Government Urged to Exclude Spray Foam Insulation from New Eco+ Scheme
The Government is being urged to exclude spray foam insulation from its new Eco+ scheme, which aims to improve the energy efficiency of the UK’s existing housing stock.
A consultation on how the scheme will operate is currently open, but campaigners warn that this type of insulation should be excluded as it can make homes harder to sell.
The Home Owners Alliance issued a statement yesterday expressing concern about the potential inclusion of spray foam insulation in the scheme.
They claim that homeowners with this insulation in their properties face difficulties selling or obtaining equity release unless they spend thousands on its removal. This is because lenders are unwilling to provide loans for such properties.
Paula Higgins, Chief Executive of the Home Owners Alliance, stated, “For years, spray foam roof insulation has been on a government list of approved measures. Homeowners have been able to access Government grants to reduce the cost of installing it in their homes. We are shocked and dismayed that homeowners doing the right thing are now being financially penalised: they either pay over the odds to remove the spray foam or remain stuck with homes they will find difficult to re-mortgage or sell.”
Higgins emphasized that before spray foam insulation is included in the ECO+ scheme, the Government needs to resolve the issue. She added, “Homeowners can’t be expected to pay for government-backed energy-efficient measures only to have to pay twice over again to get it removed when they come to sell or re-mortgage. If lenders and surveyors can’t agree on a sensible view regarding spray foam insulation, then homeowners need to be warned upfront, and the government should require insulation companies to include a warning of the consequences of installation in their marketing materials.”
Business Secretary Grant Shapps Launches New ECO+ Scheme
Business Secretary Grant Shapps introduced the new ECO+ scheme as part of an energy-saving public awareness campaign.
The Government has allocated £1 billion for ECO+, which will launch in April 2023 and run for the next three years. The scheme will extend support for measures such as loft insulation and smart heating controls to those who currently do not benefit from any other Government support for home upgrades.
Of the £1 billion in funding available through ECO+, approximately 80% will be allocated to households in some of the least energy-efficient homes in the country—those with an EPC rating of D or below—and in the lower Council Tax bands.
The Royal Institution of Chartered Surveyors (RICS) has expressed support for the new funding. A spokesperson told Estate Agent Today: “With the exception of materials that cause life safety concerns, RICS does not endorse or condemn any materials potentially included in grant schemes.”
The Residential Property Surveyors’ Association (RPSA) created controversy last year among valuers, spray foam installers, and surveyors when it issued guidance recommending the removal of spray foam insulation from every property they visit. In a statement with the Property Care Association in December 2021, the RPSA said, “There may be as many as 250,000 homes with spray foam insulation in the loft, and the guidance being offered to their members is to adopt a highly cautious approach, recommending removal of the spray foam in almost every case.”
This guidance has since been retracted pending a full review, following collaboration among industry stakeholders, supported by the Insulation Manufacturers Association (IMA), to standardize installation procedures and develop inspection protocols.
Simon Baker, president of spray foam installer Huntsman Building Solutions, argued last night that spray foam insulation must be included in the ECO+ scheme. He stated, “As one of the most energy-efficient and innovative insulation products available today, spray foam insulation must be included in the Government’s new ECO+ scheme, helping to make necessary home improvements more affordable. When installed correctly, spray foam provides a highly effective layer of thermal insulation, helping homes retain more heat, reduce boiler usage, and slash heating bills. As the Government targets a reduction in energy demand of 15% by 2030, spray foam insulation will be essential in bringing the UK’s housing stock in line with modern requirements.”
Baker emphasized that engaging a reputable and trained installer ensures quality installation. He also highlighted the need for lenders and their surveyors to better understand spray foam insulation and adjust their approach accordingly. “As spray foam insulation becomes a common fixture in homes across the UK, lenders must be prepared to confidently assess each installation on its own merits. To support this, HBS has developed a training program for surveyors, equipping them with the tools and insights to confidently approve correct and safe spray foam installations; the first training session is being launched in December 2022.”
Baker added, “By collaborating with the IMA, alongside industry bodies such as the PCA, RICS, and the RPSA, Huntsman Building Solutions will be an important member of the team in developing a code of practice to be adopted by the industry. This would include requirements such as pre-installation assessments, the need for installations to be carried out exclusively by trained professionals, and jobsite inspections. Every step of installation should also be fully documented to provide lenders, surveyors, and homeowners the assurances they need to confidently adopt spray foam insulation.”
To give homeowners greater confidence in adopting spray foam insulation, Baker noted that Huntsman Building Solutions already adheres to these requirements through its authorized installers. All installations are fully documented and come with a 25-year warranty, providing complete transparency and traceability.
