UK faces ‘energy retrofit crisis’ in non-domestic building stock
A new report has sent a strong-message to Westminster, warning that commercial properties are likely to hold Britain back from its net zero goals.
According to The Role of Retrofitting our Non-Domestic Buildings win the Race to Net Zero, lack of suitable policy is placing climate targets in jeopardy. As things stand, the majority of UK buildings are not being allowed to contribute towards the aim of reaching national net zero by 2050 through steps to make them more energy efficient.
Property and construction consultancy Ridge and Partners LLP conducted research to ascertain the extent of action in this area, taking in feedback from 101 property and facilities heads. It found that less than one-in-four organisations was trying to make premises more sustainable. Worryingly, just one-in-10 had assigned a budget to retrofit their buildings.
More than half of those submitting information (52%) believe VAT on refurbishments should be removed to make necessary improvements easier and more affordable. 49% said that the current level of business rates discouraging retrofitting work, and 55% reported that their boards do not see retrofitting as part of much-needed net zero strategies.
Meanwhile, the vast majority (86%) seriously underestimate the importance of retrofitting schemes, falsely believing that 39% of existing housing stock will be in use by 2050. In reality, it’s expected that figure is closer to 70%.
‘Too many organisations appear to assume that come 2050 our existing the case. The bulk of buildings we see around us will still be in use,’ said Matt Richards, Partner at Ridge.
‘As a result, vast swathes of UK organisations are sleepwalking towards a building crisis. At this rate, when we reach 2050, we’ll have failed to reach the government’s net zero target due to the majority of businesses occupying old, inefficient buildings that haven’t been retrofitted. If this problem is to be avoided, a retrofit revolution needs to take place,’ he continued.
The report has identified four areas beyond Government measures which must change to improve the situation. These are:
· Facilities and property heads also need to be more involved by their boards in decisions. 19% are not even privy to the strategic plans of their organisations, let alone their environmental ambitions.
· Budget management – 54% of organisations set building budgets based on costing from the previous year, making a major environmentally driven retrofit programme impossible.
· Debunk retrofit myths need exploding – 45% of those in charge of buildings believe if the grid is carbon neutral, they don’t need to worry about getting their buildings to net zero. 24% feel retrofitting won’t make a big enough difference to their building’s carbon footprint, and 52% overlook the energy involved in making new buildings within their calculations.
· Greater expert support – 31% fear retrofitting’s disruption, 29% lack resources for such projects, 25% don’t know how to make a business or environmental case for it.
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