Art 1
29 August 2014

What is the big ticket item that the general public
want their money to be spent on?

 Pictured is tremco illbruck's National Sales Manager, Alistair Inglis

By Alistair Inglis, National Sales Manager of tremco illbruck

HS2, new airports or new roads? What do you think the big ticket item that the general public want their money to be spent on is? According to a poll carried out by The Energy Bill Revolution, 57% of people questioned had making homes more energy efficient at the top of their list.

So, are our politicians listening to the general public? In late 2013, the "hot topic" was our energy bills and how the ever-growing increases in gas and electric prices were unacceptable. The Government stepped in and, after locking themselves in a room with the major energy suppliers, they came back with a plan to shift some environmental levies away from consumer energy prices so our bills would fall by around £50 per year. What happens when the wholesale price of gas and electricity rise again? What will be the Government's answer then?

Let's not forget where these levies go. They go into projects that are aimed at making existing buildings more energy efficient. Any reduction in a household bill is welcomed and funding through this tax was working. Large scale insulation was taking place, including EWI (external wall installation), which is a great and effective way to insulate single skinned properties. Hopefully, new funding streams for these types of projects will be found through a different mechanism in the future and top up the minimum requirements that still remain from the Chancellor's 2013 Autumn statement. The Energy Bill Revolution also suggested that 600,000 UK homes could be insulated by the funding of a recycling tax. This tax could generate £4bn over 15 years for the government.

Energy prices are only going in one direction. We now have a clear indication of future energy costs, with the recent confirmation of the megawatt hour price being paid when the Hinkley Point C Nuclear Power Plant goes on line in 2023.

At £92.50, it is almost twice the current wholesale cost of electricity. If gas prices go in the same direction, we will see the average dual fuel annual bill go from around £1,300 to £2,600!

To "insulate" the UK from these energy prices, we must look at improving our housing stock on all fronts. In the new build housing market, it makes sense to have a fabric first approach to the construction of new building. We have the technology and the skills to build energy-efficient homes and surely these homes will be worth more in the future when energy prices spiral? Part L of the Building Regulations revision will come into force in April 2014. This is another step towards the Government's 2016 Zero Carbon homes commitment. Are these dates relevant? Not if you allow a new build housing site to work to previous building regulations because they were granted years ago. Surely a new system of approval could ensure the housing stock being delivered is right up-to-date with the regulations?

Many existing properties need to be improved and brought up to an acceptable minimum standard. As discussed above, for some, this will need to come from a funding mechanism to superinsulate single-skinned properties. For others, they will need a simple energy efficient funding scheme to invest in their own properties. Can the Government's Green Deal be made to work?

Necessity is the "mother of invention" and, as energy prices increase, it will be this necessity that paves our way to our energy-efficient housing stock in the future.

For further information on tremco illbruck, please visitwww.tremco-illbruck.co.uk

-ends-

With compliments:
Alison Relf
Taylor Alden Ltd
Unit 2, Temple Place
247 The Broadway
London
SW19 1SD
Tel: 020 8543 3866
Email: alison@tayloralden.co.uk

Editors' note

tremco illbruck encompasses four brands in the UK after a worldwide brand reorganisation - more details can be found atwww.tremco-illbruck.co.uk. The brands are TREMCO, illbruck and Nullifire for the construction business and PACTAN for the manufacturing business.