Government plans to launch a consultation on mandatory energy efficiency upgrades are welcome provided they are coupled with a targeted VAT reduction on the price of installation.

This is the reaction from the Federation of Master Builders (FMB) to the publication of the Government’s response to the Innovation and Growth Team’s Low Carbon Construction report.

Brian Berry, FMB Director of External Affairs, said: "Making the principle of mandatory energy efficiency improvements, otherwise known as consequential works, apply through the Building Regulations has been considered in the past. Clearly, it is important homeowners are not discouraged from getting essential repair work done, or from improving their property in order to add to its value. The FMB believes that with the right incentives, including the Green Deal finance package and a reduced rate of VAT on the improvement work, households would welcome the opportunity to make their home more energy efficient and save money on their fuel bills."


Mr Berry continued: "Where local authorities have adopted a policy for consequential works through the planning system, their experience seems to suggest that the state of the housing market and the economy generally are stronger factors influencing people’s decision to ‘move or improve’ than the consequential works policy itself. Therefore, it is possible that with the right combination of regulation and incentives, consequential works can help to achieve significant carbon savings from our existing buildings."

(CD)