David Miller, Director of the new procurement framework, Frameworx, looks at why the required retrofit upgrades to the UK’s housing stock represents the biggest building challenge our sector has ever seen.
With the recent release of the UN’s ‘survival guide’ to avert climate disaster, which says we are likely to breach the critical 1.5°C in the 2030s, the Government’s new Powering Up Britain Energy Security Plan is welcome. Boosting the UK’s energy security and independence, reducing household energy bills and ultimately getting to Net Zero is a step forward. Now, collectively, we need to shift towards cleaner and more affordable energy sources, and as a sector, ensure we’re improving our homes for the best chance of being Net Zero too.
Retrofit is key
It’s no secret that some of the oldest and most energy-inefficient homes in Europe are to be found here in the UK, with an estimated 28 million properties requiring retrofit if we are to hit the legally binding pledge of Net Zero by 2050. Our homes use 35% of all the energy on the grid and emit 20% of the carbon dioxide emissions that contribute to climate change. More than 80% of existing homes will still be standing and occupied in 2050; building 250,000 new homes per year only adds 1% per year to the stock and reduces domestic emissions by 0.3%, so simply building new zero carbon homes will not get us close to the target.
To date, government has drawn on decades of independent research and provisions, but the resulting energy efficiency schemes and initiatives have not delivered as standalone measures. Until now.
Social Housing Decarbonisation Fund Wave 2.1
Enter Wave 2.1 of the Social Housing Decarbonisation Fund (SHDF). A total of £778m has been awarded through the second wave of SHDF, the Department for Energy Security and Net Zero (DESNZ) has announced. Whilst we all welcome the necessary funding to help cut emissions of homes across England, it will involve challenges. Government’s £3.8bn SHDF over 10 years is allowing social housing landlords to invest to improve the energy efficiency of their housing stock.
Retrofitting is one of the most critical climate problems to solve, contributing 20% of the UK’s carbon emissions. It’s also one of the biggest engineering challenges that the UK has ever faced and will only be successful if as a sector, the supply chain works collaboratively.
If you’re a social housing landlord who has successfully secured SHDF funding, (if you’re not already) you will need to work with providers who can efficiently and effectively work with you to deliver your decarbonisation and retrofit programmes. Frameworx offers options of approved providers that can help you deliver under the Energy Consultancy framework and Planned Maintenance Framework for Net Zero Carbon Works.
Tight timescales are involved. The grant must be drawn down and expended by 31st March 2025, with works completed by 30th September 2025. In order to meet deadlines, landlords need to be working with their providers now to survey overall stock energy performance and recommend properties to put forward for the retrofit works on a fabric first principle. The sooner the process begins the better the outcome, especially against the backdrop of a tight labour market.
Why does retrofit matter?
To achieve the decarbonisation goals, we have to take a whole house, multi-measure, fabric first approach and at every opportunity, embrace a retrofit strategy, which maximises the benefits of low carbon solutions, avoids unforeseen circumstances and unintended consequences, and reduces energy demand. There is an appetite for getting the job done. Collaboration is the way forward, with multi-skilled teams, shared tasks, shared risks and shared problem solving, partnering with retrofit specialists. This has to be a ‘pull together’ scenario to take on the battle to mitigate climate change.
Partner for success
The good news is that Frameworx providers are ready and waiting to help housing providers deliver Net Zero. Representing some of the best providers for energy efficiency improvements, with the appropriate certifications to deliver eligible measures, e.g., Trustmark or equivalent accredited, with relevant MCS standard certification to achieve the required PAS 2035:2019 specification, you are not alone. Our Framework members will guide you through the jargon and most importantly make sure you’re doing retrofit in the right way, e.g., there’s no point fitting a shiny new PV system on a damaged roof or onto a poorly insulated, damp and draughty home.
The earlier the SHDF procurement process starts the better the outcomes for successful contract delivery, value for money, smooth, fully-resourced programme delivery — and ultimately, the planet. The task is truly enormous, but together through collaboration, we can work towards achieving it.
Frameworx is a new not-for-profit procurement organisation, offering an innovative solution for social housing providers, contractors and suppliers who have a shared commitment to investing in social value and the communities in which they work. Set up in 2022 in association with the National Housing Maintenance Forum means it is backed by the credibility and expertise of an organisation that represents more than 80% of the UK’s register providers of social housing.
Key benefits of Frameworx: Aligned with M3NHF Schedule of Rates; all surpluses invested back into social value, sustainability, innovation, research and training; supplier benchmarking, monitoring and sharing best practice; not-for-profit; highly competitive maximum fee 1.5%; direct award and mini-competition available as call off methods.