Government loses crucial solar appeal
Three Court of Appeal judges this morning upheld the original decision that the government had acted unlawfully in proposing cuts to feed-in tariffs for solar installations completed after December 12 last year, on the grounds the consultation on the proposed changes to the scheme did not close until December 23.
The ruling was celebrated by the solar industry, which has consistently argued that ministers should not be allowed to impose “retrospective” changes to the feed-in tariff incentive scheme.
“Four Judges, including three in The Court of Appeal, have now called the Government’s actions illegal,” said Daniel Green, chief executive at Homesun, one of the company’s behind the legal action. “That’s a four-nil victory and a decisive ruling that government may not make retrospective changes to the FIT because, as Lord Justice Moses concludes, to do so ‘would be to take away an existing entitlement without statutory authority’.”
His comments were echoed by Jeremy Leggett, chairman of Solarcentury, who writing on Twitter urged the government to now accept the ruling and work to build “a counter-austerity industry in solar”.
The ruling means that the government will now have to pick up the costs of the organisations that brought the original legal action.
However, a DECC spokeswoman said the government was still “considering our options” in the wake of the ruling, prompting speculation the government could seek to lodge a second appeal with the Supreme Court.
Reports that the government could yet seek to appeal again to the Supreme Court prompted an angry reaction from solar industry campaigners.
Writing on Twitter Seb Berry of Solarcentury said: “Appeal Court rejected DECCs application to appeal to the Supreme Ct. DECC can still apply directly but on what possible grounds?”
Others have suggested that the government may consider an appeal in order to ensure demand for new solar installations remains low in the run up to March 3 – the new cut off date for the higher rate of feed-in tariff incentives.
If the government does not appeal against today’s court ruling the level of incentives available for installations completed before March 3 will be confirmed at 43p/kWh. Ministers are concerned that the ruling could spark a month long gold rush as households and businesses rush to take advantage of the higher rate, eating further into a feed-in tariff budget that has already been exceeded for this year.
In contrast, the continued uncertainty caused by a further appeal would stop solar firms advertising that the current feed-in tariff rate is set at 43p/kWh, potentially dampening demand until the incentives are halved on March 3.
The ruling should also pave the way for the release of the government’s long-awaited full review of the feed-in tariff scheme, which has been promised for early next month and is expected to map out how ministers plan to cut incentives in future.
Andy Atkins, executive director of Friends of the Earth, which was also involved in the legal action, urged the government to now reform the scheme, increasing the spending cap to allow for the continued expansion of the solar sector.
“This landmark judgement confirms that devastating Government plans to rush through cuts to solar payments are illegal – and will prevent Ministers from causing industry chaos with similar cuts in future,” he said.
“The Government must now take steps to safeguard the UK’s solar industry and the 29,000 jobs still facing the chop. Ministers must abandon plans to tighten the screw on which homes qualify for solar payments – and use the massive tax revenues generated by solar to protect the industry.”
How will installing solar panels affect my home insurance?
You might think that installing something as large and life-changing as a solar panel on your home means big repercussions on your insurance premium, whether for the better or worse.
Well, there’s a balance at work: on the one hand, environmentally aware homeowners like yourself are usually less likely to claim and insurers can’t really penalise people for doing something that’s so eco-friendly and positive. On the other hand, the solar panels are both valuable in themselves and add value to your home, which means your payout might have to be larger if you were to claim.
These contesting factors usually mean that there’s unlikely to be a change in your buildings and contents insurance, but it’s certainly worth taking half an hour to check your policy over a few times. There’s no need to get hot under the collar – essentially, insuring your green home boils down to three important things:
As always, tell your insurer before making a substantial change to your property.
It was mentioned above that solar panels may be covered in your premium; even if you suspect this is the case for you, it’s better to have a record of this than make a presumption. Call your insurer’s helpline to find out if there are any clauses that are relevant to your situation: will a solar panel count as a permanent fixture or a structural feature, for example?
It’s important you do this before you get anything fitted, because there’s a chance that your roof or brickwork will get damaged in the installation process and it’s possible that they’ll want to up or reduce your level of cover during the two or so months that will take. Some policies may cover the panels themselves, but stop short of covering any damage caused by them being fitted.
Perhaps your solar panels aren’t actually being installed on your roof. If you’re planning on putting them at a distance from your property, they might only be eligible for contents insurance, so be ready to give your provider information about where and why your panel is going where it’s going.
Make sure you take the weather of your local area into consideration.
