Serious and systemic problems have been found in homes insulated under government programs, according to the Minister for Energy Consumers.
An audit of homes with external wall insulation since 2022 found “widespread cases of poor-quality installations that did not meet required standards”, Miatta Fahnbulleh told parliament.
She added that 39 companies have now been suspended from government programs due to poor quality work.
Some 65,000 homes in the UK have had solid wall insulation installed under two government schemes – ECO4 and the Great British Insulation Scheme – since 2022.
All homes whose external walls have been insulated under these schemes will be contacted by energy regulator Ofgem, the minister said, with repair work overseen by the regulator and costs met by the installers.
The audit, carried out by independent body Trustmark, found issues ranging from missing or incomplete documentation to more serious issues such as exposed insulation and poor ventilation which, if not addressed, could lead to humidity and mold. In some cases, serious health and safety concerns have been raised, such as incorrectly installed cables.
Last year the BBC highlighted the case of Tormuja Khatun, whose home in Luton was ravaged by black mold, fungus and dry rot after the botched installation of external wall insulation. His family told the BBC they had been warned repairs could cost more than £100,000 and described the situation as a “nightmare”.
In total, more than three million homes have been insulated under government schemes and the BBC reported last year that hundreds of thousands of them may have insulation that was not installed to the required standard .
A growing number of MPs are concerned about the impact of poorly installed insulation on their constituents, while Citizens Advice has called on the Government to “urgently correct” regulation of the sector.
In a statement to the House of Commons, Fahnbulleh said: “The government is acting quickly to protect households. But I must be honest with the House: these problems are the result of years of failure of a system that needs to be reformed.
“I know this will be concerning to families who have had solid wall insulation installed as part of these projects. Resolving this issue is our number one priority. We are determined to ensure families are never disappointed again in this way.”
But some MPs have raised concerns that the Government has not announced a review of other insulation schemes, such as those involving cavity wall insulation and spray foam insulation.
Fahnbulleh said audits of other forms of insulation did not show the “systemic failure” seen with solid-wall installations.
The minister’s statement was welcomed by the Energy Saving Trust (EST), which is calling for the creation of a national advice service in England to provide impartial, personalized advice to all households.
“It is equally important that action is taken now to strengthen consumer protection and support in the future, to ensure households have confidence when renovating their homes,” said Stew Horne, head of policy to the EAST.
