November saw the unveiling of the Government’s latest energy saving initiative; a £1bn ECO+ grant to encourage more homeowners to insulate their property.
The increasing furore surrounding spray foam insulation however will do nothing to instil confidence in those looking to carry out energy-saving measures.
For surveyors, the concerns around spray foam installation have been growing for some time and we are now seeing the issue spotlighted in the mainstream media, with warnings that if installed incorrectly, it can make a property unmortgagable.
Spray foam insulation was one of the approved methods of loft insulation under the Government’s Green Homes Grant, which ran for just six months between 2020 and 2021. It is believed around 250,000 properties have had spray foam insulation installed and we are seeing problem cases on a weekly basis.
The issue with this type of insulation is that if installed incorrectly, it risks structurally damaging the property’s roof – potentially resulting in costly repairs. As hot air rises through a property, if it cannot escape through the roof due to the spray foam, condensation can become trapped against the roof’s timbers, causing them to rot.
Similarly, if the spray foam insulation covers any existing defects in the roof then water from outside can also become trapped and lead to the same issue.
Given the spray foam industry is unregulated, homeowners are vulnerable to incorrect installation and unfortunately, we have seen this across the board, but particularly in the homes of pensioners who can be more vulnerable to hard sales tactics in this area.
So high is the risk to a roof’s structure that most lenders will not lend where spray foam has been installed. Even when the homeowner can produce documentary evidence that the insulation was installed correctly, most are erring on the side of caution and not lending at all.
In the absence of finding a lender willing to lend on the property, homeowners have no option other than to pay thousands of pounds to have the foam removed.
While the issue is gaining traction, many homeowners will still be unaware of the potential damage having the foam installed incorrectly could do to their property. As homeowners look to cut their energy costs in a cost of living crisis, there is a worry more may be misled.
Unsurprisingly, there have been calls for the Government to not include spray foam on its approved list of measures in its up-and-coming ECO+ scheme. While installers argue there is nothing wrong with the foam if fitted correctly, given the risk of incorrect installation and the stance most mortgage lenders have taken, at the very least a word of warning from the Government would seem appropriate.
As the Government ramps up its efforts to encourage homeowners to make their properties more energy efficient, there needs to be clear guidance to ensure mistakes are not made.
The mis-selling of solar panels will still be fresh in many homeowner’s minds and I’m sure spray foam insulation is already on the radar of claims management firms.
As energy costs rise, next year marks a real opportunity for the Government to accelerate its energy-saving initiatives. It is imperative homeowners are not given mixed messages about how best to do so or left to research the market themselves.
I have spoken before about some of the anomalies surrounding how the current Energy Performance Certificate (EPC) is calculated and how installing environmentally-friendly features such as a heat pump may not necessarily improve a property’s EPC rating.
Our surveyors are currently in the process of completing their training to become Domestic Energy Assessors and by doing so they will be able to help homeowners make informed decisions as to how best they can improve the energy efficiency of their property.
While an EPC can recommend ways to make a property more efficient, the Government also needs to think about additional guidance or protective measures for homeowners when it comes to who carries out the upgrades.
The market for energy-efficient products is set to grow as demand increases and this will also leave the door open to opportunists. Let’s hope as the Government gears up to launch its ECO+ scheme next Spring, it takes steps to ensure the energy-efficient measures it suggests do not cause more harm than good.
Simon Jackson is chief executive officer of MSS
