Parliamentary Under-Secretary of State for Affordability and
Skills (): My noble friend the
Parliamentary Under Secretary of State () has today made the
following statement:
Today, I am announcing the work the Government is undertaking to
improve consumer protection in the green heating and insulation
sectors.
This announcement is in response to today’s progress update from
the Competition and Markets Authority (CMA) Green heating and
insulation review: Update on the standards landscape. The
CMA’s update highlights actions by standards bodies in response
to the good practice principles developed by the CMA alongside
their report Consumer protection in the green heating and
insulation sectors(published May 2023).
In 2022, the CMA commenced a review of consumer protection
focusing specifically on business practices, consumer experience
and standards in the green heating and insulation sectors. They
published a report of their findings on 31 May 2023, suggesting
actions to both government and businesses to help raise the level
of consumer protection.
The Government welcomes the research the CMA carried out and
acknowledge the concerns raised in their original report about
business practices in the sector including the finding that some
businesses are making misleading claims about products, as well
as concerns about limited transparency of price information. The
Government expect businesses to ensure that their practices
always remain lawful.
The Government acknowledges the findings on consumer experience,
where some consumers may face difficulties when carrying out
retrofit work, and on standards, where the landscape offering
protections for consumers can be seen as complex and confusing to
navigate.
I am pleased to see swift engagement from the industry in
response to the CMA’s findings on standards and the lack of
protection for some consumers having green heating and insulation
measures installed in their homes, highlighted in the update
published today.
The Government is committed to protecting all consumers
undertaking home retrofit work as well as improving the overall
consumer journey. Our work with the CMA and across Whitehall
includes:
- Engaging with standards organisations like the
Microgeneration Certification Scheme (MCS), the leading standards
and quality assurance organisations for small-scale renewable
technologies such as solar panels and heat pumps in the UK. To
participate in a government incentive scheme such as the Boiler
Upgrade Scheme, the installation must be carried out by a MCS
certified installer, to the relevant MCS installation standard
for that technology, using a MCS certified product. This helps to
ensure that the renewable system is safe and installed properly,
and the appropriate protections are in place for consumers if
things go wrong. MCS are currently implementing a series of
reforms which are intended to improve the operation of the
scheme, including improving consumer protection. We are closely
monitoring the implementation of these reforms. Further detail of
the reforms can be found in the MCS consultation and response(opens
in a new tab).
- An update of the mandatory technical competencies for
installers working under competent person schemes, establishing
clear competency requirements for everyone carrying out building
work to meet the Building Regulations. Self-certification,
through competent person schemes, provides an alternative and
cost-effective means of delivering compliance with the
regulations.
- A review of the conditions of authorisation[1] to ensure they
are fit for purpose. The conditions of authorisation are the
requirements that a scheme operator must meet to be authorised as
a competent person scheme under Building Regulations.
- Continued work alongside industry stakeholders such as
TrustMark to improve vital financial protections, such as
extending the length of loft guarantees in government schemes and
a clearer redress process for consumers should they need to raise
a concern about the work.
- Improving access to impartial advice and information to
ensure consumers have the necessary information to make informed
choices regarding energy efficiency measures and clean heating
options. This includes digital tools to highlight what measures a
consumer can take to make their home more energy efficient and
how to decarbonise their heating and then find sources of grant
funding to help with the cost of installation. There is also
access to a phoneline for those needing digital assistance or
more bespoke support, and a series of in-person advice pilots
running across the country.
- Consideration of progress against the recommendations in the
Each Home Counts report[2] published in 2016 to ensure that
implementation of the recommendations to improve consumer advice,
protection and industry standards in the home retrofit sector has
been successful and learn any lessons from that implementation.
This is all in addition to around £20bn allocated by the
Government during this parliament and the next to support
households, businesses and the public sector drive improvements
in energy efficiency and clean heating to bring down bills and
emissions
The Government will update the House on progress and further work
to improve consumer protection in the normal manner.
1 https://www.hse.gov.uk/building-safety/strategic-plan.htm(opens
in a new tab)
2 https://www.gov.uk/government/publications/each-home-counts-review-of-consumer-advice-protection-standards-and-enforcement-for-energy-efficiency-and-renewable-energy