en.Wedoany.com Reported - The UK government today announced a reform plan for the home renovation industry, aimed at addressing poor workmanship in previous government-backed schemes and boosting homeowner confidence.
Ministers stated that the reforms are designed to allow homeowners to upgrade their properties without fear of financial loss. In recent years, homeowners have continuously complained about renovation projects carried out under the "Energy Company Obligation 4" and the "Great British Insulation Scheme," with one of the most common issues being the installation of solid wall insulation. Ministers said much of the blame lies with the inherited scheme design rather than current policies.
At the heart of the reform proposals is a new consumer protection service, which will maintain a public register of government-approved installers and provide consistent advice and support throughout the upgrade process. This service will have the authority to remove substandard installers from government schemes. Additionally, the proposals introduce a new data-driven system to flag installer performance issues. Government officials hope this will replace the current system, which they describe as "fragmented and confusing" for consumers.
UK Energy Consumers Minister Martin McCluskey said the previous system left people without adequate recourse when problems arose. He explained that the current government inherited a broken system that left too many households damaged by poorly regulated work and without support when things went wrong. He added that the reforms aim to rebalance power between consumers and installers, creating a consumer-first system that holds companies accountable and introduces better compensation and protection measures for customers.
A key element of the reforms is strengthening the powers of the Energy Ombudsman. This independent watchdog investigates unresolved disputes between citizens and companies in the energy sector. The government's new plan will allow the Ombudsman to impose fines on companies that fail to comply with its rulings. The Department for Energy Security and Net Zero (DESNZ) confirmed that waiting times will be reduced by one month, to a maximum of 10 weeks. Clearer legal pathways will also be established as a last resort for unresolved cases. Chief Ombudsman Ed Dodman welcomed this but acknowledged there is still much work to be done to ensure the system delivers fair, timely, and accessible outcomes for all.
Alongside the consultation, the Installation Assurance Authority has raised the compensation cap for repairing defective wall insulation by 25%, to £25,000 ($33,499). This policy applies even if the installer has gone out of business. Government data shows that over 60% of confirmed insulation issues have already been rectified through existing audit schemes, and these reforms are expected to significantly increase this figure.
The industry has reacted positively. Adam Scorer, Chief Executive of National Energy Action, said the proposals empowering low-income households are a step in the right direction. Gillian Cooper, Energy Director at Citizens Advice, stated that providing clearer avenues for redress is a long-overdue measure that will give consumers the confidence to adopt important renovation measures.
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