A recent report shows new build owners save over £2,000 on household bills each year compared to older properties

Despite the government’s price cap freeze in December, energy costs have risen 80% this year, leaving more than 6.7 million homes in fuel poverty.

According to the Home Builders Federation’s (HBF) recent ‘Greener, Cleaner, Cheaper’ report, 576,000 tonnes of carbon emissions could be saved by purchasing a sustainable new build home over an older, less energy-efficient property.

A development of 3,000 homes, Glenvale Park is a thriving new neighbourhood in Wellingborough, offering more sustainable new homes alongside a range of amenities and exceptional green spaces.

Glenvale’s developers – which include Taylor Wimpey, Barratt Homes, Lagan Homes, Persimmon, and Keepmoat – have implemented a range of measures such as better insulation and modern heating systems, to improve energy efficiency and deliver improved EPC ratings.

Based on recent energy prices, new build homes will cost £1,500 to run a year. Although higher than last year, the figure is just 42% of the average cost of an existing dwelling, which would be up to £3,567 per year based on recent prices.

Nationwide, it’s estimated new build owners are collectively saving over £500 million a year in running costs when compared to older properties, and with further increases predicted for January 2023, the discrepancy will likely widen.

We explore why new build homes are proving to be more energy efficient for homebuyers…

Improved Energy ratings

New build homes tend to carry much higher EPC ratings than existing dwellings. For the dwellings logged in the 12 months to September 2021, around 84% of new builds are rated A-B for energy efficiency, while just 3% of existing properties reached the same standard.

Not only does this allow homeowners to save money, but it also helps them get a lower-interest mortgage. The Clean Growth Strategy was introduced in 2017, with the ambition to cut greenhouse gas emissions. As part of this, its goal was for homes to achieve an EPC band C by 2025. As a result, mortgage lenders will soon be deterred from having underperforming EPC-rated homes on their loan books.

Reduction in household bills

With higher energy efficiency standards now in place, just how much can be saved on utility costs overall?

Heating costs saw the biggest discrepancy between the two types of property – for owners of an older home, heating bills were £666 per dwelling a year on average.

For new build homes, heating bills were 59% cheaper, costing an average of £271 over the 12 months – a total saving of £395. The data also showed that homeowners in existing properties paid an average of £82 a year for lighting and £141 a year for hot water, as compared to new build homeowners who paid an average of £70 and £113 respectively.

In total, the yearly bill for owners of older properties was £890, almost twice as much as the annual bill for a new homeowner, which was £455.

With the energy price cap now set to be reviewed every three months and further increases predicted for January 2023, these bills, and the savings that more energy-efficient properties see, are likely to grow further.

Reduced carbon footprint

In addition to new build properties being better for your pocket, they’re also better for the environment.

As households in the UK account for more than 20 per cent of greenhouse gas emissions each year, the housebuilding industry plays an important role in contributing to the UK’s efforts to reduce emissions and in achieving progress towards net zero.

HBF’s report found that through more energy-efficient builds, 2.38 tonnes of carbon are being saved per new build house, per year, when compared with the average property.

Overall, houses are the biggest energy-saver, with 64 per cent lower carbon emissions than older properties of their type. 

With the rising energy costs and the impact of climate change, it is an ideal time to think about whether a new build property is right for you and your future.

See what sustainable, community-led living looks like at Glenvale Park:

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