This paper will provide a review of the current research on the material characterisation and mechanical behaviour of polymer enhanced silica aerogels. Aerogels have been in existence for many years; however, the engineering applications of aerogels have been limited due to their poor mechanical behaviour. Recently a new type of polymer enhanced silica aerogel, a nanostructured form of silica has been developed. The new material is having a low density, very low thermal conductivity, excellent acoustic insulation and high mechanical which makes it ideal for energy efficient building material. This paper will discuss the start-of-the-art development of this material and issues to apply the material in energy efficient buildings.