U.K Government Unveils Next Stage for Home Information Packs, Energy Performance Certificates

August 29, 2007 // Published as a news service by IHS

The U.K. Communities and Local Government announced Home Information Packs (HIPs) and Energy Performance Certificates (EPCs) will be introduced for three-bedroom properties beginning 10 Sept. 2007.

HIPs and EPCs are being phased in to facilitate a smooth transition in the housing market, according to the government.

The government said there will be enough energy assessors, nationally and regionally, to roll out to three-bedroom homes in next month. Packs for homes with four bedrooms or more were rolled out on 1 August 2007.

HIPs and EPCs were designed to give house buyers energy ratings for homes for the first time, from A to G - similar to consumer ratings for fridges - in an effort to help lower fuel bills and reduce carbon emissions. The packs were also created to increase transparency and competition in the home buying and selling process.

Additional HIP and EPC rollouts to other properties will be made in due course, after ensuring a smooth implementation and that the necessary energy assessors, both nationally and regionally, are in place, the government said.

"HIPs and EPCs can help families to save hundreds of pounds off their fuel bills, and cut a million tonnes of carbon a year," Communities Minister Baroness Andrews said.

Measures recommended in the EPC could save the average consumer £300 a year off their fuel bills, according to the Energy Saving Trust. Typical "green grants" of £100 to £300 for energy saving improvements, such as loft insulation, are available for many homeowners.

A new system to help homeowners to access these grants from energy suppliers was launched in August. Energy suppliers are providing immediate access and information about green grants and offers to homebuyers when they sign up to an energy contract. A new portal on the Energy Saving Trust's web site also allows consumers to key in their postcode to find available offers.

A snapshot of leading HIP providers shows packs are taking five days on average to produce. Many major estate agent chains are offering HIPs as part of their ordinary fees. Others are charging in the region of £300 to £350 plus value added tax (VAT) on an upfront or deferred basis - £200 to £250 of which is already paid for in the current system.

Source: U.K. Communities and Local Government.