Councils seek fire-safe and resilient heat network regulations

The Local Government Association (LGA) has responded to the government’s consultation on heat network regulation, highlighting concerns about fire safety, consumer protection, and the ability of councils to comply with multiple regulatory demands.

The LGA, which represents councils across England and Wales, supports the principle of consumer protection within heat network regulation but warns that any new rules must be realistic and achievable for local authorities already managing existing building safety requirements.

It stresses that fire safety must be a priority in heat network oversight to prevent the risk of unsafe infrastructure.

Social housing providers, which manage the majority of the UK’s heat networks, are already navigating stringent fire safety and building compliance regulations, including cladding remediation, the new requirements under Awaab’s Law, and wider building safety legislation.

The LGA warns that additional administrative burdens and financial pressures from heat network regulations could divert critical resources away from fire prevention and building safety improvements.

Impact on social housing and consumer protection

The LGA states that social housing providers already comply with regulations under the Regulator for Social Housing and urges that new heat network rules complement existing requirements rather than duplicating them.

It warns that unnecessary administrative costs could lead to poor outcomes for both the sector and residents.

Social housing providers, including local authorities and housing associations, manage approximately two-thirds of the UK’s heat networks.

Many of these networks suffer from inefficiencies due to poor design, development, and commissioning.

The LGA stresses that future regulations must reflect these operational realities to prevent increased costs for consumers.

Challenges for leaseholders and billing transparency

The LGA highlights concerns that many leaseholders experience high heating costs without a corresponding improvement in service or efficiency.

It calls for regulatory measures to ensure fair cost distribution and greater transparency in billing structures.

Billing accuracy is also a major issue, with problems such as incorrect meter readings and unclear billing practices leading to a loss of trust in heat networks.

While the proposed regulations reference metering requirements, the LGA argues that stronger standards are needed to ensure billing accuracy and transparency.

Financial strain and funding needs

The LGA warns that rising costs and increasing financial pressures are putting local authorities’ housing budgets at risk.

It calls for ringfenced funding to help councils implement the regulatory changes without impacting essential services or the development of new affordable housing.

It also advocates for a long-term financial settlement, including a minimum ten-year CPI+1% rent settlement and the reintroduction of rent convergence.

The LGA argues that additional funding beyond rent increases will be necessary to cover regulatory compliance, minimum energy efficiency standards, building safety measures, and Awaab’s Law, which mandates timely repairs for housing hazards.

LGA raises fire safety and resilience concerns in heat network regulation consultation: Summary

The Local Government Association (LGA) has submitted its response to the government’s consultation on heat network regulation, supporting consumer protection measures but warning against excessive regulatory costs.

It highlights the need for regulations to align with existing compliance requirements for social housing rather than adding administrative burdens.

The LGA emphasises that social housing providers manage the majority of the UK’s heat networks, many of which face efficiency and reliability challenges.

It calls for transparent billing, fair cost distribution, and stronger metering requirements.

Financial concerns are a key issue, with councils already facing rising costs and budget pressures.

The LGA advocates for dedicated funding to support the implementation of new regulations and urges a long-term financial settlement to sustain housing budgets.

It also calls for clearer communication and engagement with housing providers as the regulatory framework develops.

In addition, the LGA stresses that heat network regulation must align with fire safety and building safety standards to prevent unsafe infrastructure and ensure resources are not diverted from critical fire protection measures.