IPEC Research

Retrofitting Social Housing in the West Midlands Combined Authority (WMCA) Area

January 30, 2025

Authors

Annum Rafique
City-REDI, University of Birmingham

The UK is at a critical point in its transition to a net-zero future, with one of the most urgent challenges being the retrofitting of social housing to transform them into energy-efficient, low-carbon homes to meet the 2050 net-zero targets. While the benefits of this transition are apparent (lower emissions, higher living standards, and cheaper energy prices), attaining it will necessitate overcoming numerous barriers. Public procurement is at the heart of this challenge: the mechanism through which funding is secured for projects, quality is maintained, and key stakeholders are aligned.

This research brief explores the procurement barriers associated with retrofitting social housing in the West Midlands Combined Authority (WMCA) area and the innovative solutions and initiatives used to overcome them. Key barriers, such as financial constraints, quality assurance concerns, and coordination complexity, are examined alongside actionable solutions implemented in the area. The WMCA area serves as a good example of how to address the intricacies of retrofitting at scale. Securing funding through initiatives such as the Social Housing Decarbonisation Fund (SHDF), as well as collaborations with industry and academia, has allowed local and regional governments in the WMCA area to address funding constraints, ensure quality assurance, and develop a skilled workforce capable of driving low-carbon transitions.

By fostering collaboration and embracing innovative procurement approaches, the area is transforming challenges into opportunities, setting a benchmark for progress in the housing sector. By leveraging these strategies, policymakers, researchers, and stakeholders can accelerate the transition to energy-efficient social housing.

Key Points from the Brief:

Retrofitting Challenges: Financial constraints, quality assurance issues, and stakeholder coordination complexities hinder large-scale retrofitting efforts for social housing.
WMCA’s Achievements: The region has upgraded over 2,600 homes under the SHDF and secured £700 million since 2018 to support retrofitting initiatives.
Role of Procurement: Innovative procurement strategies are essential for overcoming barriers, driving cost efficiency, and fostering market innovation.
Net-Zero Approach: WMCA integrates retrofitting with broader initiatives like Net Zero Neighbourhoods and Energy Capital to maximise impact.
Future Focus: The study will develop best practices and analyse economic impacts to support efficient, scalable, and sustainable retrofit solutions