which is valid for 10 years.

With the initial certificates nearing their expiration, these buildings must renew their DECs to remain compliant with energy performance regulations.

To require a DEC, a building must meet the following criteria:

• be at least partially occupied by a public authority (e.g. council, leisure centre, college or NHS trust)

• have a total floor area of over 250 square metres

• be frequently visited by the public

This upcoming deadline directly impacts the following parties:

• Public building occupiers

• Public building managers

• Asset management companies

It is essential for all buildings occupied by a public authority and regularly visited by the public to have an up-to-date DEC and

Advisory Report. These can be obtained by contacting a qualified DEC Assessor.

You can find an Elmhurst accredited DEC Assessor in your local area by searching on Elmhurst’s ‘Find An Assessor’ Directory.

How does this affect DEC assessors?

It is important for DEC Assessors, and anyone looking to train in this area, to be aware of the upcoming renewal deadline, as the number of public buildings requiring these services is likely to increase.

All DEC Assessors should ensure that they are up to date with the latest developments and maintain visibility to potential clients in their area.

To stay competitive, why not explore Elmhurst’s range of CPD training courses:

DEC Calculating Floor Area (On Demand):

Providing expert guidance on calculating floor area, this course equips assessors with the knowledge to avoid common pitfalls and ensure accurate DECs (1 hour CPD).

DEC Masterclass (Remote):

Covering the crucial areas associated with completing energy calculations for public buildings, this course is ideal for assessors who regularly complete DECs or want to strengthen their knowledge (5 hours CPD).

Become a qualified DEC assessor

Elmhurst’s ABBE training course is ideal for both newcomers and experienced professionals in the non-domestic sector who wish to become fully qualified DEC Assessors.

For more information, visit the training page

Government Releases Landmark Proposal to Reform EPCs

The long-awaited public consultation on Energy Performance Certificate (EPC) reform has been published by the government.

Amid the ongoing energy crisis, rising fuel poverty and energy security concerns, EPCs are facing heightened scrutiny and calls for reform have grown stronger. Numerous industry organisations, including Elmhurst, have highlighted key issues and offered recommendations to ensure EPCs remain fit for purpose.

What is the consultation proposing?

This consultation seeks views on the reforms to the Energy Performance of Buildings (EPB) framework, applicable in England and Wales. Alongside proposed changes for Domestic and Non-Domestic EPCs, the consultation also looks at potential revisions to Display Energy Certificates (DECs) and Air Conditioning Inspection Reports (ACIRs).

Complementary metrics

A key change proposed for the EPC is how it appears to the end consumer.

The current EPC appearance is recognisable from the colourful rating scale, with Domestic EPCs using an A to G scale to show the energy cost of a property (based on standard occupancy) and NonDomestic EPCs using an A+ to G scale to show the Environmental Impact Rating (EIR) based on carbon emissions.

The EPC Reform consultation acknowledges flaws in both headline metrics and is proposing a number of different metrics on EPCs to provide a more complete representation of building energy performance. These include:

• Energy cost

• Carbon

• Energy use

• Fabric performance

• Heating system

• Smart readiness

The consultation highlights that Domestic EPCs would use four headline metrics which include: ‘fabric performance’, ‘heating system’, ‘smart readiness’ and ‘energy cost’. Other metrics would be provided as secondary information and be less prominent on the EPC.

Non-Domestic EPCs will likely maintain the single headline carbon metric in the short term, as they are already carbon focused and aligned with net zero objectives. It is acknowledged, however, that new primary or secondary metrics could be added in time.

Increasing requirements for EPCs and DECs

The consultation proposes a change to when an EPC is required for a property. At present, the validity period of an EPC is 10 years, and a valid EPC is required when a property is marketed for sale or let or is newly constructed.

The consultation poses the question as to what the validity period for EPCs should be, presenting 6 options, ranging from less than 2 years to 10 years. A reduction of validity period is also being proposed

for DECs, from 10 years to 7 years for buildings between 250-1,000 m², and from 7 years to 5 years for buildings over 1,000 m² (DEC Recommendation Report Only).

The government is also considering increasing the requirements/trigger points for EPCs, including the need for private landlords to get a new EPC when their current EPC has expired. This would support energy performance improvements in PRS buildings that are subject to MEES.

Other proposed changes include:

• Removing the ability for heritage buildings to claim exemptions

• Bringing all HMOs (Houses in Multiple Occupation) and almost all short-term lets into scope

Training and Standards

The consultation is looking at energy assessors; the training they receive to qualify, as well as the ongoing competency they need to deliver energy certificates for different buildings.

The increase in independent training organisations has resulted in a mixed bag when it comes to the quality of qualified assessors. The government is proposing options to tighten this up and identify areas where additional/optional training would be of use.

Air Conditioning Inspection Reports (ACIRs)

The consultation notes how the current format for ACIRs can be seen as complex and repetitive, meaning system operators may not fully understand the findings or recommendations within the report.

