Previous reference: Minutes 21 and 28 (2015/16)

The Strategic Director, Regeneration, will present a report, (Document “K”) which provides an update on the progress of the programme of work for the Fuel Poverty Framework for Action for the Bradford District and an update on the Better Homes Yorkshire Programme.

Members are requested to comment on Document “K” and to endorse the programme of work for the new Fuel Poverty Framework for Action.

(Pete Betts – 01274 432497)

The report of the Strategic Director, Regeneration, (Document “K”)  provided an update on the progress on the Fuel Poverty Framework for Action and related Programme of Work since the document was adopted by the Council in September 2015.  It also introduced an updated work programme for the 2016 to 1028 period.

The report also provided an update on progress of the regional Better Homes Yorkshire Programme and related issues including the Green Deal Communities schemes, the Central Heading Fund scheme and the project arising from the successful Local Growth Fund Bid.

Members were reminded that Fuel Poverty continued to be a significant issue in the Bradford district.  Statistical information was contained in the report and figures from the Department of Energy and Climate Change (DECC) showed that 13.2% of households in the District were considered to be in fuel poverty in 2014.  It was explained that the relatively high level of fuel poverty was due to the high level of deprivation in parts of the District, low household incomes and the poor quality of the housing stock.

It was explained that the actions contained in the initial programme of work for the Fuel Poverty Framework for Action had been completed and a progress update for each action was contained at Appendix 1 to the report.

The report revealed that Leeds City Council had recently entered into a partnership with Robin Hood Energy, a not for profit licensed energy company, (a subsidiary of Nottingham City Council) to create an Energy Supply Company (ESCo)that would seek to redress balance in the energy supply market by being geared towards providing residents with stable prices at the lower end of the price spectrum. 

It was intended that the ESCo would be branded as White Rose Energy and would be launched in autumn 2016, with the potential to expand its scope to cover the entire Leeds City Region (LCR). Officers would bring forward proposals for Bradford’s participation in the partnership to extend its benefits to include the Bradford District. Members questioned if that move to an LCR ESCo would reduce the control which the service had and have an impact on the Civic Quarter Heating scheme.

In response it was explained that there were many partners working on similar projects across the LCR.  Nottingham City Council had been the first to set up a retail energy company and had utilised energy from waste points for a long time.  They had secured significant investment; had been subject to a lengthy compliance  process and would now offer their skill and expertise to others.  Leeds City Region would provide  Robin Hood Energy tariffs and no development costs would be incurred. 

If a supply of heat through Bradford’s own network was developed it would require significant investment and licensing costs. It was explained that there was no one size fits all approach and there were many models for providing energy companies in the future.  The District Heat Network would consider the best arrangements available at the appropriate time.

Concern that the poorest people were paying the most for energy was raised and it was felt that the issue needed tackling nationally by the Government.  The proportion of Bradford’s housing stock in each Energy Performance Certificate (EPC) category was questioned.  Members were advised that a housing stock condition survey had been commissioned to provide a snapshot of the situation.  The level of data produced was not that detailed and unable to link EPC to construction type. 

It was asked if landlords would have to produce new EPC figures each time the property was let and it was clarified that, unless a landlord had taken measures to improve the property, the EPC rating would only need to be recalculated every 10 years. 

It was noted that legislation was to be introduced in 2018 that would require landlords to bring their rental units up to a minimum EPC rating of E when properties were let to new tenants; the requirement would be necessary for existing tenants from 2020.

That 11% of properties in the Private Rental Sector fell into category F or G in the EPC was raised as a matter for concern together with the subsequent effect that those properties being taken out of commission, because of the legislation, could have.  The percentage of properties in the D and E categories also troubled Members as that equated to 84% of housing stock in a low energy efficiency category.

The serious nature of the issue was acknowledged and Members were assured that housing colleagues were aware of the matter.

The potential for privately rented property to go unregulated was raised.  It was acknowledged that the new legislation could place an enforcement burden on the Council and, whilst those measures had not yet been formalised, it was agreed to update Members in a future report.

The condition of social housing was questioned and it was reported that Incommunities, as the largest social housing provider, had done a lot of work to improve their stock.  It was believed that virtually all of their properties had an EPC rating of D or above.

Penalties which could be imposed on landlords who did not comply with the legislation were questioned.  In response it was explained that landlords may have some get out clause regarding the viability of the cost of improvements, however, the legislation was not yet clear on that matter. Concern was expressed that landlords who made improvements could increase the rent for tenants who were already in fuel poverty or that get out clauses utilised would result in tenants remaining in inferior housing.   It was agreed that a future report was required to consider the scale and scope of the Private Rented Housing Sector in the District and the impact of the legislative changes on that sector in with particular reference to EPC and enforcement.

Members asked why external wall insulation measures, contained in Document “K”, had not been carried out in wards depicted as having the highest concentrations of fuel poverty.  In response it was explained that the funding received had been for solid wall insulation and had been carried out in areas that were in the 10% most deprived Lower Super Output Areas (nationally).  The dwelling stock in the most deprived inner-city areas was not suitable for external wall insulation.

Key Performance Indicator Targets for Better Homes Yorkshire were questioned and it was explained that a shift in ECO funding had meant that some targets would be unachievable.  Officers believed that the targets were fair for the Bradford District.  In response to concerns that targets would not be delivered Members were assured that because they were delivered through the service officers could identify areas where marketing was taking place and examine invoices for that work.

Resolved –

1.    That the contents of Document “K” be noted and the programme of work for the new Fuel Poverty Framework for Action be endorsed.

2.    That officers from the Energy and Climate Change Unit and Public Health be thanked for their management of the Fuel Poverty Framework for Action.

3.    That the Strategic Director, Regeneration, be requested to provide a progress report in 12 months time.

4.    That the Strategic Director, Regeneration, be requested to provide a report on the scale and scope of Private Rented Housing Sector in Bradford District and the impact of legislative changes on that sector particularly with reference to energy performance certification and enforcement.

ACTION: Strategic Director, Regeneration