Last edited 29 Jul 2025

Retrofit System Reform Advisory Panel

Gov Poor insulation open gove licence edited 1000.jpg

Contents

[edit] Announcement of new retrofit panel

The Retrofit System Reform Advisory Panel was been established by the Department for Energy Security & Net Zero (DESNZ), formally publishing its terms of reference on 17 July 2025 to support long-term reforms in the UK’s home retrofit framework. In particular the panel will investigate enhancing consumer protection and installation quality, following discovery of substandard solid wall insulation under the Energy Company Obligation 4 and Great British Insulation Scheme exposed by Trustmark through routine checks.

[edit] Background issues

According to official statistics at the end of November 2024, external wall insulation and internal wall insulation measures had been made to around 65,000 households under the Energy Company Obligation 4 (ECO4) scheme and Great British Insulation Scheme (GBIS).

Routine checks carried out by TrustMark, the independent body which oversees tradespeople working in residential properties, uncovered examples of substandard solid wall insulation fitted since 2022 under the Energy Company Obligation 4 and Great British Insulation Scheme. The substandard work was found in work of 39 contractors (Energy Savings Trust), with a total of 12 who were signed up to the TrustMark scheme, which then published a notice regarding businesses and solid wall trades having all trade codes suspended.

On 23 January the Government published its action taken to protect households with poor-quality insulation, which confirmed thirty-nine businesses being "suspended from installing new insulation in people’s homes, after ministers were alerted to reports of poor-quality work". Ofgem began writing to all the households affected, explaining that qualified professionals have started a system of checking installations under the schemes and that In some cases, on-site visits would follow to determine required repairs, and that TrustMark or another certification body,would arrange to fix the problem.

Examples of substandard installation ranged from missing or incomplete paperwork, insufficient ventilation, or missing or exposed insulation, which if left unchecked could lead to damp and mould. The government confirmed that whilst a serious issue, it was not considered a widespread threat to safety and that installers will pay for repairs at no cost to households but remain banned from installing new solid wall insulation on any government scheme if their obligations are not fulfilled.

Minister for Energy Consumers Miatta Fahnbulleh said at the time: "I know this news will be concerning for people who have had external or internal wall insulation fitted through either scheme we have inherited. That is why we are taking action to put this right, forcing installers to fix any poor-quality installations as soon as possible and at their own expense. Affected households should look out for a letter from Ofgem, which will set out steps to resolve any issues. It is clear the existing system of protections for consumers we inherited is in dire need of reform. This will be front and centre of our Warm Homes Plan, as we work to make sure no households are let down in this way again."

[edit] Purpose, objectives and scope

The panel’s core purpose is to provide expert advice to ministers on reform options addressing consumer protection and system fragmentation in retrofit delivery. Its main objectives include:

Focused on long-term system reform, the advisory group will not handle immediate remediation or case by case fixes. It will consider how regulations, accreditation, auditing, and skills regimes operate across the four nations, given that retrofit policy is partly devolved but oversight bodies have UK wide reach. Key in scope areas include:

Out of scope are near term responses such as remediating properties affected by poor work, suspended installer decisions, or the design of energy efficiency subsidy schemes.

[edit] Membership and committee

Following numerous quality failures in insulation work, this panel represents a strategic step aimed at modernising the retrofit sector. Its work seeks to rebuild consumer trust, simplify regulation, institute robust enforcement, and support an effective, professional retrofit market capable of delivering net zero and home efficiency goals sustainably

The panel comprises experts across consumer protection, housing, industry and retrofit practice. Members include:

Minister Fahnbulleh will chair the panel meetings, with government officials supporting with the provision of evidence and options for review.

The Inquiry into Faulty energy efficiency installations continues with evidence continuing to be accepted. Whilst the National Audit Office (NAO) also continues its Investigation into energy efficiency installations under the Energy Company Obligation, focussing on how DESNZ and Ofgem have identified and responded to issues within the ECO4 and GBIS schemes. It will set out: how the ECO4 and GBIS schemes are intended to work , what issues the government is aware of, how it is responding, what lessons the government has learnt and applied. The final report is scheduled in Autumn 2025.

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