The Future of UK Homes: Sustainable Living and Property Value.

By the time the Future Homes Standard finally takes full effect in 2028, hundreds of thousands of new homes will already have been built with gas boilers instead of heat pumps. That’s not a prediction — it’s the direct consequence of a government delay that pushes the mandatory start date back by another year, despite an energy crisis and a legally binding net-zero target. For anyone buying a new-build home between now and early 2028, the risk is real: you could end up locked into a heating system that costs more to run and is already being phased out everywhere else.

75%
Lower carbon emissions required from new homes under the Future Homes Standard vs 2013 rules
gov.uk

£1,000
Estimated annual energy bill savings for households in FHS-compliant homes
MCS Foundation

4,000
New-build homes fitted with heat pumps in the last recorded year, out of ~140,000 total
MCS Foundation

2028
Year the Future Homes Standard will apply to all new homes in England
gov.uk

I’ve been writing about UK housing policy for long enough to notice a pattern: every time a meaningful energy standard gets close to becoming law, it gets watered down or pushed back. The Future Homes Standard was supposed to arrive years ago. It was originally meant to replace a zero-carbon homes commitment from the last Labour government, which David Cameron scrapped back in 2015. Now, after more than a decade of consultations and delays, the final regulations are here — but they still don’t apply until 2028, and they still contain loopholes that could undermine the whole thing. Here’s what you actually need to know.

Heat pumps become mandatory in new builds
Gas boilers won’t meet the carbon targets. Every new home will need a heat pump or equivalent low-carbon heating system.

Solar panels required on most new roofs
Developers must install PV panels covering 40% of the ground-floor area, though exceptions exist that could reduce that.

Better insulation and fabric performance
External wall U-values drop from 0.26 to 0.15 W/m²K under the new notional specification — a significant improvement.

Wood-burning stoves still allowed
A loophole means highly polluting stoves can be installed in new homes, potentially accounting for a chunk of the remaining emissions.

What the Future Homes Standard actually means for new homes

The most important thing to understand is that the Future Homes Standard doesn’t ban gas boilers by name. Instead, it sets carbon emission targets so tight that no fossil fuel heating system can meet them. That’s a subtle but meaningful distinction — it means the regulation is technology-neutral on paper, but in practice it forces builders to install heat pumps, solar panels, and much better insulation. The target is a 75% reduction in carbon emissions compared to homes built to the 2013 standards, which is a huge jump from the 30% reduction required under the 2021 rules.

Future Homes Standard (FHS)
The 2026 update to Part L of the Building Regulations for England, published in March 2026 and coming into force in March 2027. It mandates that all new homes produce at least 75% lower carbon emissions than 2013 standards, effectively requiring heat pumps, solar PV, and significantly improved building fabric.

What I’d do if I were buying a new home right now: I’d check whether the developer is building to the new standard voluntarily or sticking with the old gas boiler approach until the deadline forces them to switch. Some builders are already ahead of the curve, but many will delay until the last possible moment. The difference in running costs is substantial — households should save about £1,000 a year on energy bills in an FHS-compliant home, according to the MCS Foundation.

Why the delay matters for buyers and homeowners

The government originally planned to bring the Future Homes Standard into force next year. Instead, it pushed the date back to March 2027 for the regulations to take effect, with full compliance required from 2028. That extra year means thousands more homes will be built with gas heating — homes that will be more expensive to run and harder to sell when the market starts pricing in energy performance.

Consider this: in the last recorded year, only 4,000 new-build homes were equipped with heat pumps out of roughly 140,000 built. That’s less than 3%. By the time the standard kicks in, we’re talking about hundreds of thousands of homes that will need retrofitting if the owner wants to avoid high gas bills or future carbon taxes.

There’s also a regional angle worth noting. The Future Homes Standard applies only to England. Scotland, Wales, and Northern Ireland have their own building regulations, and they’re moving at different speeds. If you’re buying in England, you’re getting the most delayed version of low-carbon housing policy in the UK — which is ironic given that England builds the most homes.

