The EPC gap between houses and flats is widening. A typical 3-bed semi can now hit a C rating with a £5,000 heat pump grant and roof solar. But the 4.5 million households in UK flats are locked out of these same savings, not by choice, but by planning law, grid rules, and the sheer logistics of a shared roof.
As reported by Bloomberg, apartment owners are being left behind in the green tech revolution. The article highlights how planning permissions for roof-mounted solar on blocks of flats are routinely refused, and heat pump installations are stymied by a lack of outdoor space and noise regulations. The result: a two-tier system where houses decarbonise while flats stagnate.
Who qualifies, and who doesn’t
Ofgem confirmed to Axiom that the Boiler Upgrade Scheme is available to flats, but only if the property has a suitable outdoor area for an air-source heat pump. For a ground-floor flat with a garden, that’s feasible. For a fourth-floor balcony flat, it’s not. The grant covers £7,500 of the installation cost, but installers report that many flats need structural surveys and landlord consent, adding £500-£1,000 before the job even starts.
Solar panels face a similar hurdle. A typical 4kW system costs £6,000-£8,000 for a house. For a flat, the cost per household can be £3,000-£4,000 in a shared scheme, but only if 75% of leaseholders agree. The Energy Saving Trust estimates that only 12% of UK flats have a communal solar installation, versus 45% of houses with individual panels.
What it costs a typical flat
The average flat in England uses 8,500 kWh of electricity and 6,000 kWh of gas per year. Without green tech, the annual bill is around £1,650 at current price cap rates. A heat pump can cut that to £1,100, a saving of £550 a year. But the upfront cost, after grant, is still £3,000-£5,000, and many flats need a new hot water cylinder (£1,500-£2,000) and radiator upgrades (£1,000-£2,000). The payback period stretches to 8-12 years, versus 5-7 for a house with a garden.
EPC ratings compound the problem. Three-quarters of flats rated D or below in England and Wales. From 2028, landlords cannot let properties below EPC C, a rule that will hit 1.2 million flat owners. Without access to cheap green tech, they face either costly fabric upgrades (wall insulation, double glazing) or selling up.
The catch, and what the government is doing
But the government’s own figures show a mismatch. The Social Housing Decarbonisation Fund prioritises houses over flats because the cost per property is lower. Meanwhile, the Grid Capacity Register shows that 40% of urban substations are at capacity, meaning new heat pumps in flats could overload local networks. National Grid’s latest plan allocates £8bn for grid upgrades, but most of that goes to rural and suburban areas.
What this misses is the shared ownership model. In Scotland, the Heat Networks (Scotland) Act 2021 mandates that new developments include communal heat pumps. In England, the Future Homes Standard 2025 will require new flats to be heat-pump ready, but says nothing about retrofitting existing blocks. The London Borough of Camden has trialled a communal solar scheme on 200 flats, cutting bills by 25%, but only 12 councils have similar programmes.
What you can do now
If you own a flat, check your lease for clauses on alterations. The Leasehold Reform Act 2024 gives you the right to make energy efficiency improvements unless the landlord can prove they cause harm. Contact your building’s management company about a shared solar scheme, the Solar Energy UK trade body has a list of accredited installers.
For heat pumps, look at the Octopus Energy Cosy tariff, which offers a £500 discount on a heat pump for flats with outdoor space. If you rent, ask your landlord about the Landlord’s Energy Saving Allowance, which covers £1,500 per property for insulation and draught-proofing. Applications for the Boiler Upgrade Scheme close when the £450m fund runs out, typically within 6-9 months of each allocation round.
Frequently Asked Questions
Yes, but you need landlord permission. The Leasehold Reform Act 2024 allows you to request energy efficiency improvements, and the landlord cannot unreasonably refuse. If you own the flat, check your lease for restrictions on roof access.
Modern air-source heat pumps produce 40-50 dB at 1 metre, similar to a fridge. The Microgeneration Certification Scheme requires installers to place them at least 1 metre from a neighbour's window. For flats, a balcony or roof mounting often works, but check local planning rules.
