The Government and the property industry is stepping up its efforts to tackle the growing spray foam problem that has left tens of thousands of people with unsellable and unmortgageable homes.
There are around 250,000 homes in Britain that have spray foam insulation and many of those householders are now struggling to sell or release equity, according to HomeOwners Alliance.
Much of the damage was done under the previous government’s Green Homes Grant scheme.
Before the scheme was withdrawn in March 2021, spray foam was one type of insulation that could be installed using a grant from the scheme. It can be used to insulate lofts, roofs, walls and floors to improve energy efficiency.
Surveyors and mortgage lenders are wary of homes with spray foam insulation as it can cause roof leaks to go unnoticed and cause decay to the roof timbers, as well as a general lack of ventilation in the roof.
In more recent years its environmental credentials have also been called into question, although not many manufactured insulation materials are chemical-free.
In the UK around 250,000 homes have spray foam insulation and many of those householders are now struggling to sell or release equity
At a roundtable discussion hosted by Martin McCluskey MP, lenders and industry insiders were invited to discuss the problems facing homeowners.
At the roundtable it was agreed that customers need to be made aware about the importance of a pre-install survey to ensure spray foam is the correct type of insulation.
It was also agreed that there needs to be a list of competent organisations that surveyors and lenders can refer people to in the event remediation is required.
Sarah Garry, chief executive of the Property Care Association (PCA), outlined the challenges that homeowners have in accessing mortgages or borrowing on properties which have the insulation as incorrect installation can result in problems including trapped moisture causing mould, damp and timber decay.
‘Spray foam installations and inability to access mortgages, remain one of the top reasons for which constituents contact their local MPs,’ said Garry.
‘In a small-scale survey conducted with trained spray foam surveyors last year, the PCA found at least one third of cases identified had defects due to poor installation and 27 per cent of those were likely to require re-quilting to the roof or re-roofing.
Martin McCluskey MP, who is minister for energy consumers, is responsible for a number of key topics affecting householders from fuel poverty to helping with the government’s £15billion Warm Homes Plan.
He said: ‘Having valuable conversations with those who know the issues with spray foam best is essential to addressing the problems homeowners are facing with their properties and obtaining finance.
‘We are working with industry, lenders and consumer protection groups to explore strengthening enforcement against rogue traders and ensure the presence of spray foam does not automatically preclude lending.
‘This is part of our wider work to fix the broken system we inherited and protect consumers from bad practice, by overhauling the retrofit landscape as part of the Warm Homes Plan.’
The PCA joined forces with the HomeOwners Alliance in a campaign designed to raise awareness of the problem, signpost residents and lenders to adequately qualified surveyors and alert homeowners to rogue traders posing as ‘specialists’ who have, in some cases, charged thousands for dodgy remediation works.
Paula Higgins, chief executive of the HomeOwners Alliance added: ‘It’s positive to see government, lenders and industry coming together at this roundtable to tackle the growing spray foam problem.
‘But homeowners are already stuck – unable to sell or remortgage – and they need answers now.’
Sarah Garry, chief executive of a national trade body has set out the wide-ranging issues around spray foam insulation at a roundtable discussion
Higgins says homeowners need to be wary of rogue traders looking to make a quick buck for a botch job.
‘We have clear advice on our website, but one message is critical: don’t engage with cold callers,’ added Higgins.
‘If someone contacts you out of the blue, question how they got your details – it’s often about making a quick buck, using scare tactics to push unnecessary work.
‘Some lenders will lend where spray foam has been properly installed with the right paperwork, but others need to take a more flexible, evidence-based approach. If insulation has been in place for years with no signs of damp or decay, that should give confidence the risk is low.
‘What’s needed now is clear, consistent guidance — urgently — so homeowners aren’t left in limbo.’
To provide assurance to residents and lenders, the PCA has created the Sprayed Foam Inspection Protocol and set out a register of surveyors that are adequately trained and audited.
The PCA also co-authored a consumer guide on spray foam insulation, which signposts homeowners to appropriate resources and includes advice on sourcing a suitably competent surveyor, available at: Spray Foam Insulation Consumer Guide.
The consumer guide was jointly produced by the PCA, Residential Property Surveyors Association (RPSA), Insulation Manufacturers Association (IMA), Andy Wilson Financial Services, Bangor University and RPC, and updated following the roundtable debate.
Anyone concerned about spray foam insulation can telephone the PCA on 01480 400000 for help.
Have you had a spray foam problem? editor@thisismoney.co.uk