To improve this, the government is proposing a redesigned ACIR to include the following information:

• the likely efficiency of the system and suggestions for improvement of faults identified

• the adequacy of equipment maintenance and suggestions for improvement

• the adequacy of the installed controls and control settings and suggestions for improvement

• the current size of the installed system in relation to the cooling load and suggestions for improvement

• consideration of the capabilities of the system to optimise its performance under typical operating conditions

• a summary of the findings and key recommendations

Other changes

Additional changes proposed include:

• Tweaks to make the data more accessible.

• Updates to penalties to better align them with the relevant costs for compliance.

• Call for evidence for what more can be done to improve EPC quality and reduce frauds.

Elmhurst’s thoughts

Elmhurst welcomes this longawaited consultation. EPC reform is something that Elmhurst has continued to lobby government and industry on since 2019 and perhaps even earlier than that (as can be evidenced in our 2019 manifesto, and this year’s Almanac).

We generally support this consultation which aims to widen the scope of energy certificates, potentially reduce how long they are valid for and demystify them for the end consumer through the introduction of new metrics and a change to their format.

The new headline metrics proposed for the Domestic EPC are a good first step, but we do have some concerns about whether the ones selected will resolve any misunderstandings when it comes to a consumer’s view of the EPC.

Elmhurst has long advocated for the EPC to give equal prominence to 3 metrics; Cost, Carbon and Energy Consumption. These 3 metrics provide clear information of the property in question and can be easily adapted for legislation, which can refer to the relevant metric that it intends to improve.

We encourage all Elmhurst members and anyone involved in the industry to read and respond to the government consultation.

Timeline for implementation

This consultation will close on 26th February 2025.

An updated EPBR is expected in early 2026 and any changes to EPC metrics are likely to be introduced in the second half of 2026.

To read the government consultation, scan the QR code:

Almanac

For more information on what Elmhurst would like to see in the EPC Reform consultation, read The Elmhurst Almanac 2024. This issue covers significant industry developments and outlines Elmhurst’s key calls to action for both industry and government.

Read Now:

Energy Talks Podcast

Season 2: Episode 1: EPC Reform: Shaping the Future Energy Landscape

In our first episode of the new season, host Andrew Parkin is joined by Sam Cantle and special guest Keeran Jugdoyal from the Ministry of Housing, Communities and Local Government (MHCLG) to discuss the EPC Reform Consultation.

Watch Now:

Watch!
Read! Elmhurst

RdSAP 10 Set To Revolutionise Energy Performance Assessment for UK Homes

The upcoming iteration of the Reduced Data Standard Assessment Procedure (RdSAP), known as RdSAP 10, marks a significant advancement for the UK housing sector. Expected to launch in early 2025, the update will bring more accuracy and relevance to the assessment of energy performance in existing homes, as well as better align with the country’s ambitious carbon reduction targets.

What is going to change?

RdSAP 10 introduces several key enhancements designed to improve the quality and scope of Energy Performance Certificates (EPCs). This is essential for home sales, rentals and funding mechanisms, such as the Boiler Upgrade Scheme (BUS).

Notable updates featured in RdSAP 10 include:

Incorporation of new technologies: A number of new technologies such as battery storage, PV diverter and small-scale hydro will be included in RdSAP 10. This reflects the growing number of these technologies in UK homes and provides a more accurate picture of a property’s energy efficiency. Elmhurst has completed some analysis on how these new data entry points will impact the main metrics on an EPC for an existing home. Using the example of an average property, including battery storage and a PV diverter could increase the energy efficiency rating by an average of 7 SAP points.

Changes to data collection:

RdSAP 10 includes refined protocols for data collection, including measuring all windows, more detailed assessment criteria for roof rooms and more options of ventilation, which is a significant change. The current version of RdSAP makes several assumptions regarding ventilation for a home, including the air permeability and where mechanical ventilation is present. As we have seen in the news recently, poor ventilation leads to issues, such as damp and mould, that not only impact how energy efficient the property is, but the living standards and the occupier’s health. Whilst RdSAP is not a condition survey, it is right that RdSAP 10

addresses the need to reflect how ventilation is achieved throughout a home. The refined protocols for data collection can be used to make smarter energy efficiency improvements and provide a clearer picture of a home’s energy related features.

Improvements to recommendations:

RdSAP 10 will feature clearer recommendations for improving energy efficiency. Currently, heat pumps are classed as an alternative recommendation when a home is heated by electric storage heaters. RdSAP 10 aims to address this, so any home that is reasonably well insulated, and where there is not a more cost-effective heating system recommended, may have a heat pump recommendation on its EPC.

Tackling carbon:

Traditionally, EPCs have focused primarily on the energy efficiency rating, which measures energy costs rather than carbon emissions. However, as the UK aims for Net Zero by 2050, there’s a growing

need for EPCs to better align with carbon reduction goals. RdSAP 10 will contribute to this transformation through the inclusion of new fabric element enhancements, including:

• Additional insulation levels for walls, floors and roofs.