If you’re living in an area that’s prone to extreme weather conditions – like snow or strong winds – you’ll need to get more durable solar panels. It pays to talk to a local installer and discuss with your insurer the precautions you’re taking against panel breakages.
Are you leasing or buying your solar panel?
If you’re entering into a partnership with a company who’ll install and run your solar panels for profit, it’s probable that they’ll insure their equipment on a third party policy. As they’ll also take care of upkeep, it’s less likely you’ll have to shell out to fix a broken or malfunctioning panel. Still, you’ll need to talk to them and to your insurance provider about whether your house is covered for damaged caused by workmen.
Changes announced to EPC Holiday Let ruling
CLICK HERE to read the official Government document.
In simple terms; if your Holiday Home is rented for less than 4 months of the year an EPC will not be required. This exemption also applies if your Holiday Home is let under a Licence to Occupy (where the owner retains the right to access the property during the period of the booking)
For further inforamtion please do not hesitate to contact us on 0208 522 0001
Stimulating the Housing Market
It is an important question for both the national economy and for society generally, given the chronic housing shortage we are seeing at the moment. It is something however that the coalition Government, despite David Cameron apparently putting society at the head of his agenda, have done little to address.
Why Is The Housing Market So Important?
This is a fair question, particularly from someone not planning on moving home or buying a first home in the foreseeable future. You might ask why we would invest time and money in the housing market when we have rising crime and unemployment and the NHS is in such turmoil.
The answer is that a healthy housing market could help address all of these problems. You might be wondering how the housing market and crime rates can possibly be linked. During the Labour Government’s last period in power crimes rates fell significantly. They will put this down to their policies on law and O]order but in my opinion it was down to the fact that as a nation we were better off financially than we had been for a long time so less people were poor. It’s a simple equation, poverty = desperation = crime. Now that the economy has slowed and more people are slipping back into poverty, crime rates are rising.
The housing market is fundamental to the British economy. Think about the scope for jobs in a healthy housing market. It isn’t just conveyancers and estate agents who benefit. A healthy economy needs people to be spending money. If you move house, you spend money. Not just on the house itself but on furniture, carpets, wallpaper, and paint – the list goes on and on. So throughout the supply chain, from manufacturer to shop assistant, jobs are created.
Furthermore, when homes start selling, builders start building. This means jobs for builders, plumbers, joiners, electricians, labourers, sales staff, logistical support etc. A job on a decent sized housing development is generally long term, giving the employee the confidence to spend rather than save. So a healthy housing market means more jobs, which means more taxes, less benefits and more money for public services such as the NHS. So what can we do?
Nick Clegg’s Empty Tax Is An Empty Promise
I mentioned above that Nick Clegg proposed to the Liberal Democrat conference a tax on empty properties as a way of kick starting the property market and creating new homes for those in need (apparently there are 300,000 empty homes in Britain).
His proposals would allow local authorities to charge additional council tax on empty houses. His hope is that this would encourage the owners to sell rather than waiting for the market to improve and would generate extra revenue to allow the councils to buy some of the properties for social housing.
This idea smacks of another attempt to over tax the wealthy to me. Not that I’m against the wealthy paying higher taxes, but there must be a limit. It is they after all who provide investment to fund the creation of new employment which is needed to improve the economy. Take away all of their money in taxes and you begin a downward spiral. In any event, this does nothing to address the real problem, which is the lack of available buyers. There are already plenty of willing sellers who cannot find a buyer at a sensible price.
Making Mortgages More Available
The State owns large shareholdings in several banks and is owed favours by the whole industry. In my view it needs to start putting this power to use to encourage an increase in mortgage lending. Having a willing seller and buyer is one thing, but if the buyer does not have the funds to buy the property you have no sale. It is understandable that banks are wary but no one sensible person is suggesting a return to 100% mortgages to those who plainly cannot afford the repayments. Widely available 85% – 90% mortgages should be sufficient.
Banks must realise that it is only by trading again that they will ever recover completely.
Fixing Interest Rates
The Bank of England base rate is currently at its lowest ever level, which is good news for the housing market as it is keeping mortgage interests rates low, however there is still a concern among buyers, particularly first time buyers, that they could rise at any time, potentially leaving them in difficulty.
It would be helpful to the housing market (and no doubt other markets) if the base rate were to be fixed for say two or three years. This would give buyers the confidence to borrow at the best rates (fixed rate mortgages being more expensive) and so stimulate growth.
