Future Homes Standard: Solar and Heat Pumps from 2027

The UK is taking a significant step towards embracing solar power and lower carbon heating solutions in property developments.

It is part of the government’s wider goals that include achieving net zero emissions by 2050.

Practitioners advising developers and property investors will know that the Government has now confirmed that the Future Homes Standard (FHS) will be published this Autumn. The FHS provides much needed clarity for planning and building in future in a way that will facilitate energy efficient and cost-effective homes across the country.

Under the FHS, rooftop solar panels and heat pumps will be required in the vast majority of new homes from 2027. Note that for non-domestic buildings the Government is progressing a parallel Future Buildings Standard.

The aim is to reduce the cost of energy bills (by hundreds of pounds, says government) - under the Plan for Change to build 1.5m homes within the next four to five years. Homes will be significantly more energy efficient.

The FHS will make it a “functional requirement” of Building Regulations that new homes, with rare exceptions, are built with renewable electricity generation (solar panels in most cases) and low carbon heating (e.g. heat pumps and heat networks).

It will also mean building regulations will need to be amended to explicitly promote solar, though there will be flexibility where new homes will be surrounded by trees or with overhead shade.

On 29 May, important changes to permitted development rights were made for air source heat pumps. The changes mean:

  • More homeowners can now put in heat pumps within 1 metre of their property boundary without having to submit a planning application.
  • The size limit of the heat pumps in homes has been increased from 0.6m3 to 1.5m3
  • Two heat pumps per detached homes are now permitted.
  • Heat pumps can also be used for cooling (but not solely for cooling), but must comply with noise limits.

Developers, homeowners and leaseholders will welcome this simplification of planning rules and the encouragement toward a cheaper and more energy efficient way of living. After the government announced the upcoming publication of the FHS, Centrica’s CEO Chris O’Shea said customers could shrink their energy bills by 90% with combining solar and battery.

The developments also represent a significant boost to the renewables sector, particularly in solar power and low carbon technologies.

What about commercial premises?

The Future Buildings Standard is due to be fully implemented this year, setting out requirements for commercial properties similar to those for new dwellings under the FHS.

Under Part L of the Building Regulations, businesses, property owners and investors are expected to ensure commercial premises are moving towards low-carbon heat sources and energy from renewable sources. The guidance (Approved Document L) Conservation of fuel and power sets out the technical guidance for new and refurbished commercial, residential and mixed use buildings.

And finally, a reminder that under the Minimum Energy Efficiency Standards, commercial properties with an EPC rating of less than band ‘E’ should not be let; and it is Government policy intention (pending implementing regulations) that all commercial properties will be expected to meet a minimum rating of C by 2028 (B by 2030).

The deadlines are fast approaching. Early planning and preparation, including for the necessary upgrades to ensure compliance, is vital to ensure legal expectations are met.

We're covering this topic and more at our LAW2025 Autumn events. Learn more about key updates in Commercial Property at our autumn conferences, available to book now.

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Posted on 11.09.25