Social housing net zero standard: consultation

4. Applying the SHNZS to Mixed Tenure Housing

4.1.1 Existing work by local authorities on heat networks and Local Heat and Energy Efficiency Strategies^[33] is already considering routes to decarbonise heating for flats and tenements.

4.1.2 Around 54% of social rented homes are flats^[34], a figure which is higher for RSLs (62% flats) than local authorities (49%)^[35]. Many flats are in buildings where the social landlord is only one owner among others, including private landlords and owner occupiers. As outlined in Section 3.5 on Exemptions, one of the barriers social landlords face is cooperation between owners to carry out common works. Common works to improve houses usually require the consent of all the owners, though work to install insulation can often be done by a majority decision^[36].

4.1.3 There are longstanding concerns about the challenges of undertaking communal work in flats and tenements, where there can be a mix of owners and tenures. These issues have been considered by the Parliamentary Working Group on Tenement Maintenance and the reformed Tenement Working Group^{[37], [38]}. The independently chaired Tenements Short Life Working Group, including representatives from a variety of local authorities, has also looked at the challenges faced in undertaking work in flats and tenements. Their Final Report has been published and we welcome views on its recommendations.

4.1.4 To date, major retrofit work for whole blocks of flats and tenements has tended to be led by local authorities and RSLs, as a sole or majority owner. The Tenements (Scotland) Act 2004 improved the position in relation to the undertaking of communal work to flats and tenements. However, we recognise that further legislative improvements may be required so that flats and tenements in mixed tenure or mixed ownership blocks can be routinely maintained to a good standard and appropriate improvements can be undertaken.

4.1.5 The Scottish Government already provides advice and funding to owner occupiers and the private rented sector (PRS), to improve their energy efficiency and decarbonise heating. We are also interested in better understanding the work undertaken and challenges faced by owner occupiers and PRS landlords with communal works.

4.1.6 In order to support all owners of flats and tenements we are undertaking a range of work including:

• work to develop a whole building assessment methodology which would look at energy efficiency and clean heating options as block assets. This could provide options for different clean heating system types and their suitability for individual flat and communal block asset solutions.
• Inviting the Scottish Law Commission to develop proposals for compulsory owner associations^[39].

4.1.7 In relation to other tenures, namely the owner occupier sector and the PRS, Annex B sets out proposals in the planned HiB Bill consultation.

4.1.8 Taking account of the fact that there are many flats and tenements where there is not a sole or majority owner, the Tenements Short Life Working Group Final Report recommended that a phased approach be taken. This would require work on the energy efficiency of individual premises in the first phase, and work on energy efficiency measures and clean heating options across a variety of individual homes required in a second phase. This would allow time for any improvements to the legislation around communal repairs and development of assessment methodologies that cover whole buildings.

Consultation Questions: Mixed Tenure Housing

15. To what extent do you agree that the new SHNZS should apply to mixed tenure properties?

Strongly agree – Somewhat agree – Neither agree nor disagree – Somewhat disagree – Strongly disagree – Don’t know.

Please include any additional comments below

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16. Do you agree that for some blocks where the local authority or RSL is not a sole or majority owner, then a phased approach to retrofit work should be undertaken?

Strongly agree – Somewhat agree – Neither agree nor disagree – Somewhat disagree – Strongly disagree – Don’t know.

Please include any additional comments below.

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