This roundtable, held on 10 September 2024, was organised for officers overseeing sustainability, climate change, and environmental initiatives, with a particular emphasis on retrofitting and decarbonisation. The event aimed to examine the challenges and opportunities associated with retrofitting housing and decarbonising the council’s housing stock and other assets.
Introduction
The session included two "spotlight on" presentations by Andrew Hunt, Green Energy & Sustainability Manager at Oldham Council, Jonathan Atkinson, Retrofit Director from Carbon Co-op and Ioanna Rossi, Green Economy Lead at from Royal Borough of Kingston upon Thames, followed by a roundtable discussion with other local government officers.
Oldham's Green New Deal
In 2020, Oldham Council declared a climate emergency and introduced the "Oldham Green New Deal Strategy," a plan aimed at addressing climate change and reducing carbon emissions. The Council spends approximately £11 million annually on energy, with the borough's total energy expenditure reaching around £1 billion. To achieve its climate goals, the council created the Oldham Green New Deal Delivery Partnership, a public-private collaboration designed to implement the infrastructure outlined in the Local Area Energy Plan. This partnership prioritises citizen participation, harnessing local knowledge to secure community buy-in.
Oldham’s efforts to enhance energy efficiency include its award-winning Warm Homes Oldham programme, which focuses on improving homes for low-income residents and boosting health outcomes. The retrofit portion of this initiative is primarily funded by the Energy Company Obligation (ECO), managed by the Greater Manchester Combined Authority (GMCA) for all 10 local authorities in the area. Another key initiative is Oldham Council’s Home Improve Loan Scheme, which uses equity release to help low-income homeowners fund necessary home repairs. This programme supports the sustainability of local housing and helps meet the Decent Homes Standard for vulnerable private-sector households.
Despite these successful initiatives, Oldham faces significant challenges. Many households do not qualify for grants under the Warm Homes programme, and demand for the Home Improve Loan Scheme exceeds the Council’s capacity. Additionally, around one-third of Oldham's carbon emissions come from homes, many of which are traditional red-brick terraces or stone cottages in need of renovation. Recognising the need for a more extensive solution, Oldham Council, in partnership with Carbon Co-op and Connected Places Catapult, commissioned a feasibility study in 2023 to explore an area-based energy efficiency retrofit scheme. This initiative seeks to address carbon emissions, improve public health, and strengthen climate resilience, with the potential to create new jobs and training opportunities in the retrofit sector.
Making Kingston’s Housing Retro’fit’
As London grows with a population nearing 10 million, Kingston is home to 168,000 residents across 65,600 households. Over the past decade, Kingston has seen a 5% increase in its population, with a notable 19 per cent growth in the number of residents aged 65 and older. Despite its ongoing growth, the borough has maintained a relatively low rate of deprivation, particularly when it comes to fuel poverty. With only 9.1 per cent of households affected, Kingston fares better than many other London boroughs, supported by higher-than-average incomes. A vibrant economic environment also thrives in the borough, with a significant presence of small and micro-businesses, which make up around 95% of the local economy. The council has recognised this entrepreneurial spirit and launched initiatives to align with the UK's green agenda, such as the Kingston Green Business Community.
The Kingston Green Business Community is a forum for like-minded businesses committed to sustainability. With objectives of eco-innovation, business decarbonisation, and fostering green skills, 113 businesses have joined this free-to-join network. Despite these efforts, retrofitting—upgrading homes and buildings for energy efficiency—hasn't taken off as anticipated. A key challenge remains in generating demand for retrofit services, particularly from the private sector.
Kingston’s retrofit challenge is twofold. First, the majority of the borough’s carbon emissions stem from domestic energy use and transportation. As an outer London borough without access to the underground system, residents rely heavily on private vehicles. This leads to higher emissions. Additionally, gas consumption remains a major issue. While per-household gas consumption is low, the borough's businesses, though few in number, are responsible for significant gas usage. Targeting both households and businesses is essential to reduce emissions and meet the borough’s ambitious goal of achieving net zero by 2038.
