The Green Deal was originally introduced in 2012 to encourage homeowners to make their properties more energy efficient.
The government would loan them the money to insulate their cavity walls, upgrade their boilers, or draught-proof their loft, and people could repay the money over a 25-year period through their energy bills.
It didn’t generate much interest, so in June 2014, the government revamped the programme, announcing the Green Deal Home Improvement Fund, and that the money for this would be provided as grants. This meant homeowners wouldn’t have to pay it back, unlike some other sources of Green Deal funding. Unsurprisingly, this interested a lot more people, and the government had to close applications to the fund after just six weeks because the money ran out. Not everyone could qualify for this money though – homes had to be in England or Wales, and homeowners had to use a provider who was signed up to the scheme.
To be eligible to receive any money, homeowners had to pay for a Green Deal assessment, which would cost them £100-£150. As the Green Deal Home Improvement Fund proved so popular, some homeowners paid for an assessment but missed out on funding.
What will change?
If you were one of the unlucky ones who paid out for an assessment on your home but weren’t quick enough to receive funds, don’t worry. Green Deal assessments are valid for two years, so you won’t have to pay again if you’re hoping to receive the funding this time.
The Green Deal Home Improvement Fund is currently closed to new applicants, but it’s expected to reopen in November. This is when we’re also likely to hear more details about how the fund will be different this time round. As it was so popular in June, it’s likely that the government will announce stricter guidelines on who is eligible and how much they’re able to get.
Energy-saving home improvements might not just mean that you’re doing your bit to help save the planet, as you won’t need to use as much electricity. It could also mean that your energy bills will be lower over the long term. For example, double-glazing your windows or draught-proofing your home will mean that it lets less heat out, so you might be able to turn down the thermostat.
If you’re interested in making energy-saving improvements to your property, keep a look out for more announcements towards the end of November. The extra £100 million in funding is likely to go pretty quickly again, so you’ll have to be fast if you want your home to benefit from it.
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Intelligent Lending Ltd (Credit Broker). Capital One is the exclusive lender.