Packaged Living & Aviva Investors bring Octopus Energy’s ‘Zero Bills’ tariff to UK rental portfolio

Aviva Investors, the global asset management business of Aviva plc, and Packaged Living (‘Packaged’), the UK’s leading sustainable living specialist, announce they have partnered with Octopus Energy, the UK’s number one electricity supplier, to offer the Octopus ‘Zero Bills’ energy tariff at two of its UK build-to-rent developments.

Launched in 2022, Octopus Energy’s ‘Zero Bills’ is a next-generation energy tariff which enables customers living in homes featuring technology such as heat pumps, battery storage and solar panels to benefit from zero energy bills for five years, guaranteed by Octopus Energy. ‘Zero Bills’ homes are powered by ‘Kraken’ which automatically matches the consumption and energy generation of the homes in real time which can be done without customers having to lift a finger.

Under the partnership, Zero Bills will initially be offered at 48 qualifying homes across two sites which Aviva Investors and Packaged are currently developing at Shenley Wood and Whitehouse Park in Milton Keynes. With the first plots expected to be handed over to families in 2024, it means households across the two communities could benefit from having no energy bills for at least five years. The news also comes following research that shows 75 per cent of UK renters want landlords to make sustainable changes to properties due to rises in the cost of living[1].

Shenley Wood in the South-West area of Milton Keynes will comprise 117 new single-family homes consisting of two, three and four bedrooms, as well as a selection of one- and two-bed apartments. Whitehouse, which is located to the West of central Milton Keynes, within the Whitehouse Park masterplan, will comprise 95 new single-family homes consisting of two, three and four bedrooms. The Whitehouse Park masterplan will deliver a total of 4,400 new homes, four schools, employment spaces, extensive amenity and community offerings.

As part of the development project, Aviva Investors and Packaged have stipulated all new homes be fully-electric and use air-source heat pump systems instead of traditional gas boilers, whilst targeting an EPC ‘A’ rating. Each home features electric vehicle charging, with some homes including photovoltaic (PV) panels and battery storage to help support ongoing energy needs. Under the partnership with Octopus Energy, homes featuring photovoltaic panels and battery storage will qualify for the ‘Zero Bills’ tariff.

Julian Cobourne, Head of Regional Investment Management at Aviva Investors, said:

“We are very grateful to see homes at our residential developments being considered eligible for Octopus’ innovative Zero Bills tariff. We have been clear in our desire to support the supply of new homes across the UK, which go beyond minimum standards and can actively improve energy efficiency, creating communities that are ready for the future. We hope this encourages more developers to adopt a similar approach to futureproofing UK housebuilding, minimising ongoing energy needs and costs for families, and supporting communities through the energy transition. We look forward to growing our partnership with Octopus Energy across our build-to-rent schemes.”

Jonathon Ivory, CIO of Packaged Living, commented:

 “Not only are we committed to accelerating the pace of rental housing delivery, but we are combining this with a rigorous focus on making our homes affordable. By removing energy costs we are able to make our communities accessible to more consumers and, in doing so, remove some of the financial insecurity that has blighted the private rented sector for far too long.”

 Nigel Banks, Zero Bills Homes Director at Octopus Energy, added:

“Our partnership with Aviva Investors and Packaged Living is another exciting leap towards creating truly sustainable living. By eliminating energy bills, we’re helping renters reduce their impact on the planet while keeping living costs down. This is what the future of renting should look like – affordable, eco-friendly, and hassle-free.”

[1] https://www.natwestgroup.com/news-and-insights/news-room/press-releases/climate/2024/feb/natwest-reveals-75-of-uk-renters-facing-rising-costs-want-landlo.html