• The ability to model wall construction more accurately and have the option of two alternative walls.

• Where a pressure test result is available, the default can be overridden.

These improvements will lead to a more precise calculation for understanding a home’s carbon emissions.

Impact and future outlook

The introduction of RdSAP 10 is a pivotal step in the UK’s efforts to modernise its housing stock and reduce energy consumption. As the government tightens regulations and incentives around energy efficiency, accurate energy assessments are becoming increasingly important. They not only influence property

values, but also impact homeowners’ and landlords’ responsibilities to achieve certain energy ratings.

The updated methodology will better reflect the current state of the market and the technological advances in home energy systems.

To ensure members are wellequipped to implement the new standards, Elmhurst continues to deliver training updates and release technical material. The transition to RdSAP 10 is expected to be smooth, with the government and industry bodies working closely to provide the necessary support.

As the UK moves toward a greener future, this update will play a key role in guiding homeowners, policymakers, and the housing market towards more sustainable practices.

Tracking the Transition to SAP 10:

Only 36% of New Homes Delivered Against Latest Building Regulations

During the development and approval phase of SAP 10 applications in Spring 2022, it was confirmed that Energy Performance Certificate (EPC) lodgements could continue under SAP 2012 for dwellings assessed under the previous version of Building Regulations.

Due to this, schemes are able to track how many EPCs are being produced using either SAP 2012 or SAP 10 and, consequently, how many new homes are being delivered against the latest version of the Building Regulations.

The transition to SAP 10

Design SAP 10 was approved for EPC lodgements in England, Scotland and Wales in 2022. Since its release, Elmhurst has been tracking the usage of SAP versions in generating EPCs.

The following graph shows the ratio of EPCs produced via SAP 10 from November 2022 to November 2024. It also highlights that, more than two years after the commencement of EPC lodgements from Design SAP 10, only 36% of new homes are being delivered against the latest version of Building Regulations in England, Scotland and Wales.

Why do new homes continue to be built to older regulations?

Each time there is a revision to the Building Regulations, a set of ‘transitional arrangements’ are introduced to ensure a smooth transition. These provisions allow some building works to be built in accordance with previous standards for a specified period. In England and Wales, these provisions are summarised as follows:

• Homes already under construction prior to the commencement of Part L 2021/2022 can continue under Part L 2013/2014 and SAP 2012.

• Homes subject to a Building Regulations application prior to commencement of Part L 2021/2022 had one year from the implementation of the latest standards to commence construction under Part L 2013/2014 and SAP 2012. If construction was not commenced during this period, the homes must be assessed against the latest regulations.

Any changes to Building Regulations typically lead to additional costs for builders. In the case of Part L, there was an increase in fabric standards, use of renewable technologies and low carbon heating. These updates would likely result in increased build costs compared to earlier versions of the regulations. Additionally, in England and Wales, the introduction of a revised Part F, a new Part O, and a new Part S also contributed to increased build costs.

From a financial perspective, it is advantageous for builders to construct new homes in accordance with the previous Building Regulations. Many builders therefore opt to take advantage of the transitional arrangements by starting construction on homes within the set transition period.

Was this expected?

During the first consultation for the Future Homes Standard in 2019, projections were made regarding how many new homes would be built to the new regulations in the years following its implementation, originally intended for 2020.

The following table shows these projections:

assumptions

Phase in (% dwellings captured by Part L and F 2020)

*Source: MHCLG

As the table highlights, it was expected that two years after the implementation of the latest version of Part L, 75% of new homes would be constructed to these standards. This now seems overly optimistic, underestimating how many builders would take advantage of the transitional arrangements.

Impact on OCDEAs:

As the number of SAP 10 EPCs increases, so does the impact of the increased evidence requirements. SAP 10 introduces a number of new data fields that must be included in documentation in order to verify the ‘as built’ assessment in order to complete an EPC. These data fields include:

• Presence of Gas/Electric smart meters

• Lighting Power (W) and Efficacy (l/W)

• Shower types and flow rates

• Presence of export capable meter, diverter and/or battery storage for Photovoltaic panels

Assessors will potentially have their own sign off documents that need to be updated to include these new data fields. Alternatively, the Dwelling Sign Off report, available in Design SAP 10, covers all new SAP 10 fields and can be signed by the client to confirm these items.

What does this mean for the Future Homes Standard?

In the most recent consultation for the Future Homes Standard, there were no changes proposed to the transitional arrangements that were applied for Part L 2021. In addition, there was a further projection of how many homes would be built to the standard in the years following its implementation. This is shown in the following table:

Phase-in assumptions

New domestic (% of works captured by 2025 requirements)

*Source: Future Homes Standard: Consultation-Stage Impact Assessment

Assuming the Future Homes Standard is introduced in 2025, it is expected that no homes would be built to these standards until 2027. However, based on the analysis of the number of homes currently built to Part L 2021, this prediction may also prove to be optimistic.

Warm Homes Plan: Relaunched funding scheme for England

The government has introduced plans to boost energy efficiency upgrades in homes across England.

