Households across the UK suffering from persistent damp and mould are being advised to check their doormats for a crucial letter from the energy regulator, Ofgem. The National Residential Landlords Association (NRLA) is urging tenants to be vigilant and to inform their landlords the moment the correspondence arrives.
Why the Letters Are Being Sent
The letters are being dispatched to properties that had energy efficiency improvements carried out under the government's Energy Company Obligation (ECO) scheme. A damning report from the National Audit Office (NAO) has revealed that 98% of homes fitted with external wall insulation under the ECO4 scheme require remedial work. These faults are serious and are directly linked to causing damp and mould problems within the properties.
Despite the scale of the issue, the government has not yet set out a clear timeline for fixing the affected homes. This is particularly pressing as Chancellor Rachel Reeves confirmed in the Autumn Budget that the ECO scheme will be terminated in March 2026. The cost of rectifying the faults is estimated to be substantial, ranging from £250 to a staggering £18,000 per property.
The Funding Cliff Edge and Industry Backlash
The ECO scheme is set to be replaced by the government's new Warm Homes Plan. While this initiative has been welcomed in principle, its abrupt implementation has sparked significant criticism from industry experts. Anna Moore, CEO of retrofit consultancy Domna, labelled the sudden withdrawal of £1.3 billion in funding as "chaotic", creating a dangerous cliff edge for both low-income households and small businesses.
"With fuel poverty growing and business under pressure, it beggars belief that a successful scheme funnelling utility firm funding to the poorest households in society should be brutally cut," Moore stated. She argued that this move contradicts the government's stated values of tackling poverty and climate change, risking the loss of a skilled workforce built over a decade.
Calls for an Orderly Transition
Moore and others in the sector are calling for urgent clarity and continuity. They propose a one-year extension of the ECO scheme to allow for an orderly transition while the Warm Homes Plan is finalised and tested. Without this bridge, they warn the entire energy efficiency sector could collapse in March 2026, undermining the UK's efforts to upgrade its ageing housing stock and fight climate change.
For now, the immediate priority for tenants in potentially affected homes is clear: check for the Ofgem letter and alert your landlord without delay. The NRLA stresses this is a vital step to ensure necessary repairs are identified and addressed.
