‘Zero carbon’ to be defined by end of year

The pledge is important because the Treasury insists that only homes that produce all their own energy qualify. The industry is asking that zero-carbon homes be allowed to use electricity generated off site from renewable sources.

A working group from the UK Green Building Council is to consult on the definition over the summer. It is to be led by Mark Clare, chief executive of Barratt. A final formulation should be decided by the end of the year.

The Budget also contained plans to fund a body to co-ordinate the move to zero carbon by 2016, and committed all homes built on public sector land to achieve at least level three of the Code for Sustainable Homes.