The Local Grant and Social Housing Fund Wave 3 form part of the government’s new Warm Homes Plan, which aims to upgrade an estimated 5 million homes over the next five years in an effort to reduce energy bills, tackle emissions and reduce fuel poverty.

Warm Homes Plan

The Labour government’s Warm Homes Plan, introduced in its election manifesto, promises to upgrade 5 million homes over the next 5 years. This is to be achieved through the introduction and renewal of funding schemes and grants and by working with combined authorities and local and devolved governments to boost home improvement measures, such as insulation, solar panels and low carbon heating.

As part of the overarching Warm Homes Plan, the government has announced new and updated funding mechanisms which will introduce new targets and provide the backing needed to improve the energy performance of the country’s worst performing homes.

Local Grant (policy for local authorities) – England only

The Warm Homes: Local Grant is a government-funded scheme that will be delivered by local authorities from 1st April 2025. It will provide grants for energy performance upgrades and low carbon heating to low-income households with a D to G rating on their Energy Performance Certificate (EPC).

A ‘non-binding’ target has been set to upgrade these homes to an EPC rating of C. There is a cost cap

of £15,000 per home for energy performance upgrades and, in the event of the C rating not being achieved, a ‘value for money’ approach to energy efficiency measures selection will be adopted. This could include installing low carbon heating, such as a heat pump. However, the cost cap of £15,000 per home will still be in place.

Owner-occupied and private rented sector households are eligible (as well as some social housing under specific circumstances). However, the property cannot be a new build and must be an ‘existing’ domestic building.

Owner occupiers and tenants are not required to make any contributions to the cost of energy efficiency upgrades as part of this grant.

Private rented sector landlords can also benefit from the scheme and upgrade one of their properties with full funding. However, additional homes will require them to contribute 50% of the overall costs.

The total pot for this funding remains unclear. However, as this will look to supersede previous funding through the Local Authority Delivery scheme (LAD), it is expected to be upwards of £500 million. Local authorities will be asked to express their interest in the funding in the next few months and can work independently or as part of a consortium.

In the recent budget, the Chancellor, Rachel Reeves confirmed: “We are kick-starting the Warm Homes Plan by confirming an initial £3.4bn over the next three years to transform 350,000 homes, including a quarter of a million low income and social homes.”

It looks safe to assume that the funding for this scheme is part of this £3.4bn commitment.

Implications for the Energy Assessment and Retrofit industry

All properties that receive improvements must be validated and assessed in line with PAS 2035:2023, with energy efficiency measures installed in accordance with PAS 2030:2023.

This means that TrustMark approved retrofit professionals, such as Retrofit Assessors, Retrofit Coordinators and Retrofit Installers, would need to be involved and work alongside local authorities to deliver the right improvement measures.

Social Housing Fund Wave 3 (policy guidance for social housing providers) – England only

The Warm Homes: Social Housing Fund (WH:SHF) Wave 3, formerly known as the Social Housing Decarbonisation Fund (SHDF), will provide funding to local authorities and others who own social housing stock to install energy efficiency upgrades and low-carbon heating measures to existing domestic homes in England. The scheme is scheduled to run until 30th September 2028.

Wave 3 aims to upgrade a significant amount of the social housing stock to meet an EPC rating of C where achievable within the allocated cost cap. Unlike previous waves of funding, the cost cap is now fixed at £7,500 per home.

Implications for the Energy Assessment and Retrofit industry

As with The Warm Homes: Local Grant, all projects will need to adhere to PAS 2035:2023, which means that the services of TrustMark approved retrofit professionals will be required.

Final thoughts

The Warm Homes Plan highlights the government’s ongoing commitment to improving homes across England for those who may not have the resources, with significant investments planned for the coming years.

Whether this will be enough, only time will tell. However, it does provide assurance that retrofit professionals, including Retrofit Assessors and Retrofit Coordinators, will remain busy in the years ahead.

Simon Flint, Retrofit Team Leader

Elmhurst urges Government to broaden energy efficiency efforts to include the non-domestic sector

The Minimum Energy Efficiency Standards (MEES) are a crucial component in improving the energy efficiency of buildings across England and Wales. While the government has promised to reinstate MEES for the domestic sector, progress in the nondomestic (commercial) sector appears to have stalled.

It is important for landlords, property owners and non-domestic energy assessors to understand the current regulations in place and be aware of any potential future changes.

What are MEES regulations?

The MEES regulations establish a minimum Energy Performance Certificate (EPC) rating for nondomestic (commercial) properties in England and Wales. The regulations were first introduced under the Energy Act 2011 and have been enforced since 2018.

Under the current regulations, any non-domestic property being leased (including new and existing leases) must meet a minimum EPC rating of E or above.

All non-domestic landlords are required to comply with the regulations, unless an exemption is registered on the Private Rented Sector (PRS) Exemptions Register.

Why are MEES regulations important?

