Botched insulation scheme was 'doomed to fail', say MPs

"Thousands of people are living in homes that pose a risk to their health and safety after the ''catastrophic failure'' of two government insulation schemes, MPs have said. Major defects have been found in over 30,000 houses fitted with insulation through government schemes since 2022. The Public Accounts Committee has now said that the "level of non-compliance" by installers should be investigated for fraud and that the government's current response was "not credible"."

"The Department for Energy Security and Net Zero said it was "categorically untrue there are widespread health and safety risks". A spokesperson added that "for the vast majority, this means a home may not be as energy efficient as it should be". The parliamentary committee, which monitors the effectiveness of government spending, said the insulation schemes ECO 4 and GBIS, which began in 2022, were so badly designed they were almost ''bound to fail''."

"Committee chair Sir Geoffrey Clifton Brown said the level of non-compliance by insulation installers was so extreme that the matter should be referred to the Serious Fraud Office. The committee found that less than 10% of affected homes had been fixed since the problems emerged in October 2024. It warned that when households have to wait for help, the likelihood of damage increased, resulting in "immediate health and safety risks that need urgent attention"."

Major defects have been found in over 30,000 houses fitted with insulation through government schemes since 2022. The Public Accounts Committee calls the ECO4 and GBIS schemes a 'catastrophic failure' and says they were almost 'bound to fail'. Senior officials gave the schemes virtually no attention for at least two years. The committee found extreme installer non-compliance and urged referral to the Serious Fraud Office. Fewer than 10% of affected homes had been fixed since October 2024. Delays have increased the likelihood of damage and immediate health and safety risks. Trustmark was criticised for late notification, while the Department for Energy Security and Net Zero said most homes may only be less energy efficient.

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