State Backed Equity Loans
The state has for some time now provided equity loans, used to make up the shortfall between mortgage loan and purchase price, to certain key workers such as police officers and nurses, as well as army personnel. A similar scheme should be introduced for the benefit of the general population. Rather than concentrating on the poorest members of society who are more likely to default, such a scheme ought to be targeted at financially secure people, such as young professionals, who do not have the savings to fund a deposit.
These loans would be profit making, a loan of £20,000 against a property bought for £100,000 would buy a 20% share. If the property sells for £120,000 in five years’ time the State pockets a profit of £4,000 (its 20% share being now worth £24,000).
By targeting middle income buyers the Government avoids leading people down a path that is likely to end in insolvency as many lenders did during the housing boom. The people that benefit from the scheme will leave their rental accommodation thus opening this up for those who need it. Many buyers will be introduced to the market and a levelling out of the market should follow.
New EPC Regulations Revealed
The Department for Communities and Local Government (DCLG) have today announced the scope of the changes to the Energy Performance of Buildings (Certificates and Inspections) (England and Wales) Regulations 2007 (The EPB Regulations)
The main points are:
The EPC will be required within 7 days of commencement of marketing for property marketed after July 1st.
Trading Standards Officers are to be given more powers to request and enforce the EPC from agents and landlords/vendors.
The agents in both the residential and commercial market will now also be responsible for ensuring the EPC is available (currently this is not the case in the commercial market)
The requirement to add the EPC to marketing material including the sales particulars, however, this has been delayed until October presumably to allow agents and portals to update their systems
The full scope of changes are detailed below:
1. Commissioning an EPC before marketing
A number of changes are made to regulation 5A of the EPB Regulations. In general, the onus remains on the ‘relevant person’ (i.e. the seller or landlord) to commission an EPC before marketing.
The main changes are as follows:
The duty to commission an EPC before marketing is extended to the sale and rent of residential and non-residential buildings;
The current 28 day period within which an EPC is to be secured using ‘reasonable efforts’ is reduced to 7 days;
If after that 7 day period the EPC has not been secured the relevant person has a further 21 days to do so.
2. Power to Require the Production of Documents
TSOs currently have the power to require the ’relevant person’ (i.e. the seller or landlord) to produce copies of the EPC for inspection and to take copies if necessary. The power to require the production of documents will be extended to include persons acting on behalf of the seller or landlord – e.g. estate agents and letting agents.
This means, for example, that TSOs will be authorised to require estate agents to produce evidence showing that an EPC has been commissioned where they are marketing a building without one.
3. Clarifying when an EPC is required
This technical amendment to Regulation 5 is intended to remove the erroneous belief that the provision of the EPC can be delayed until shortly before the parties enter into a contract for sale or rent. This will be achieved by deleting the words “before entering into a contract to sell or rent the building or, if sooner” in Regulation 5(2)(b) of the EPB Regulations.
4. Consequential changes
A number of consequential changes have been made to enable TSOs to enforce the new duties.
5. EPC Information in Written Particulars
Currently, for residential sales only, the relevant person or his agent is under a duty to either attach the EPC to written particulars or include the asset rating on those particulars. The amendments to the EPB Regulations require the EPC to be attached to written particulars in relation to buildings sold or rented out. The option to include the asset rating will no longer apply.
The existing definition of ‘written particulars’ has been expanded to ensure that particulars produced for rented out buildings and commercial properties are captured by the new requirements.
6. Commencement
The changes described in paragraphs numbered 1 to 3 will have effect in relation to properties marketed after the expected coming into force date of 1st July 2011.
The change described in paragraph 5 will have effect in relation to properties marketed after of 1st October 2011.
Grant Shapps offers “Build Now, Pay Later” deal to developers
Housing Minister Grant Shapps has today offered developers a Build Now, Pay Later deal to get work started on thousands of new homes without facing the expense of buying the land upfront.
He published details of the first sites to be made available under Build Now, Pay Later, an innovative scheme designed to give a shot in the arm to housebuilders that have struggled to get their developments up and running.
Under Build Now, Pay Later, housebuilders pay for the land after they have started work on the new homes, offering a lifeline to those struggling with cash flow problems and enabling them to start building straight away.
Over the past decade, housebuilding slumped to its lowest levels for any peacetime year since 1924. Today, the Minister insisted that making this land available could offer a huge boost to the numbers of homes being built and jobs supported.
So Mr Shapps has announced moves by the first Government agency to bring some of its surplus land forward under this programme.