Non-domestic buildings account for a substantial portion of the UK’s energy consumption and carbon emissions. The MEES regulations play a crucial role in addressing this by encouraging energy efficiency upgrades.

These upgrades will not only benefit the environment and the economy but are also likely to increase the value of the property.

Key provisions of the current nondomestic MEES regulations

It is important for landlords and property owners to stay informed about MEES regulations and

take proactive steps to ensure compliance and avoid penalties.

Timelines:

From 1st April 2018, all new leases and lease renewals for non-domestic properties must have an EPC rating of an E or above. This requirement also applies to lease extensions and sub-leases.

From 1st April 2023, the regulations were expanded to cover all existing leases. This means that all nondomestic properties that are currently being rented out must have an EPC rating of E or above. Landlords who have not already upgraded their properties to meet these standards may face penalties if they continue to lease substandard properties.

Exemptions:

There are a number of exemptions in place where landlords may not be required to meet the minimum EPC rating. These include (but are not limited to):

• Property Devaluation: Applies if an independent surveyor determines that making the required improvements would reduce the property’s value by more than 5%.

• All Improvements Made: Applies if all the relevant energy efficiency improvements for the property have been made (or if none can be made) and the property remains sub-standard.

• New Landlord Exemption: Applies where the landlord has recently acquired the property and needs time to comply. This applies under certain circumstances, and you may only be exempt for a short period.

Landlords must register all exemptions on the PRS Exemptions Register. More information on MEES guidelines can be found on the government website.

Future developments

The government has signalled its intent to tighten MEES regulations further in the coming years, as part of the UK’s commitment to reducing carbon emissions to net zero by 2050.

In 2021, the government launched a consultation titled Non-domestic Private Rented Sector minimum energy efficiency standards: EPC B implementation. This consultation proposed to raise the minimum EPC rating for non-domestic properties from an E to a B. The consultation closed for public comment in June 2022, and we are now awaiting a response from government.

Elmhurst’s thoughts

Elmhurst’s Head of Operations, Sam Cantle, comments:

“In recent months, the government has made progress in bringing the Net Zero target back to the forefront of the public agenda. Most notably, the Labour Manifesto introduced the ‘Warm Homes Plan’, pledging to invest an extra £6.6 billion to upgrade an estimated 5 million homes. The Labour government has also committed to reversing the recent loosening of domestic MEES, promising to ensure that domestic properties in the PRS meet MEES by 2030.

However, what remains absent is a similarly strong focus on the non-domestic sector. It’s important to highlight that around three quarters of non-domestic properties currently have an EPC rating below a B, falling short of the minimum rating proposed for 2030 in the non-domestic MEES consultation.

Elmhurst calls upon the government to extend its recent drive on energy efficiency in the domestic sector to also address the non-domestic sector, which continues to play a significant role in the UK’s climate emissions.”

Grenfell Report: A wake-up call for the energy assessment industry

The Grenfell Report, released in September, provided a scathing observation of the wider construction industry. The report highlighted critical failings from government, testing and certification bodies, manufactures, architects, contractors, Local Authority and other stakeholders; failings which resulted in the tragic death of 72 people back in 2017.

The Prime Minister, Keir Starmer, gave a speech in the House of Commons following the release of the inquiry, and promised a profound shift in culture and behaviour:

“There must also be much more radical action to stop something like this from ever happening again…We will ensure these homes are safe, secure, and built to the highest standards.

Places of security, health and wellbeing that serve the needs of residents and their wider communities.

Because a safe and decent home is a human right and a basic expectation”

While the inquiry centred on fire safety and how the event occurred due to negligence in compliance with Building Regulations, approvals, and installations, it is crucial to recognise that the government’s future direction will be shaped by the recommendations of a single construction regulator and a Government Minister.

Elmhurst believes this serves as a stark warning to all with competencies in Energy Assessment, Airtightness Testing, Measurements, Retrofitting etc, emphasising the need to uphold best practices to effectively fulfil their responsibilities in assessing and reporting energy performance in UK buildings.

Energy assessments already under scrutiny

In June, the consumer advocacy group, Which?, conducted a mystery shopper exercise in collaboration with a dozen homeowners across the country. As part of this investigation, they randomly contacted Domestic Energy Assessors (DEAs) to provide Energy Performance Certificate (EPC) assessments. The investigation produced mixed results, with the accuracy of the assessments, and the

resulting EPCs, called into question. Whilst this particular investigation may focus on domestic EPCs, the scrutiny of why a building may not perform the way it should has never been more keenly observed by owners, occupiers, wider media and a vast array of other stakeholders.

Elmhurst’s Managing Director, Stuart Fairlie comments: “The recent Which? investigation highlights a significant shift in the industry, with growing interest in the energy performance of buildings from the general public, media, and other stakeholders. This heightened attention brings increased scrutiny and we will likely see more of this as we move through the next decade.

