New 'Green Homes Service' will be established to help cut homes' carbon emissions

Homebuyers will in future benefit from A-G energy ratings which will help them to cut their fuel bills and carbon emissions and first time buyers will see their upfront costs drop, with the completion of the roll-out of Home Information Packs and Energy Performance Certificates.

Buyers whose homes score poor energy ratings of F or G (currently around one-fifth of all homes) will receive an offer of a discount or free help with energy efficiency measures from the Green Homes Service which will be established, helping to save hundreds of pounds off fuel bills.

Before completing the roll out, the Government commissioned independent economic research and advice to analyse the impact of HIPs for three and four bedroom homes and its interaction with current market conditions.

The report found no evidence of any impact on transactions, prices or mortgages, and the advice concluded that there were strong arguments for rolling out as planned, and further delay could cause greater uncertainties.

HIPs benefit buyers, particularly first time buyers, who get important information for free, such as searches, which previously they would have had to pay for. They have also helped cut the cost of searches, with more than 85 local authorities reducing their prices. By providing information at the beginning of the process, HIPs can help to cut delays, and increase transparency and competition.