The Government’s Green Homes Grant Scheme is being launched at the end of September, so here’s what we know about it so far, including how much funding you could get, what you can spend the funding on and how to find out if you are eligible.
On 8th July 2020, Chancellor of the Exchequer, Rishi Sunak announced the Green Homes Grant Scheme 2020. This scheme has been created to encourage homeowners to carry out projects to improve the energy efficiency of their home, which could save you up to £600 a year on energy bills, reduce greenhouse gas emissions and ultimately, save our planet.
To break this down for you, a total of £2 billion has been allocated towards this grant. £1.5 billion of this budget has been set aside for homes which do not receive any government benefits and each home can get up to £5,000 towards energy saving home improvements. The government will pay for 2/3 of the cost for the home improvement up to this amount, and the homeowner will need to pay the remaining 1/3.
The remaining £500 million of the budget has been designated for homes which do receive government benefits where each home could receive up to £10,000 towards any energy saving home improvements. In this case, the government will pay for the entire cost of the home improvement up to this amount.
In August, the government released a publication identifying which home improvements this grant can be used towards, and these were split into two categories – “Primary” and “Secondary”. Home improvements included in the “Primary” category are insulation (solid wall, cavity wall, under floor, loft) and low carbon heating (air source heat pumps, ground source heat pumps, solar thermal).
To be eligible for any home improvements included in the “Secondary” category, homeowners will first need to complete, or have already completed, a project which includes the installation of an improvement from the “Primary” category. Home improvements included in the “Secondary” category are draught proofing, replacing single glazing with double glazing, advanced heating controls (Smart thermostats etc.).
Advice for what homeowners should spend their portion of the grant on differs per house. For example, if the building is badly insulated the advice is to focus on proper insulation. However, it is also advisable to speak with a local expert to consider the different variables before installing solar thermal, source or ground heat pumps.
The Green Homes Grant scheme is being launched at the end of September 2020, so you should speak with your local councils and renewable energy experts to find out which options work best for you. When considering who will carry out the work to install the home improvements, it is important that you choose someone who is Trustmark or MCS registered installer, otherwise you may not be eligible for the grant.
For more information on the Government's Green Homes Grant scheme and to find out what you are eligible for, click here.