Therefore, it is crucial for all energy professionals to act in the best interests at all times, safeguarding themselves against potential challenges to their assessments. This can be achieved by collecting comprehensive data, maintaining a robust complaints process, regularly updating competencies, and, most importantly, always adhering to ‘doing the right thing’ – a message which is evident within the Prime Minister’s response to the Grenfell Inquiry.”

The importance of CPD and ongoing competence

The Grenfell report casts a glaring spotlight on the need for professionals across various sectors to stay updated, competent, and accountable. A recent opinion piece in The Guardian argues that CPD is not just a box-ticking exercise but a life-saving necessity.

CPD ensures that professionals are continually improving their skills and knowledge to meet the ever-changing demands of their industries. In the property and energy assessment sectors, keeping up with new regulations, best practices, and safety standards is vital. Yet, despite its importance, CPD often remains undervalued. The tragic lessons from Grenfell serve as a reminder that staying informed and competent can mean the difference between life and death.

The UK Government has taken this lesson to heart, embedding CPD as a key area of focus in its EPC Action Plan for instance. This move underscores the critical role of CPD in the property assessment industry. As part of the national EPC framework, the introduction of mandatory CPD

requirements is a step toward ensuring that assessors are both competent and accountable. It is essential that energy assessors remain at the forefront of industry developments to provide accurate and reliable energy assessments. This focus will clearly shift to all energy assessment professionals whether it be air tightness testing, performing measured energy performance, retrofitting buildings or any other form of assessment or measurements.

It’s no longer about ticking boxes and giving numbers

The role of energy assessment professionals now goes beyond just simple data collection, measurement and ticking boxes. As custodians of public trust, their assessments and results can influence property values, energy upgrades, and even whether a property can be legally let. Therefore, maintaining quality and competency isn’t just a professional requirement; it’s an ethical one.

The Grenfell report is a sobering reminder of the catastrophic consequences that can arise when professionals fall behind on their duties. To avoid future tragedies, all within the industry must commit to

continuous learning, improvement, and the delivery of high-quality work.

Stuart Fairlie continues “When the time comes to show that a competent person undertook a test or assessment correctly, having all the records and evidence that defends the decisions taken on that day has never been more important. Elmhurst proudly stands behind our members who do the right thing, sometimes telling clients what they may not want to hear, for example that buildings may need upgrades in order to rent out legally.

It is important that competent individuals remember that when a certificate or result is issued, it will be their name on it, which means that they are the ones ultimately responsible should anyone ask questions.

The recommendations from the report are guidance to the Government, and I am sure that they will act on all of them. All people who work and live in our UK buildings deserve the correct information used in any assessments or tests.”

Clarification on Standards for Airtightness and Background Ventilation Testing for Retrofit

In a pivotal announcement made last month, the Elmhurst Airtightness Scheme has clarified essential steps in the retrofit process concerning airtightness and background ventilation testing.

This guidance comes in response to recent discussions with Trustmark and aims to ensure that buildings adhere to stringent requirements for energy conservation and indoor air quality, two critical factors in the retrofit sector.

A critical aspect of the notice is the requirement that only lodged tests will be accepted as part of a retrofit project. By mandating that all tests be formally recorded and certified, it ensures that only trained and competent people are completing and providing data that forms part of important decision making. This offers stakeholders accountability, quality assurance and confidence in the testing process and resulting data.

Requirements of Airtightness Testing for Retrofit

Under the guidelines, all airtightness tests must be conducted by certified Level 1 or Level 2 testers who are registered with a Competent Person’s Scheme, such as The Elmhurst Airtightness Scheme- the fastest growing scheme for airtightness testers. This requirement ensures that only qualified professionals carry out

airtightness tests, providing accurate measurements of a building’s air permeability at the time of testing.

These tests serve as a crucial tool for identifying leaks in the building fabric that can lead to energy loss, ultimately impacting building efficiency. Additionally, they help pinpoint buildings that may be excessively airtight, which can result in condensation issues and the accumulation of indoor pollutants.

The testing process must utilise appropriately calibrated equipment, adhering to the standards set forth in CIBSE TM23. The document outlines the necessary building preparation and testing procedures, ensuring consistency and accuracy in the testing process. Once the tests are completed, results must be lodged with the registered Competent Person’s Scheme, to produce a final certificate stating the air permeability of the building in cubic meters per hour per square meter (m³/h. m²). Only lodged air tests will be accepted as part of a retrofit project.

Requirements of Background Ventilation Testing

It has been clarified that background ventilation tests must be conducted by trained professionals who are registered with both a Competent Person’s Scheme, such as the Elmhurst Airtightness Scheme, as well as The Installation Assurance Authority’s (IAA) scheme for

background ventilation testers. These professionals are required to adhere to the IAA’s Background Ventilation Assessment of Existing Buildings best practice guidance.

Background ventilation testing is essential for assessing the adequacy of ventilation within a building. This testing is particularly important in the context of energy efficiency upgrades, which can inadvertently reduce natural ventilation and impact indoor air quality. To ensure that buildings maintain a healthy environment, it is crucial that both pre and postenergy background ventilation tests are conducted and certified. This requirement has been emphasised in the recently posted notice.

