Our key findings for greener homes
Green home improvements index
Data collected in the second half of 2023 shows that homeowners have rowed back on plans to make improvements to the environmental sustainability of their property. Looking across the next ten years, the proportion of homeowners planning to make improvements fell from an average of 67% in H2 2022 to 64%. Meanwhile, at 20%, short-term plans are now at their lowest for two years, and even trended downwards during the second half of 2023.
Energy performance certificate (EPC) ranking
A property's energy efficiency has become slightly less important to prospective homebuyers relative to other factors in the past year. Ranked by the proportion of respondents that answered "very important", a property's Energy Performance Certificate (EPC) rating was tenth out of the 12 factors surveyed in the three months to December. 39% of those looking to purchase a property in the next ten years said it was "very important", down from a peak of 41% in Q4 2022.
Energy efficient home improvements
With homeowners' budgets under pressure from inflation and rising mortgage rates, the past year has a seen a reduction in the proportion planning to make improvements to the environmental sustainability of their property, with our latest survey finding that the cost of the work required remains the number one barrier.
In the context of the support being offered for consumers to shift away from fossil fuels, over half of consumers said the UK Government was moving too slowly to aid the transition.
Decrease in homeowners planning green home improvements
Around one-in-five homeowners reported plans to make improvements to the environmental sustainability of their property in the next 12 months, data collected in the six months to December showed. This was down from 23% in H2 2022 and the lowest since the second half of 2021. Similarly, the proportion with plans for improvements in the next 1-5 years has also fallen since H2 2022, down from 33% to 32%.
Upfront costs are the most common barrier to starting green home improvements
The most common barrier was the cost of the work required. Among those that stated so, around two-thirds (67%) said the upfront cost was simply too expensive, data collected in Q4 showed. Although home improvement loans give homeowners the option to spread payments over time, many were reluctant to take on debt to fund the work (55%). Another common reason why cost was a barrier was that it takes too long for the savings on energy bills to offset the initial outlay (37%).
Our greener homes retrofit project
We teamed up with British Gas and Worcester Bosch to cover the cost of home retrofits for nine of our customers, with co-ordination help from Quidos. We followed our customers through every stage of their retrofit journey - from start to finish - and we're now sharing it all with you.
Homebuyer preferences
A property's energy efficiency continues to rank as a low priority among prospective homebuyers, paling in comparison to cost and location. Nevertheless, there is still great importance placed on the likes of double glazing and loft insulation.
The majority of renters expect to pay more in rent in the next year, of which many believe that their landlords should make sustainable home improvements to offset the rise.
How much are households spending on their enery bills?
We asked households how much they typically spend per month on energy bills. Of those that reported having both mains gas and mains electricity, 23% answered between £100-£149, which equates to £1,200-£1,788 per year. The next most common answer, at 18%, was between £150-£199 (£1,800-£2,388 per year).
What are the most commonly practised green lifestyle choices?
Minimising food waste remained the most commonly practised green lifestyle choice among those surveyed in the second half of 2023, with 71% of respondents stating that they do so. Close behind was minimising home energy use (65% in H2), where the proportion was up slightly from the second half of 2022.
More people are opting to use public transport
The green lifestyle choices that have gained the most traction in the past year are regular use of public transport (29% in H2 up from 25% in H2 2022) and regular recycling of clothing i.e. either buying or selling second-hand, or gifting (48% in H2 up from 46% in H2 2022). Conversely, fewer are considering the environment when making their dietary choices.
The NatWest Home Energy Hub
We’ve launched a one-stop shop to help homeowners create a more energy-efficient home - the NatWest Home Energy Hub:
- Get a free Home Energy Plan tool to help get started.
- Find out about Energy Performance Certificate ratings (EPCs), get tips on managing energy use and how they could reduce costs.
- Discover ways that could improve home energy efficiency online or with a visit from an energy expert at a discounted rate.
- Find out how much any changes could cost and the benefits of energy-efficiency home improvements.
- Connect with experts and trustworthy tradespeople who can do the work.
- Explore various funding options including grants and or find out how NatWest could help.
Download the Greener Homes Attitude Tracker - January 2024
You can download a pdf version of the full report, save and share by using the link below.
Previous reports
The NatWest Greener Homes Attitude Tracker survey was first conducted in May 2021 and is compiled by S&P Global. The survey is based on monthly responses from 1,500 individuals in the UK, with data collected by Ipsos MORI from its panel of respondents aged 18-64. The survey sample reflects the true composition of the population to ensure the accuracy of the survey results.