Today, the Homes and Communities Agency is leading the way, offering the first six sites for development, many of which will be possible under Build Now, Pay Later. These sites could lead to as many as 3,000 new homes being built and as many as 18,000 jobs in construction and related industries being supported.
Up to 40 per cent of land suitable for housing development – as much as 7,500 hectares – is “sitting idle” in public sector land banks. It is estimated that making this land available owned by central Government alone could help developers build more than 60,000 new homes over 10 years.
So to ensure these sites are the first of many to be made available, Government departments from across Whitehall will publish their own plans to release land – and will be held to account for the numbers of homes and jobs created as a result.
Grant Shapps said:
“Draconian top-down targets brought housebuilding to its knees, reaching the lowest level for any peacetime year since 1924. Radical reform is needed to give a boost to developers and kickstart building so we can get the homes this country needs.
“Up to 40 per cent of the land ready for development in this country is simply sitting idle in the hands of the public sector. So today I’m giving the green light to the Homes and Communities Agency to lead the way by making six new sites available for development.
“These will be the first of many sites as all Government departments will now be asked to make land available for housebuilding and, crucially, will be held accountable for the homes built and jobs supported through this. And many of these sites will be available under Build Now, Pay Later, giving builders access to land they only pay for once the homes are built and giving a boost to the level of housebuilding in this country.”
Pat Ritchie, chief executive at the Homes and Communities Agency, said:
“We are leading the way by making more land available for development through a range of options that will help developers get on site more quickly and help communities access the homes, amenities and public space needed in their local area.”
Speaking in advance of today’s Home Builders Federation Policy conference, executive chairman Stewart Baseley said:
“The Government simply must address the acute housing supply crisis. The public sector owns around 40 per cent of potential residential land, and so moves to release surplus land for development are a positive step and we need to see the process quickly accelerated.”
Landlords have specific legal responsibilities to their tenants when it comes to gas safety
Understanding the law for rental accommodation
If you are a landlord letting a property equipped with gas appliances you need to understand and comply with the law relating to gas safety.
If you let a property, you must make sure that pipe work, appliances and flues provided for tenants are maintained in a safe condition. You need to have a gas safety check every year. A Gas Safe registered engineer must carry out the safety check in your properties. You must give your tenants a copy of the gas safety record within 28 days of it being carried out or before they move in.
You are also obliged to show your tenants how they can turn off the gas supply in the event of a gas leak.
Annual checks
As a landlord, you are legally responsible for making sure that a Gas Safe registered engineer checks the gas appliances in your rental properties every 12 months and gives you copies of the gas safety records.
Gas safety records
When your Gas Safe registered engineer has checked the gas appliances in your rental property they will give you a gas safety record. This record confirms the gas appliances have been checked and are safe.
You must give your tenant a copy of these gas safety records within 28 days of the checks being done, or give a copy of the gas safety record to a new tenant before they move in.
Remember, you must keep a record of each safety check for two years.
Visit the HSE website for more information about landlords’ responsibility for gas safety.
Written Detailed Inventories Still Trump Video & Photographs At Adjudication
The debate rages on about whether photographs and videos are sufficient in themselves as evidence when it comes to adjudication in tenancy disputes. From statements issued by both the TDS and MyDeposits, it\’s clear that written evidence – in the form of a detailed inventory and check out – is still vital to allow adjudicators to give a judgement.
Video of a property immediately relies on the adjudicator having the correct playback equipment, as well as the patience to search through what can often be a long \’film\’ to find the part that deals with the area in dispute. In addition, video needs to be supported by a detailed narrative to explain what is on display.
Photographs, too, are only really useful to back up a written inventory, as a photo alone can give no context and needs to state clearly the date, the time of day, and to give some idea of scale. This makes taking such photos in the first place a time-consuming practice – for little benefit.
New Technology Is Not Always The Answer
New technology can make life easier for inventory clerks. Digital recorders, for instance, make dictating and transcribing an inventory a much faster process. But video and digital cameras, although convenient, bring no such obvious benefits. For many companies, it would appear that simply because it can be done, it is assumed it should be done. No investigation is carried out into the pros and cons of following the photographic route.
Latest NES Commercial EPC Index finds only 32% of marketed commercial properties to be legal and compliant.
Latest NES Commercial EPC Index finds only 32% of marketed commercial properties to be legal and compliant.
National Energy Services have just completed the third month of their EPC Compliance Index and the results show there has been no further improvement.
The EPC Compliance Index was launched in October as a partnership between National Energy Services and Building Magazine and its objective is to track the monthly compliance with the law on EPCs in the commercial property sector.
