The smart building rating

A data-driven metric of a building’s flexibility capacity to drive smart homes for the future energy system.

Overview

Future energy systems will be underpinned by buildings that are both energy efficient and able to provide energy flexibility - shifting demand to times when it is abundant, clean and cheap. This cuts energy bills for the household and reduces system costs for everyone.

The ‘Smart Building Rating’ measures a home’s capacity for flexibility, based on the low carbon technologies which enable it: smart meters, EV chargers, heat pumps, thermal stores, batteries and solar. It forms part of a holistic suite of ‘net zero building metrics’ to modernise the Energy Performance Certificate.

The metric can be used to unlock demand flexibility at scale, placing a value on ‘smart homes’ that positively engages consumers, incentivises property upgrades and targets interventions. It is central to a smart, low-carbon future for buildings and energy systems.

Campaign

Centre for Net Zero and Energy Systems Catapult have developed the Smart Building Rating proposal, alongside a ‘proof-of-concept’ tool to see how ‘smart’ your home is.

The introduction of a building flexibility metric is backed by a cross-industry coalition across the energy, building and finance sectors, including Energy Savings Trust, E3G, Octopus Energy, the Royal Institution of Chartered Surveyors and the UK Green Buildings Council and more.

An initial policy proposal in October 2023, and further report in January 2025, outline the case for the Smart Building Rating as part of new net zero building metrics - including technical requirements, use cases and policy measures for smart home upgrades.

Following the campaign, we welcome the UK Government’s decision in January 2026 to replace the current Energy Performance Certificate with a more holistic range of metrics, including one for ‘smart readiness’. Centre for Net Zero continues to advise on methodological questions and the adoption of ‘smart’ building metrics internationally.

Our papers

0GW

The amount of consumer demand flexibility we need for net zero in 2050 - 9x today’s levels.

Based on the National Energy System Operator’s Future Energy Scenarios 2024 (July 2024).

£0bn

Potential savings from flexibility in the UK over the period 2025-2050

According to Centre for Net Zero modelling of fully flexible heating and transport systems.

0%

Potential savings for individual households on wholesale electricity costs in 2040

Cornwall Insight modelling for Smart Energy GB found individual households engaged in flexibility can save over 52% on wholesale electricity costs in 2040.