Building the Future – The economic and fiscal impacts of making homes energy efficient

Published in October 2014, Building the Future makes the case for the same radical new approach to home  energy efficiency called for by The Energy Bill Revolution. This campaign calls for all low income homes to be improved, by 2025, to bring them up to B and C on an Energy Performance Certificate (EPC), and for all other households to be offered 0% interest loans to improve their homes to an equivalent EPC standard by 2035; delivered as part of a major infrastructure investment programme.

In addition to making all low income households highly energy efficient, the report calculates that this energy efficiency programme would deliver:

  • £3.20 returned through increased GDP per £1 invested by government
  • 0.6% relative GDP improvement by 2030
  • £1.27 in tax revenues per £1 of government investment, through increased economic activity,
  • 2.27 : 1 cost benefit ratio (Value for Money), which would classify this as a “High” Value for Money infrastructure programme
  • Increased employment by up to 108,000 net jobs per annum over the period 2020-2030,
  • £8.61 billion per annum in total energy bill savings across housing stock, after comfort take
  • 23.6MtCO2 reductions per annum by 2030 (roughly equivalent to cutting the CO2 emissions of the UK transport fleet by one third)
  • Improved health and reduced healthcare expenditure, due to warmer and more comfortable homes, and improved air quality.
  • A more resilient economy, less at risk of shock changes in gas prices.