How TIF funding could boost retrofitting in the UK
The news that councils can retain business rates – and use that income to lever in new funding for housing and community regeneration projects – is very welcome. Nick Clegg and the government have an opportunity to make an impact on the major retrofitting programmes required to improve and update our existing building stock.
This is a perfect arena in which to test the government's Green Deal and localism policies, giving local councils and communities the opportunity to regenerate housing and community buildings with the extra funding that tax increment financing (TIF) will provide.
The retrofitting agenda is vast: greenhouse gas emissions have to be reduced by 80% by 2050 and all buildings have to be carbon zero by 2020. This translates to approximately 600,000 existing dwellings being retrofitted each year. If TIF funding could be used for retrofitting projects, the government could assist in the sustainability agenda, while also giving the construction industry a timely boost.
As architects, we are in the perfect position to demonstrate the value of low-carbon design and advise local councils, governments and communities on how to use the funding to carry out sustainable retrofitting. It is often the simple solutions that work best, increasing building performance and reducing running costs. I propose that future TIF funding is used in the following ways:
1. The building fabric
Upgrading the existing fabric is a good place to start; existing buildings are often poorly insulated and so overheat in the summer and are too cold in the winter. This is obviously not energy efficient. By either installing an externally insulated cladding system or internally insulating the fabric, heat loss and overheating can be reduced. Shading can be integrated to reduce solar gain, while green roofs or walls can be added to help with insulation, water attenuation and biodiversity.
Another element to the fabric of the building is its airtightness; a leaky building will let heat escape. Building regulations are increasingly strict on this, and buildings will have to prove their level of airtightness as part of a performance assessment. Membranes can be applied internally and double-glazed windows can be installed to achieve a good standard.
2. Renewable strategies
After the fabric has been upgraded, other technologies, such as solar thermal panels and heat storage, can be employed. Here the sun is used to heat water, which can be stored and used for heating and hot water. This is a very effective way of reducing heating bills by using a renewable energy source. If the building is made airtight, then mechanically ventilated heat recovery could be used, along with smart meters, to monitor energy usage. Waste heat from bathrooms and kitchens is mixed with fresh air and redistributed back into the building, again saving energy.
Rainwater collection systems can also be installed. These can be used for irrigation or flushing toilets with a combination of rain and grey water. Local council grants for renewable methods and upgrading existing properties should be encouraged – perhaps TIF funding could be used to provide these grants.
As an incentive, businesses that fail to upgrade sustainably should face an increased business rate, a tax that helps fund the retrofit agenda. The TIF legislation proposal could be an opportunity to assist with achieving the goals of carbon-neutral retrofitting, but also to enable the government, local councils and communities to take responsibility for their environments and a sustainable future – a true form of localism.
Nick Willson is director of Nick Willson Architects.
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