Housing minister Grant Shapps is to give developers more flexibility to meet the ambitious requirements of the Code for Sustainable Homes.

The minister said a community energy fund would be established to allow developers to make payments to local authorities towards district or community heating schemes, rather than provide on-site renewable energy systems.

But the implementation date of 2016 for all new homes to be zero carbon – regarded as unrealistic by some in the construction industry – will stay.

The minister confirmed that minimum energy efficiency standards – through the likes of wall and loft insulation and green windows – will be implemented in future revisions to Building Regulations, based on those set out in recent consultation on the Code.

The government also confirmed its commitment to a realistic benchmark for carbon emissions in Building Regulations, with the Zero Carbon Hub to conduct testing over the next few months.

“This is about meeting tough environmental standards, but not dictating how every home should be built,” said Mr Shapps.

“Councils and developers together are in the best position to decide how best to meet these standards, so we’re giving them the flexibility and a range of options to do this.??

“We are committed to all new homes being zero carbon from 2016, and have the right mix of measures in place – including regulations but also new innovations such as a community energy fund.”