The cost of delay
Every year the Future Homes Standard is pushed back, roughly 140,000 new homes are built with gas boilers instead of heat pumps. At £1,000 per year in extra energy costs, that’s £140 million in unnecessary household spending annually — money that could have been saved with better regulation.

What I notice most is the frustration from experts who’ve been watching this for years. Jan Rosenow, a professor of energy at Oxford, put it bluntly: “Another two years of this really should not be happening. We are in a war, and a most severe energy crisis.” He’s right. The technology exists, the cost savings are clear, and the only thing holding things back is political will.

Where the new rules fall short — and what to watch for

The Future Homes Standard is a genuine improvement, but it’s not the silver bullet it could have been. There are several gaps that could leave homeowners exposed if they’re not paying attention.

The wood-burning stove loophole

Wood-burning stoves are highly polluting and not carbon-neutral in the short or medium term, yet they’re still allowed in new homes under the FHS. Housing experts have pointed out that these stoves could account for a significant portion of the remaining 25% of emissions that the standard doesn’t eliminate. If you’re buying a new home with a wood burner, you’re essentially paying for a feature that undermines the whole point of the low-carbon design — and you might face higher energy costs if you actually use it.

Solar panel exceptions that reduce coverage

The standard says houses should have solar panels covering 40% of the ground-floor area, but there are exceptions for shading, orientation, and other constraints. Builders can get away with installing less if they argue it’s not “feasible.” That’s a loophole big enough to drive a housing development through. Jess Ralston, head of energy at the Energy and Climate Intelligence Unit, warned that housebuilders may try to reach the new standards as cheaply as possible, pushing costs onto homeowners later.

Hydrogen for home heating remains undecided

The government refused to rule out hydrogen for home heating in the FHS, despite years of evidence showing it’s not economically viable. That leaves the door open for future policy uncertainty — and for builders to claim they’re “hydrogen-ready” as a marketing gimmick rather than a genuine solution. If you see a new home advertised as hydrogen-ready, treat it with scepticism. The technology isn’t coming to residential heating at scale.

→ Scroll right to see all columns

Source: Home Energy Model analysis
ElementPart L 2021 (Current)FHS Notional (HEM)
External walls0.26 W/m²K0.15 W/m²K
Ground floor0.11 W/m²K0.13 W/m²K
Roof0.16 W/m²KNot specified
Heating systemGas boiler allowedHeat pump required
Solar PVNot mandatory40% of ground-floor area

What I’d do if I were buying off-plan: ask the developer for the predicted energy performance certificate rating and the estimated annual running cost. If they can’t give you a clear answer, that’s a red flag. A property lawyer can also review the contract to see if there are any clauses that let the builder substitute lower-spec materials or systems.

How to protect yourself when buying a new home before 2028

Writing about topics like this takes real time and research. If you buy something through an Amazon link on this page, I may earn a small commission — at no extra cost to you. It’s one of the things that makes it possible to keep BritWealth free to read. I only link to products that are genuinely relevant to the article.

Check whether the developer is building to FHS standards early

Some developers are already building to the new standard voluntarily, especially on higher-end projects. Ask directly: “Is this home being built to Future Homes Standard specifications?” If the answer is no, you’re looking at a home with a gas boiler, less insulation, and no solar panels — which means higher bills and potentially lower resale value. The difference in fabric performance alone is significant: external walls under the FHS notional specification drop from 0.26 to 0.15 W/m²K, which means far less heat loss.

Understand the running cost difference

The FHS Impact Assessment notes that bill savings compared to a 2021-standard new build may be marginal in some cases, because electricity costs about four times more per unit than gas. However, heat pumps are roughly three to four times more efficient than gas boilers, so the overall cost should still be lower — and you won’t pay the gas standing charge. If you’re comparing two similar homes, one with a heat pump and one with a gas boiler, ask for the estimated annual energy cost in writing.