The Index follows NES’ research in June 2009 which showed that more than 80% of commercial property agents were unable to supply a mandatory EPC for the offices or shops they were marketing for sale or rent.
Previous statistics from the NES and Building magazine Commercial EPC index:
October 2009 (index launched) – 25.3% compliant / 74.7% non-compliant
November 2009 – 32% compliant / 68% non-compliant
The third EPC Compliance Index stands at 32 meaning that 32% of the commercial properties were legal and compliant in December 2009. The other 68% did not have an EPC lodged on the Government’s official register. December’s research was of 521 commercial buildings throughout Lincoln, Northumberland, Nottingham and Hertfordshire.
All properties were individually Identifiable and have been on the market in the last 30 days.
Austin Baggett, Deputy MD of NES said “We are disappointed that the December index failed to improve on November’s results. 32% compliance on a regulation that has been fully operational for nearly a year is woeful.
“What is the point of Ed Miliband’s fighting talk at Copenhagen when we can’t even take the relatively easy step to make the carbon emissions from our commercial buildings more transparent? The industry must set a target that we will be fully compliant within 12 months. We urge the Government to take forward the 4 recommendations we made back in June.”
Beware of illegal gas fitters targeting the elderly, warns Gas Safe Register
Alarming research released by Gas Safe Register today reveals that over-65s are most at risk from rogue traders, with nearly half (42%) of the elderly population in the UK saying they have already been targeted by preying tradesman on their own doorstep.
Alarming research released by Gas Safe Register today reveals that over-65s are most at risk from rogue traders, with nearly half (42%) of the elderly population in the UK saying they have already been targeted by preying tradesman on their own doorstep.
With Age UK figures claiming that nearly 2.5 million people fell victim to scams last year, Gas Safe Register is warning older people that they might be vulnerable to unscrupulous rogues.
Worryingly, the survey carried out for Gas Safe Register found that over-65s don’t always know how to keep themselves safe from rogue traders. Only 7% think carrying an ID card is important for a tradesman; one in three (37%) would hand over cash for a job which then can’t be traced; and most are not fully aware what to do if a tradesman does a poor job in their home, with only a quarter of over-75s prepared to report substandard work to Trading Standards. One in ten older people have also had to say “no” very aggressively to get rid of fast-talking rogue traders on their door step.
The survey also identified over-75s as being particularly at risk, with many saying if the illegal gas fitter seemed polite and helpful then they wouldn’t always think twice about making further checks.
Paul Johnston, Chief Executive of Gas Safe Register, explains the dangers: “All too often our investigations team find illegal gas fitters specifically preying on the elderly, offering discounted OAP rates and using charm tactics. Many use the Gas Safe logo on their van, adverts or paperwork when they are not registered. With a quarter of a million gas jobs carried out every year by illegal gas fitters who don’t have the skills or the qualifications to work safely on gas, it is vital that older people always check that the engineer they use is on the Gas Safe Register or they could be putting their lives and pocket at risk.”
Sadly, this was the case for 70-year old widow Patricia when she needed a new boiler and central heating system last winter. She was caught out by illegal gas fitters who “sounded friendly.” Their local advert stated they were big enough to cope but small enough to care; only this wasn’t the case when they left her with a dangerous gas boiler she couldn’t use in the winter and couldn’t afford to fix after already handing them nearly £6,000.
Paul Johnston adds:
“We want to help older people understand how to keep themselves safe from illegal gas fitters and our advice is always ask to see the Gas Safe ID card before letting anyone work on your gas appliances. If you’re in any doubt, contact us immediately on our free helpline. Illegal gas work could cost you twice to rectify, or worse, it could cost you your life.”Let’s talk gas safety. Gas Safe Register’s top tips for the elderly:
Never trust a gas fitter on first impressions or recommendations alone, no matter how helpful and polite they seem – always ask for the Gas Safe Register ID card. It’s the only way you can guarantee that your engineer is legally allowed to work on your gas boiler, gas fire and gas cooker.
Check on the back of the Gas Safe Register ID that the engineer is registered for the specific type of work you need. If they’re registered to fit gas boilers, it doesn’t mean they are automatically qualified to put in a gas fire, for example.
After the gas work is done, you can nominate your home for a free gas safety check from Gas Safe Register.
If you suspect an illegal gas fitter report them to Gas Safe Register anonymously.
Gas Safe Register can help you find a local Gas Safe registered engineer. Call the free helpline on 0800 408 5500 or go to www.GasSaferRegister.co.uk