Cavity Wall Insulation: foam scandal causes damp problems, debt for 1000s of homes, what's the cost of removal

• Thousands of UK homes were left damp and damaged due to improperly installed insulation
• Victims face repair bills of up to £100,000
• Many are also unable to claim compensation as installers and claims firms have collapsed
• Damp, mould, and crumbling walls have also caused serious health issues
• Campaigners are demanding funding for repairs, stricter regulation, and accountability to prevent similar disasters

The cavity wall insulation (CWI) scandal has become a painful reality for thousands of UK homeowners, with far-reaching financial, health, and emotional consequences.

Promoted under the government-backed Energy Company Obligation (ECO) scheme, which sought to make homes more energy-efficient and combat fuel poverty, the initiative has instead left many homeowners facing severe financial, health, and emotional repercussions.

Botched installations - often carried out by unqualified contractors - have caused widespread damp, mould, and structural damage in homes that were unsuitable for CWI.

Campaigners are now calling for government intervention to address the failings of the ECO scheme, support victims, and prevent a repeat of this devastating scandal.

Here's everything you need to know about the scandal, including the risks, the warning signs, and its devastating financial implications.

What is Cavity Wall Insulation?

Cavity wall insulation involves filling the space between a building’s inner and outer walls with insulating material to reduce heat loss. It is an energy-efficient measure designed to lower heating bills and improve a home’s environmental performance.

Under the UK government’s Energy Company Obligation (ECO) scheme, CWI was promoted as a solution for fuel-poor households.

The cost was often subsidised or paid through an 8% levy on energy bills, and installations were carried out by contractors. But many homes were either unsuitable for CWI or had insulation improperly installed, leading to devastating consequences.

Many installation companies failed to conduct proper surveys to assess the suitability of properties, negligence which left homes at risk of severe moisture problems.

Door-to-door salespeople often pressured homeowners into agreeing to installations without fully explaining the risks - those with limited English or on low incomes were left particularly vulnerable.

What are the signs of a CWI problem?

If you have cavity wall insulation, there are a number of signs to watch out for, which could indicate potential damage to your property.

The biggest problem is damp, mould and other moisture issues caused by botched insulation, which can cause dark patches on walls, peeling paint, and musty smells.

Persistent dampness can weaken the structural integrity of walls, leading to crumbling plaster, cracks, and long-term damage, and can exacerbate respiratory conditions like asthma.

From an energy-saving point of view, poorly installed CWI can make homes harder to heat by trapping moisture in walls, ironically resulting in higher energy bills.

Homes in areas with high levels of wind-driven rain or poor drainage are particularly at risk if they have CWI installed, as moisture seeps through the insulation, causing damp and mould.

Those with older buildings with cracked or porous walls may also not be appropriate for insulation.

How much does it cost to fix?

The financial toll of the CWI scandal is immense, affecting both individual households and the wider economy.

Extracting faulty insulation is expensive, with bills ranging from £20,000 to over £100,000. Plus, many of the contractors used by the government have since gone out of business, leaving homeowners to shoulder the costs.

Many of those who turned to claims companies were also left with substantial debt when these firms, like SSB Law, collapsed. Now, some are facing harassment from bailiffs for unpaid legal fees.

Instead of alleviating fuel poverty, the scandal has worsened it for many. Damp homes require more energy to heat, negating any savings from insulation and increasing reliance on costly energy.

What comes next?

The CWI scandal has led to a grassroots movement calling for justice and change. National World and the SSB Law Victims Support Group have launched a petition demanding government intervention.

The petition, directed to Deputy Prime Minister Angela Rayner, says homeowners need immediate funding to cover the cost of extracting faulty insulation and repairing their homes.

It also calls for a thorough inquiry into how the ECO scheme failed to protect vulnerable homeowners and ensure lessons are learned for future energy efficiency initiatives.

Looking ahead, the Change.org petition also demands improved oversight of installers and claims management companies to prevent exploitation and fraud, and that future government energy-saving schemes are thoroughly vetted, monitored, and implemented responsibly to avoid repeating the mistakes of the past.

Have you or someone you know been affected by the cavity wall insulation scandal? Share your experiences, thoughts, or questions in the comments section.