Green Homes Grant From £5,000 to £10,000 for Home Insulation

The government of England announced new energy-saving grants, available for renovations including double glazing, energy-saving light bulbs, and energy-efficient doors. The government has set aside a seemingly rather large £2bn fund to pay for home energy efficiency measures to be rolled out across the nation, homeowners will receive vouchers of up to £5,000 for energy-saving home improvements, with the Low-income household will getting up to £10,000.

Chancellor Rishi Sunak will unveil the Green Homes Grant scheme on Wednesday last week, which will pay two-thirds towards energy-efficient home improvements such as home insulation.

Under the scheme, the government will pay at least two-thirds of the cost of home improvements that save energy, up to £5,000. For example, if you were to have a new, more energy-efficient boiler installed for around £2,000, then the government would contribute around £1,333 and the homeowner would pay around £666.

The Treasury claims that utilizing these vouchers could save families up to £600 a year on energy bills. 

Business Secretary Alok Sharma confirmed this morning while speaking to BBC Breakfast that the Low-income households will be eligible to receive up to £10,000 towards these improvements. And these Low-income homeowners will not have to contribute anything to the cost. 

How does it Work?

In order to obtain a voucher, homeowners will have to make an online application for recommended energy efficiency measures, with details forwarded to accredited local suppliers. 

The Government will pay at least two-thirds of the cost of energy-saving private home improvements under the Green Homes Grant, due to launch in September and last for one year. This means that for an improvement costing £4,000 a homeowner would pay £1,320, while the Government would contribute the remaining £2,680.

Homeowners will apply online and be directed to accredited local suppliers, who will provide a quote. Once the work is approved, a voucher for the Government’s share of the cost will be issued. Low-income households will not have to contribute anything to the cost and could receive up to £10,000, Business Secretary Alok Sharma told the BBC earlier this week.

He said: "What the scheme will ultimately mean is lowering bills for households, hundreds of pounds off energy bills every year, it's supporting jobs and is very good news for the environment."

The funding also aims to help Britain meet its legally binding target to cut greenhouse gas emissions to net-zero by 2050. Greenpeace UK pointed out that Britain’s green funding fell behind Germany and France, which have pledged £36 billion and £13.5 billion respectively.

What improvements can you get?

The improvements that could save you the most energy depend on your home, but typical examples include:
  • Loft insulation
  • Wall insulation
  • Underfloor insulation
  • Double and triple glazing
  • Eco-friendly boilers, heat pumps, low-energy lighting, and energy-efficient doors

How can you make your home more energy efficient?

While you’ll have to wait until September to take advantage of this government support, here are some of the ways to make your home more energy-efficient and cut your carbon footprint. Some cost as little as £20 and you can do yourself. Insulation Installing loft insulation could save around £130 per year in energy bills if you live in a semi-detached house and have no insulation already. Topping it up from 120mm to the recommended 270mm could save £10 a year.

Double glazing If you have single-glazed windows, installing double glazing will reduce noise pollution from outside and help you save money on keeping your home warm – a full double-glazing update can see significant returns on lowered energy bills. It’s an expensive undertaking, though, so the government’s proposed grant could be welcome news if it’s a job you’ve been putting off.

Draught proofing When the temperatures turn cooler, stopping heat from escaping through unwanted gaps can cut up to £20 per year from your bills. Choose from draught-proofing strips on your window frames, brushes, or draught excluders along the bottom of doors, putting foam strips around your loft hatch, fitting keyhole, and letterbox covers. Some of these can cost as little as £10 and you can quickly do yourself. 

More energy-saving tips to cut your carbon footprint 

  • Change your light bulbs to energy-saving bulbs 
  • Consider switching to an energy supplier that sells more renewable electricity, or even generates its own. 
  • See how to choose the best energy company 
  • Choose energy-saving appliances when you next replace your white goods 
  • Only boil as much water as you need in your kettle 
  • Run washing machines and dishwashers only when they’re full.

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