The final certificate from these tests will indicate the air changes per hour (ACH), providing a clear measure of how effectively a building can exchange stale indoor air for fresh outdoor air at the time of testing. Only certificated tests will be accepted as part of a retrofit project. By following these guidelines, stakeholders can ensure that retrofit projects not only enhance energy efficiency but also prioritise the health and comfort of occupants.

The Key Points:

• Only certified tests will be accepted for retrofit projects.

• All airtightness tests must be conducted by Level 1 or Level 2 airtightness testers who are registered with a Competent Person’s Scheme, such as Elmhurst.

• Background ventilation testers must be registered with both a Competent Person’s Scheme, such as Elmhurst, and the IAA’s background ventilation scheme.

• Both pre and post energy efficiency measure tests must be lodged to the registered Competent Person’s Scheme.

Final Thoughts:

As the retrofit industry continues to grow, adherence to these thorough requirements for airtightness and background ventilation testing is crucial for instilling confidence in the integrity of completed assessments. By ensuring that all tests are conducted by qualified professionals and that they follow established guidelines, stakeholders can trust that the results accurately reflect a building’s performance at the time of testing. This is a positive step towards achieving greater energy efficiency and improved indoor air quality.

If you would like to understand more about the difference between airtightness testing and background ventilation testing, please read our recent news article: Air Permeability vs Background Ventilation – What’s the difference?

Airtightness and Background Ventilation Training and Scheme

If you are interested in completing Airtightness or Background Ventilation Training, please scan the QR code.

Alternatively, to find out more about Elmhurst’s Airtightness and Background Ventilation Testers Scheme, please scan the QR code.

Market Data

At Elmhurst, we collect and analyse data from sources to help us make better business decisions.

Turning this data into a digestible form takes time and requires a detailed understanding of context. In each edition of Energy Matters, we provide you with a snapshot of this data, with a brief commentary, which we hope you find of interest and can help you prepare for the future.

Covid-19 had a major impact on the construction, housing, and energy assessment markets, which is reflected in each of the charts. Some of the data related to new build homes within the devolved authorities has not been updated since December 2020 and estimates have been used.

Existing Dwellings

Existing Dwellings Volume of EPC lodgements and residential house sales on a rolling 12-month basis (by quarter).

Commentary

Over the past five years, annual house sales have consistently hovered around 1.19 million.

The market experienced a significant downturn in March 2020, due to the Covid-19 pandemic, but rebounded by July and has seen dramatic growth since. Sales peaked in the 12 months leading up to September 2021, reaching 1.55 million - a 17% increase over the previous high in March 2016 and 30% above the average. Since September 2021, house sales have been on a downward trend, however recent data shows signs of growth.

The volume of EPCs peaked in the 12 months leading up to May 2014, driven in large part by the ECO scheme. This fell back sharply to a low of 1.2 million in March 2018. Following two years of recovery, this peaked again in February 2020 with year-on-year growth of 11%, largely due to Minimum Energy Efficiency Standards (MEES) in the Private Rental Sector (PRS). Since March 2020 (1.63 million) the volume has dropped significantly but is now back on a level above pre-covid times, of 1.65 million.

There are many other reasons for an EPC to be completed, such as those for social housing as well as ECO4. The Local Authority Delivery Scheme and work funded by the decarbonisation fund are likely to boost demand. Government initiatives, such as MEES, should also continue to drive up the demand for EPCs. Although house sales have recently declined, the demand for EPCs has remained steady, suggesting that factors beyond property transactions are sustaining the need for these assessments.

New Build / On Construction

New Build / On Construction Volume of residential house starts and completions on a rolling 12-month basis (by quarter).

*Data for Scotland and Wales is estimated since December 2020.

Volume of On Construction (new build residential) EPCs in the UK issued on a rolling 12-month basis.

Commentary

Following Covid-19, housing starts initially recovered rapidly, peaking at 217,000 in June 2021. However, they subsequently fell by 6% to 203,000 in March 2022. Since June 2023, there has been a consistent downward trend in housing starts, which currently stand at just over 110,000. Meanwhile, the volume of EPCs over the past 12 months has reached 257,000, up 4.5% from a low of 246,000. Although volumes peaked at 302,000 in February 2020, they are currently 15% below this peak.

Non-Domestic

Non-Domestic/Commercial buildings property sales and commercial property EPCs in the UK on a rolling 12-month basis.

Commentary

Commercial sales have shown a strong recovery since Covid-19, now standing 22% above the January 2021 lows and only 8% below the peak of October 2017. While EPCs are issued for various reasons beyond property sales, their issuance has surged, now 57% higher than the low in March 2021. The market has rebounded impressively, as indicated by the blue line’s robust upward trend in non-domestic EPCs, despite a recent decline since October 2023. More recently, sales of non-domestic properties have remained stable at approximately 1.17 million.

