Reaching net zero carbon on residential blocks

April 17, 2026
by Claire Brown
News On the Block

Reaching a net zero carbon target for owners of multi-occupied residential buildings is a looming challenge, with the added problem of keeping homes cool and comfortable during hot summers. While much of the policy focus, including the Future Homes Standard, is geared towards new build, the reality for many existing residential blocks is that decarbonisation will need to be delivered through retrofit.

The government wants to reach net zero by 2050. It has introduced regulations and policies to support that aim, such as minimum energy efficiency standards (MEES) on rental properties.

The regulations are prone to change and this lack of certainty over future legislative agendas presents its own set of challenges, but freeholders, RMCs and managing agents may have set their own net zero targets. Reductions in energy bills and service charges are also attractive to residents and leaseholders.

Delivering low-carbon residential blocks often requires a whole building approach – and good communication is therefore critical to achieving collective approval from leaseholders and stakeholders.

A whole block approach to maximise impact and cost efficiency

In multi-occupancy buildings, major works can’t be done piecemeal as agreement from multiple stakeholders is usually required, and any changes to the building envelope must be carefully considered to meet Building Regulations requirements.

For example, if you replace only some of the windows, a building can start to look untidy very quickly. Undertaking projects on a whole-building basis also offers potential economies of scale.

There are also opportunities where a residential management company can make collective improvements, such as works to common parts areas. More efficient heating and lighting can reduce energy costs, even if the benefits to individual leaseholders are less significant.

The large roof spaces of some apartment buildings often offer great opportunities for solar PV, and adding solar PV installation to an existing re-roofing project can offer savings by combining access costs.

For heating and hot water, communal low-carbon systems that have a central plant, can be more cost effective. When central plant systems require replacement, consider replacing fossil fuel systems with more efficient alternatives such as heat pumps. 

Where space allows, combining centralised plant with solar PV can offset the electricity used and further enhance long-term resilience.

Flats with their own gas boilers are a problem that is going to become more of a challenge if government plans to phase out gas boilers come to fruition. Individual electric boilers are expensive to operate, which doesn’t create a compelling incentive for residents to replace gas boilers. 

In reality, a whole building approach means securing agreement from all stakeholders, including individual leaseholders, which can often be one of the most complex aspects for managing agents and RMCs to navigate.

Meeting minimum standards

Building owners must also answer the question of whether they aim to meet the minimum current standards with upgrade work or go further to future-proof their buildings. Almost always, doing more than the bare minimum is going to cost more, and all parties will need to agree on the objectives. 

The impact of retrofit work can compound when going above and beyond the minimum standards. For example, most heat is lost through the roof, so it’s a wise strategy to maximise the amount of insulation used when re-roofing a building where possible. And using high-performance triple glazing or vacuum glass in window replacement projects will improve thermal performance. 

Addressing overheating homes

As summers get warmer, more homes are experiencing problems with solar gain. Overheating flats are already generating negative headlines and bring with them associated energy costs for keeping cool with air conditioning and fans.

Installing low emissivity or solar-reflecting coating on windows can help keep homes more comfortable and reduce power demands.

Alternatives include fitting external blinds, shutters or brise soleil. External window shutters are widely used in countries like Germany, and external blinds were common in Georgian England. Buckingham Palace even had awnings over its windows to keep the inside cool during the summer.

Being strategic with retrofit work

The challenge for freeholders and landlords is not just technical but strategic. Sequencing and viability require a deep understanding of the physical building and the long-term asset plan, with trusted advice to help make the right decisions at the right times. 

Collaborative working with specialist property advisors can help landlords in understanding how sustainable measures could be accommodated into long-term maintenance plans (CapEx or PPMs).

The strategy also needs to include messaging and stakeholder management; having strong leadership at director level is important, as is being able to explain the benefits of improvements to residents, particularly the long-term benefits. 

But there are some easy wins.

Anything that saves energy, saves money, so start with the low-hanging fruit. This might be installing low-energy lighting in common parts, better controls for heating, changing the heating cycle or simply draft-proofing main entry doors.

Solar panels on flat roofs and shared EV charging can also be quick wins. EV charging installed collectively rather than ad hoc will be cheaper, will almost certainly look better and will be easier to maintain. 

Communicating the benefits well is important; identify, prioritise and package retrofit measures so that leaseholders can clearly see the financial benefits, such as lower energy costs and homes that are more comfortable to live in.

The regulations around sustainable buildings will have to get tougher to meet the government’s 2050 net zero target, and planning retrofit is increasingly a necessity for those responsible for managing residential blocks.

Claire Brown is Associate Director at SRVO

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