Councils need ‘stronger steer’ on net zero from government

Local authorities need a “stronger steer” from central government on their roles and responsibilities in achieving net zero emissions, as well as the “powers and funding” to fulfil them.

In a new report, the Housing, Communities and Local Government Committee said the UK will “struggle” to meet the target unless they work together to deliver solutions tailored to local circumstances.

“Local authorities will be particularly important to ensuring a just transition to net zero, since no layer of government is closer to people or better able to tailor climate action to meet the needs of local communities,” it argued.

“Only by harnessing local government can central government deliver a just transition that benefits all communities. Without that just transition, the government will struggle to persuade the public to make the necessary changes.”

The report welcomed the commitment in the government’s recently released Net Zero Strategy to clarify the relationship between itself and local authorities and improve coordination between different levels of government.

However, the committee said it “remains to be seen” whether this amounts to the “comprehensive net zero delivery framework called for by the Climate Change Committee.”

The report urged the government to immediately begin consulting with local authorities on the contents of such a framework, which it said should “strike a careful balance between clarifying the expectations on local authorities and leaving them free to determine what climate action is most appropriate in their areas.”

With regards to funding, the committee said overall levels have increased in recent years, “but much of it remains short term and is allocated through competitive bidding processes, which are expensive and burdensome and make it difficult for councils to plan for the long term.”

It called for the government to create a funding plan for councils than gives them the “confidence and ability” to plan for the long term, including by making good on its commitment in the Net Zero Strategy to simplify and consolidate a number of funding streams.

The committee said the technical consultation on the Future Homes Standard, which will ensure new homes are built with 75-80% lower carbon emission from 2025, should take place in 2022 rather than 2023 to enable the relevant legislation to brought forward to as soon as possible. It should also consider setting a target of building zero carbon homes from 2030.

The report said the planning system can also support the transition to net zero but planning authorities will require the necessary skills and resources to devise and monitor effective decarbonisation policies, calling for £500 million to be invested into the planning system over four years.

It said the net zero target should be given a central role in the National Planning Policy Framework and the proposals in the Planning White Paper for local authorities to have a statutory responsibility to produce a local plan should also include a requirement for the plan to address carbon emissions.

The committee welcomed the £3.9 billion of funding, including the Boiler Upgrade Scheme, to retrofit existing homes that was outlined in the Heat and Buildings Strategy but said there needs to be more certainty about funding beyond 2025. It said the government should consider offering tax incentives, including lower VAT, stamp duty and council tax, for energy efficient measures and homes.

It said the Boiler Upgrade Scheme will fund 90,000 additional heat pumps at most and noted that there is seemingly no role for local authorities in its delivery. It said future funding schemes should: give local authorities a major role; allocate funding without competitive bidding; be adapted to different types of housing and income groups; be long-term in duration to provide certainty for the public and suppliers; and be clear and easily accessible.

The report raised concerns over the absence of a requirement to replace gas boilers that have ceased working with a low-carbon heating system until 2035, saying this risks a large number of existing boilers being replaced with new ones.

Clive Betts, chair of the Housing, Communities and Local Government Committee, said: “The government must learn the lessons of past failed nationally delivered ‘green’ schemes. Schemes should be delivered in partnership with local councils who are trusted by their communities and who can provide the organisation, advice and promotion which will be vital in raising people’s understanding about the changes taking place.”

He added: “The government needs to work with local government on producing a delivery framework to achieve net zero, clearly setting out the relative roles and responsibilities of both local and central government. To meet the scale of the challenge and enable local councils to make long-term decisions on behalf of their communities, the government should also come forward with a long-term funding plan for local authority climate action.”