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Last updated: 22 April 2024

UK Government grants £1.8 billion to boost energy efficiency

UK Government grants £1.8 billion

On the 22nd March 2023, the UK government announced that it will grant £1.8 billion to boost energy efficiency and slash carbon emissions in homes and public buildings through measures such as new solar panels, heat pumps, windows and insulation. They claim that more than 115,000 homes across England will be upgraded with energy efficiency measures. 

Additionally, it is expected that eligible households will save tenants between £220 and £400 on annual energy bills by installing more efficient energy measures.

The funding is split across 3 different grants. The Home Upgrade Grant and Social Housing Decarbonisation Fund will collectively receive  £1.4 billion. A further £409 million will be granted through the Public Sector Decarbonisation Scheme. The details of the schemes will be covered in the next section of this article.

The funding will be available from 1 April 2023 and aims to upgrade homes over the next two years, until April 2025.

This announcement supports the UK government's commitment to reduce the country's overall energy demand by 15% by 2030, and also reach net zero by 2050.

Social Housing Decarbonisation Fund

The Social Housing Decarbonisation Fund covers a range of energy-saving measures for vulnerable households and off-gas grid homes with an EPC rating of D or below. These measures include exterior wall insulation, cavity wall insulation, loft insulation, new windows and doors, draught-proofing measures, as well as heat pumps and solar panel installation.

The Social Housing Decarbonisation Fund is primarily aimed at vulnerable households and off-gas grid homes with an EPC rating of D or below.

See the breakdown of the regional funding for this grant below.

Home Upgrade Grant

The Home Upgrade Grant (HUG) is a local authority funding program designed to provide energy efficiency upgrades, such as new windows and loft installation, and also low carbon heating, such as solar panels and heat pumps, to households in England.

This initiative targets low-income households, those who are off the gas grid, or have an Energy Performance Certificate (EPC) rating between D and G.

See the breakdown of the regional funding for this grant below.

Public Sector Decarbonisation Fund

The Public Sector Decarbonisation Scheme is a grant program that aims to support public sector bodies in funding low-carbon heating, renewable energy, and energy efficiency measures, such as heat pumps, solar panels, and insulation.

This initiative covers a range of technologies, including heat pumps, solar panels, and insulation. It's important to note that eligibility for this grant is limited to public sector bodies such as local authorities, schools, and hospitals.

See the breakdown of the regional funding for this grant below.

Is it time to make the switch to renewable energy?

With the current state of the climate crisis, taking action to reduce carbon emissions is more crucial than ever. One effective way for homeowners to contribute to this cause is by improving their home energy efficiency.

Thankfully, with the UK government's new funding for energy-efficient measures, making the switch to renewable energy has never been more financially feasible. This is in addition to other existing grants, such as the 0% VAT and the ECO+ scheme. By taking advantage of these incentives, homeowners can significantly reduce their annual energy bills while also being more sustainable.

Take control of your energy costs and make a positive impact on the environment by switching to renewable energy. With the potential to reduce your carbon footprint and save money in the long run, it's an opportunity you don't want to miss. Click on the boxes below to explore your options for sustainable measures at home and make the switch to renewable energy today.

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