Conveyancing firm Bird & Co has calculated an Efficiency-to-Price Ratio to identify the top locations in England and Wales that offer the best value for money when it comes to energy-efficient homes.
The study drew on energy efficiency data from the Office for National Statistics (ONS) and house price figures from the Gov UK website. To calculate the Efficiency-to-Price Ratio (per £1,000), each areas Energy Efficiency Score was divided by its average property price and then multiplied by 1,000. The result is practical yet straightforward, with figures highlighting the locations where environmental performance meets affordability.
While several London local authorities – such as Tower Hamlets, the City of London, Salford, Greenwich, and Newham – ranked the highest for Energy Efficiency Scores, their steep property prices significantly lowered their Efficiency-to-Price Ratios.
In contrast, the researchers identified ten areas where buyers get the most energy efficiency relative to the cost of a home. The top ten list is as follows:
- Kingston upon Hull
- Burnley
- Hyndburn
- Middlesbrough
- County Durham
- Merthyr Tydfil
- Sunderland
- Hartlepool
- Blackpool
- Blaenau Gwent
Significantly, the top-performing Local Authorities for energy efficiency tend to be in the North of England, particularly in regions like Yorkshire and the North East, as well as Welsh areas such as Merthyr Tydfil and Blaenau Gwent. These locations strike a notable balance between low house prices and solid energy efficiency scores (typically ranging from 64 to 69).
The North of England is well known for its more affordable house prices compared to the South. This is reflected in our top ten list, where average house prices range between £126,000 and £141,000. Such affordability is likely linked to broader regional economic factors, including slower wage growth, which have constrained property value increases despite improvements in energy performance.
Moreover, government-backed schemes have had a measurable impact in lower-income regions. In County Durham, for example, 7,644 energy-saving measures were installed under the Carbon Savings Community Obligation scheme between 2013 and 2024. An additional 40,414 measures were delivered through the Affordable Warmth scheme, indicating a robust effort to address fuel poverty through energy efficiency improvements.
In a similar vein, Merthyr Tydfil and Blaenau Gwent have benefited from targeted investment through Welsh Government initiatives. In Merthyr Tydfil, the Warm Homes Nest programme has helped facilitate upgrades for low-income households. Meanwhile, Blaenau Gwent has seen widespread retrofitting via the ECO4FLEX programme, which focuses on enhancing the comfort and efficiency of homes for vulnerable residents.
Daniel Chard, a partner at Bird & Co, comments: “The characteristics of local housing stock have also likely influenced these outcomes. Northern urban areas are typically composed of dense concentrations of older Victorian terraced housing. These properties have been central to retrofitting efforts supported by schemes such as the Energy Company Obligation. However, due to the age of these homes and their presence in areas of weaker housing demand, these upgrades have not substantially raised property values.
“A case in point is Kingston upon Hull, where 17,478 ECO measures were installed from 2013 to 2024. Despite these improvements, average property prices remain modest at £132,719, underscoring the ongoing affordability of energy-efficient homes in such markets.”
On the flip side, researchers at Bird and Co have identified locations where energy efficiency offers poor value relative to property cost. All ten of the lowest-ranking areas in terms of efficiency-to-price value are located in London or the South East – regions characterised by higher average household incomes and limited access to government-funded energy efficiency programmes.
Kensington and Chelsea tops the list, with an Energy Efficiency Rating of 68 and an average house price of £1,120,654, resulting in a low Efficiency-to-Price Ratio. Similarly, Home Counties locations such as Elmbridge and St Albans also feature in the bottom ten. These areas command high property values due to their proximity to London, strong schools, and overall desirability, regardless of energy performance.
What’s more, higher average annual salaries in these regions mean fewer households qualify for schemes like Affordable Warmth, resulting in limited levels of subsidised retrofitting.
Chard adds:“Energy efficiency is becoming an increasingly important factor for homeowners and buyers alike, driven by rising energy costs, growing environmental awareness, and a desire for more sustainable living. Even though top energy efficiency often comes at a premium, our research shows some areas offer a balance between strong energy performance and affordable property prices.
“This kind of insight is particularly valuable for those who are flexible on location and looking to make a smart, long-term investment.”
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