Insulation suppliers ‘concerned they will not be able to continue in business’

23 November 2012: A number of concerns around the the delivery of energy efficiency measures in London are raised in a paper presented earlier this month to the Greater London Authority’s Housing Investment Group.  The paper sets out that:

“3.2  Due to delays in clarifying and implementing the Energy Company Obligation (ECO) and the Green Deal, additional work is now needed to ensure a smooth transition from the end of the previous CESP /CERT funding scheme in December until the Green Deal goes live in April.

“3.3  In particular we need to ensure there is no slow down in environmental domestic retrofit in London from January to April 2013.

Critically for the insulation industry the paper goes on to say:

“We have met several suppliers who are concerned they will not be able to continue in business due to the potential drop in delivery from Jan-April.”

As a consequence, the Mayor’s RE:NEW domestic energy efficiency programme has decided to continue to contract the EST who “will help manage the transition period and maintain the supply chain framework until the implementation of Green Deal and ECO in April.”

It’s becoming clear that the insulation industry’s concerns – arising out of the Government’s decision not to implement a transition plan from CERT, which is heavily focused on the installation of cavity wall and loft insulation, to the Green Deal and ECO, which is not – are now being realised. An estimate of job losses to the insulation industry in London was also released last week (see earlier post ‘’625 jobs under threat in the Insulation Industry in London’)

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