Council Led Retrofit Proposal Risks Red Tape Insulation Manufacturer Says

As local government and social housing providers gear up for the Warm Homes Plan, a report on upgrading and decarbonising UK homes and addressing fuel poverty has been criticised by insulation manufacturer, SuperFOIL.

The publication argues for a new model for neighbourhood transformation which learns from the place-based programmes that upgraded the nation’s housing stock over the 20^th century. It proposes the establishment of around 30 Home Improvement Corporations (HICs) operating at county or combined authority level.

The report, A Plan for Places: Transforming Housing and Lowering the Cost of Living Through Home Improvement Corporations published by Common Wealth advocates for public bodies to coordinate area-based retrofit, employ permanent Direct Labour Organisations to build the workforce, and integrate repairs and improvements for homes in poor condition. HICs would also hold powers to prevent tenant displacement and bring empty homes into use.

Previous Failures

The proposed scheme follows the failure of previous home energy efficiency programmes of the last several years — the Energy Company Obligation and Great British Insulation Scheme. They were found to be poor value and have led to major issues such as damp and mould growth. The Government announced in December 2025 the schemes would be closed after a National Audit Office report found they incentivised contractors to “minimise costs to maximise profits”, leading to substandard workmanship and poor design.

Flawed

Reacting to the report, William Bown CEO of insulation manufacturers, SuperFOIL, says the Common Wealth scheme is profoundly flawed. He comments: “While Common Wealth correctly identifies the scale of the UK’s housing crisis ahead of the upcoming Warm Homes Scheme, the proposal to solve it through a local government-led model is fundamentally flawed.

“The report suggests that setting up ‘Home Improvement Corporations’ (HICs) to fix homes on a street-by-street basis will save money. In reality, this is a ‘one-size-fits-all’ approach, which provides more opportunity for mistakes; you can’t treat an entire street like one building. By adding a new layer of council management, it risks burying the project in red tape and paperwork when we should be focused on getting the work done.

“The idea of hiring a council-led workforce misses the essential issue: quality is driven by certification and expertise, not by employment status. An installer, whether they are a private contractor or employed by the council, must be trained and certified by manufacturers to meet Building Regulations and secure 25-year insurance-backed guarantees.

“Local authorities are already stretched thin across other priorities, so it is unclear how they are better suited to manage and meet the needs of the complex Quality Management Systems (QMS) required for retrofitting. The report also asks for 140,000 workers in a 3-year window, but hiring and training that many people through a council system is almost impossible; not to mention logistically challenging. By the time the HICs are set up, the funding window will be closing. We should be prioritising making insulation easier to install, so the current workforce can do more, faster.

“We shouldn’t be trying to rebuild the entire system from scratch. Instead, we should look at the materials we use. Products like multifoil are low-waste, easy to install, and less invasive for residents. Using the right materials and training installers so that they can get the most out of them is the best way to ensure the Warm Homes Scheme is a success.”

The National Retrofit Hub is advocating place-based retrofit and conducting a webinar to explore definitions and principles on 18 March.

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