Housing types in Kingston also pose challenges. Unlike other parts of London, where flats are common, Kingston is dominated by detached and semi-detached houses, which tend to be less energy efficient. Combined with limited public awareness and trust in retrofitting, a shortage of skilled contractors, and inconsistent government funding, the journey towards retrofitting homes for energy efficiency is a complex one. Working closely with the South London Partnership (SLP), a group of five boroughs that coordinate green activities, Kingston is leveraging funding and support to address these challenges. The SLP's Green Skills Academy has found that by 2030, 38,000 green jobs will be created, increasing to 65,000 by 2050, many of which will focus on retrofitting and the construction sector.
In 2023, the council hosted its first-ever Kingston Efficient Homes Show (KEHS). Held at a local school, this event brought together over 30 businesses and residents for presentations, roundtable discussions, and more. As the council works towards its 2038 net zero goal, the key to success lies in community engagement, education, and a strong push for green skills development like those displayed in these roadshows.
In the breakout session, participants discussed their experience with running retrofit schemes for private homes and partnerships with county councils, seeking to scale up small initiatives and address funding diversity challenges. They acknowledged the significant work required to meet climate targets, with retrofitting playing a key role. Many lacked assets for retrofitting, relying on agreements or facilitating schemes for other organisations, with pilots like deep retrofits proving costly but achievable. To build confidence in the market, transparency on available funds and growing capa city were emphasised. Lessons learned included the need to engage and incentivise residents, as uptake improves once schemes are running. Success in retrofitting hinges on scheme continuity and consistent messaging.
Some of the Q&A captured during the roundtable
Q: Is there a healthy supply of local retrofit, skilled trades people or is there a training gap in both of your areas?
A: In response to whether there is a healthy supply of local skilled tradespeople for retrofitting or a training gap in Oldham, the idea that while an area-based scheme can help procure and develop skills, many contractors are hesitant to invest due to the inconsistent and stop-start nature of retrofit funding. As a result, contractors often bring in labour from distant locations, missing local economic opportunities. However, social enterprises like B4 Box, which offer guaranteed, consistent work, can invest in local workforce development by providing more structured, long-term employment opportunities.p>
Kingston lacks a strong supply of retrofit services, though neighbouring boroughs like Croydon and Merton have a slightly better availability. However, even these areas face shortages. London generally struggles with a limited construction sector, often relying on contractors from other parts of the UK, particularly the Midlands. This challenge led the council to launch the Kingston Efficient Home Show to raise awareness about the opportunities for local businesses. While local colleges offer relevant courses, they have struggled to attract enough students.
Q: Is there a wealth barrier if loans are only available to those with low incomes, such as short-term interest-free loans?
A: Yes, there can be. Equity loans work well for people with assets but lower incomes. In South Manchester, homeowners who bought expensive properties and didn't plan to stay long were hesitant to take on loans, fearing they wouldn't recover the investment when selling. In contrast, long-term residents, even with lower incomes, found these loans useful for retrofitting. Different lending products suit different demographics. Middle-income individuals, while not eligible for grants aimed at vulnerable populations, are sometimes more motivated by environmental concerns than financial returns. Landlords pose a challenge, as many provide poor-quality housing but still find tenants due to high demand, especially in London.
Q: How do you engage with SMEs and householders on green initiatives?
A: Engaging with SMEs can be challenging, as many are interested in green initiatives but lack the capacity or funding to take action. To engage with them, we first focus on installers and experts in specific areas like solar panels and heat pumps. We look at their standards and accreditation and prioritise businesses in Kingston and neighbouring boroughs. After identifying local companies with the required qualifications, we invite them to participate in roundtable discussions, networking events, and peer-to-peer support groups.
Our initial engagement started with a few businesses, and as momentum grew, more joined. We collaborate closely with the Chamber of Commerce, Kingston University, and the South London Partnership to promote events and activities, relying heavily on word-of-mouth to engage both businesses and residents.