Bankers for Net Zero (B4NZ), an initiative that brings together banks, businesses and regulators to support the financial sectors transition to net zero in the UK, has called upon the government to do more to implement policies to support the financing and roll out of energy efficient retrofits in UK homes.
In a report published by B4NZ, the industry-led group said the government’s recently launched ECO+ is a step in the right direction, but found that a more comprehensive package on retrofits could be developed for a greater number of households, with government working closely with banks, local authorities, and tradespeople.
The Retrofit Conundrum report claimed the delivery of a new policy framework could see energy bills fall by £555 a year for some households and an additional 350,000 ‘green’ jobs could be created in the construction sector.
Heather Buchanan, co-founder and director of B4NZ, said: “[The] UK’s building stock must be urgently addressed if the UK is to meet its net zero climate targets in the coming decades. The banking sector and government must ensure there is strategic policy alignment to deliver our shared climate objectives. This report sets out how policy can unblock the recent stasis in emissions reductions in the UK building stock, so that the full potential of banks to support decarbonisation can be realised.”
Ian Stuart, chief executive of HSBC UK, said: “Banks can play a critical role in the supply of finance and educating our customers on the benefits of energy efficient homes, however public-private collaboration is needed if we are to successfully address the scale of the challenge.
“A holistic approach, tied to key moments like home improvements and moving house is key. Beyond financial incentives, there is a need for skilled expertise as well as consumer education and advice about the right choices, guarantees of good works, and improvements to EPC ratings. In addition to helping the UK meet its climate targets, lower bills, better health and green jobs are all co-benefits of improving the energy efficiency of the UK’s housing stock.”
Bim Afolami MP, B4NZ champion, added: “I am very pleased to welcome Bankers for Net Zero’s retrofit conundrum report. The importance of addressing UK’s building stock emissions as part of the transition to net zero cannot be understated. This past year we have seen significant energy prices rises, as a result of Putin’s war in Ukraine, which has meant action on installing energy efficient retrofitting of UK homes is more urgent than ever, to help reach our net zero targets and keep energy bills down. Government, banks, housebuilders and local authorities must all work closely together to unlock private finance and empower households to deliver the necessary energy efficiency measures across the UK.”
