In line with its continued commitment to reducing carbon emissions, the government introduced its Green Homes Grant on 30 September 2020 to help pay for energy-efficient home improvements. Households can now claim up to £5,000 for renovations such as insulation or low-carbon heating systems to reduce their home’s carbon footprint.
The £2bn initiative, which forms part of a larger government plan to cut emissions, will cover around two-thirds of home improvement costs for the majority of households, although fuel-poor and low-income households may be eligible to have the entire cost covered with vouchers of up to £10,000. The deadline for completion of qualifying improvements has now been extended by a year until 31 March 2022.
Who stands to benefit?
Many people have shown interest in the scheme, including 62% of respondents to a recent poll1. Some stand to be disappointed however, with limited vouchers on offer. Those whose homes aren’t energy efficient are most likely to be very or fairly interested in the scheme, at 66%. While the initiative is only available to English households, residents in Wales, Scotland or Northern Ireland have recourse to other financial schemes that offer support for energy efficient home improvements.
Don’t fall prey to fraud
Scammers have wasted no time in taking advantage of the scheme, with fraudsters contacting vulnerable consumers via text, email and telephone informing them of their ‘eligibility’ for the scheme in order to get hold of their personal details. Other scammers pretended to be part of the new scheme and offered loft insulation to consumers. You can report such calls to Action Fraud, and of course don’t hesitate to get in touch with us if you’re concerned.
1Energy and Climate Unit and YouGov, 2020
As a mortgage is secured against your home or property, it could be repossessed if you do not keep up mortgage repayments.