Consider retrofitting if you’re buying an existing home

If you’re not buying new, the Future Homes Standard doesn’t affect you directly — gas boiler replacements remain legal in existing properties. But the direction of travel is clear. Carbon taxes on gas are likely to rise, and homes with poor energy performance will become harder to sell. A smart thermostat compatible with heat pumps is a relatively cheap upgrade that can help you manage energy use more effectively, even if you’re not ready to replace your boiler yet.

Plug-in solar panels are coming to the UK

One underreported change in the FHS is that “plug-in” solar panels — the kind you can install on a balcony or in a garden — will become available to buy in the UK within months. These are common in Germany but were previously banned here. If you’re a renter or live in a flat, this could be a game-changer. You won’t get the full 40% coverage of a roof-mounted system, but even a small plug-in panel can offset some of your electricity use.

  • 1
    Ask the developer for the SAP or HEM calculation
    This is the official energy performance assessment. If they can’t provide it, or if it shows a gas boiler, you know the home isn’t built to FHS standards.

  • 2
    Compare the estimated running costs
    Ask for the predicted annual energy bill in writing. Compare it to a similar-sized FHS-compliant home. The difference could be hundreds of pounds per year.

  • 3
    Check for solar panel coverage and exceptions
    If the developer claims an exception to the 40% rule, ask why. Shading and orientation are valid reasons, but some builders may use them to cut costs.

  • 4
    Review the contract with a property lawyer
    A real estate lawyer can spot clauses that let the builder substitute lower-spec materials or avoid energy performance guarantees.

Frequently asked questions

Does the Future Homes Standard apply to existing homes?
No. The FHS only applies to new homes built after the regulations come into force. Gas boiler replacements in existing properties remain legal, and there’s no requirement to retrofit heat pumps or solar panels.
Can I still buy a new home with a gas boiler after 2028?
Technically yes, but only if the builder can prove the home meets the carbon targets through other measures. In practice, that’s nearly impossible — the targets are set so that fossil fuel heating can’t comply.
Will my energy bills really be £1,000 lower in an FHS home?
That’s the estimate from the MCS Foundation, but actual savings depend on energy prices, usage patterns, and how well the heat pump is installed. The FHS Impact Assessment notes that savings vs a 2021-standard home may be smaller in some cases.
What happens if my developer uses the solar panel exception?
You’ll get fewer panels than the 40% standard, which means less free electricity and higher bills. Ask for the specific reason in writing. If it’s a valid constraint like heavy shading, there’s not much you can do — but you’ll know what you’re getting.
Are wood-burning stoves banned in new FHS homes?
No. They’re still allowed, despite being highly polluting and not carbon-neutral. If you’re concerned about emissions or future regulations, you might want to avoid buying a new home with a wood burner installed.
Can I install plug-in solar panels on my balcony now?
Not yet, but the government has confirmed they’ll become available in the UK within months. They’re already common in Germany and could be a useful option for renters or flat owners who can’t install roof-mounted panels.

The Future Homes Standard is a genuine step forward, but the delays and loopholes mean you can’t assume every new home is built to the best possible standard. If you’re buying before 2028, ask the hard questions now — or you could be stuck with a home that costs more to run and is harder to sell. If this was useful, you might also want to read Is the UK real estate market becoming too expensive for young buyers?

Sources and Further Reading

The rise of co-living: a generational shift in UK housing — Explores how younger buyers are adapting to changing housing costs and energy standards.

Ministers delay new rules for low-carbon housing in England. The Guardian, 2026.

The Future Homes Standard: a technical overview. Home Energy Model, 2026.

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Sam Willy

I’m Sam Willy, one of the bright minds behind BritWealth.com, where I share insights, stories, and fun ideas about a wide range of topics—finance included, but not limited to it! My journey into the world of writing began with a simple hobby: sharing the things that fascinated me. From quirky facts to deeper dives into personal development, I’ve always been curious about the world around me and love passing that knowledge on.
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