Training Update

Elmhurst offers a range of training options to provide you with an engaging and impactful learning experience, tailored to meet your needs. Here is a breakdown of what’s on offer:

Classroom Training

Regular sessions held in the East Midlands, with nationwide availability.

Interact with expert tutors in person.

Hands-on, practical learning approach.

Personalised guidance and networking opportunities.

Remote Training

Flexible online learning from anywhere with an internet connection.

Live sessions with interactive features.

Engage directly with instructors and peers via Zoom and Microsoft Teams.

On Demand Training

Access full qualification and CPD webinars anytime, anywhere.

Study at your own pace, to fit your schedule.

Enjoy the convenience of learning on the go.

Share Your Thoughts

Elmhurst is committed to providing training courses that meet your needs. Share your suggestions for CPD training courses or subjects you would like to learn more about via the QR code.

Why Use Elmhurst?

At Elmhurst, we are more than just a training provider. We ensure that you receive expert support and guidance throughout your entire journey, from the moment you enrol to well beyond the completion of your course.

But don’t just take our word for itlisten to what some of our recent course attendees had to say:

“Found the course a pleasure to watch, which gave a good explanation of the new data that is required to collect.”

Ian Moughton, RdSAP10 Update (On Demand)

“Easy to use software and good quality training. I liked the rationale given throughout as to why you might need to know or reference a certain aspect.”

Helen Whalley, Retrofit Assessor (On Demand)

“The course material is good and easy to understand” Mohsin Ali, Combined Airtightness and BVT

“Self-paced learning was great for me as I could take small breaks on the longer videos.”

Stephen Coyle, Combined Airtightness and BVT

What’s Trending?

In the ever-changing word of energy efficiency, retrofitting, and sustainability, it is important to stay up to date with all the latest news and trends. Take a look at our current trending courses.

1. Level 1 Airtightness & Background Ventilation Training

(On Demand/Classroom)

A brand-new, unique and costeffective training course that combines Level 1 Airtightness Testing with competency in Background Ventilation Testing (BVT), specifically tailored for the domestic retrofit sector.

This innovative course, which requires no prior experience, equips participants with two valuable competencies in a single training experience. Covering Airtightness and BVT, attendees gain the ability

2. Retrofit Coordinating in Practice (On Demand)

We have introduced a new Retrofit Coordinating in Practice course, designed to bridge the gap between qualification and practical application for Retrofit Coordinators. Responding to feedback from professionals in the field, this course equips both new and experienced coordinators with the hands-on skills needed to navigate the practical,

3. DEA Auditing: Moving Forward and Common Issues (On Demand)

Originally offered live, this successful course is now available on-demand, allowing you to complete it at your own pace, ideal for fitting it into a busy schedule. This course is designed to help DEAs avoid common pitfalls and errors seen in audits. Drawing from our extensive experience as the largest scheme, our technical support team has compiled key feedback and common issues

to assess background ventilation adequacy, potentially reducing the need for intrusive measures, such as door undercuts and trickle vents. Approved by TrustMark under PAS 2035, this competency opens up new income opportunities in retrofit projects.

Unlike other courses, Elmhurst’s course involves only one day of in-person training, supported by pre-course on-demand content. This approach minimises costs associated with travel and accommodation and keeps professionals in the field longer - making this course a nobrainer!

compliance-driven aspects of their role. Through a blend of real-world scenarios and compliance guidance, Retrofit Coordinators will learn to apply their knowledge directly to retrofit projects, ensuring high standards in project execution. Elmhurst’s commitment to continual improvement supports coordinators in meeting industry demands and achieving successful, sustainable retrofits.

into a focused, accessible format. Completing this course prepares you to avoid the risk of audit failures, saving you time and potential stress in the future.

As the year draws to a close, we would like to remind all members to complete their annual CPD requirement. Remember, 50% of your CPD needs to be certified! For Domestic Energy Assessors (DEAs), this popular course provides a convenient way to gain 2.5 Certified CPD hours in a single session. Scan for more information or to book now

energy TALKS

The Energy Talks Podcast LIKE YOU’VE NEVER SEEN IT BEFORE!

The popular industry podcast is now available to watch! Tune in for the latest news, engaging discussions, and a range of special guests from across the industry.

Season 2: Episode 1: EPC Reform: Shaping the Future Energy Landscape

In our first episode of this brand-new series, host Andrew Parkin is joined by Sam Cantle, Head of Operations, and special guest Keeran Jugdoyal from the Ministry of Housing, Communities and Local Government (MHCLG).

Watch Now

COMING SOON:

Watch now to hear about the EPC Reform consultation, including what EPC reform means for the industry, potential changes, predictions for the future and more.

Season 2: Episode 2: Retrofit Roundup: BS 40104 and More

Andrew Parkin is joined by Simon Flint, Retrofit Team Leader, and special guest Joanne Williams from Historic England.

Tune in to hear about the recent Retrofit Assessor Standard consultation, including what it means for the industry, why it’s important for homes, the expected implementation timeline and more.

Available on all major platforms:

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