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What is the Green Homes Grant?

What is the Green Homes Grant?

Important: The Green Homes Grant closed to new applications on 31 March 2021. The information on this page is for reference purposes only.

The Green Homes Grant was a government scheme that ran from September 2020 to March 2021. But what was the grant and how did it aim save money on energy-efficient home improvements?

What was the Green Homes Grant?

The Green Homes Grant was a government scheme that aimed to help homeowners and landlords to fund the cost of energy efficiency improvements in England. It’s thought that these energy efficient and low-carbon heating improvements could help households save up to £600 a year on energy bills.

The scheme was announced in the 2020 Summer Statement, as part of the plan for helping the economy to recover after the coronavirus pandemic. The scheme aimed to make over 600,000 homes more energy efficient and will support over 100,000 jobs in green construction.

The Green Homes Grant provided vouchers to fund all or part of the cost of installing energy efficient measures for homes in England. Applications for vouchers opened on 30 September 2020. While the scheme closed to new applications on 31 March 2021, applications received before this date can still be processed.

There were two levels of funding available under the Green Homes Grant:

General scheme: Covered two thirds of the cost of home improvements, up to a maximum of £5,000

Low-income scheme: Covered the full cost of the cost of home improvements, up to a maximum of £10,000

The amount of funding you were eligible for depended on your income and whether you received certain benefits.

Who was eligible for the Green Homes Grant?

Some homeowners and landlords were eligible for some level of funding under the Green Homes Grant for installing certain energy efficiency measures in their property.

To qualify for the voucher scheme, you must either:

  • Own your own home (including park homes, long-leasehold properties and shared ownership)
  • Be a private or social landlord

Only homes in England were eligible, and the scheme did not cover new-build properties that had not been previously occupied. You would also be ineligible if you had already received a grant under the Local Authority Delivery Scheme.

For the ‘low income’ scheme of up to £10,000, only owner-occupied and park homes were eligible (this part of the scheme was not open to landlords). You would qualify for this extra support if you received at least one of the following benefits:

  • Income based Jobseekers Allowance (JSA)
  • Income based Employment & Support Allowance (ESA)
  • Income Support (IS)
  • Pension Guarantee Credit
  • Working Tax Credit (WTC)
  • Child Tax Credits (CTC)
  • Universal Credit (UC)
  • Disability Living Allowance (DLA)
  • Personal Independence Payment (PIP)
  • Attendance Allowance
  • Carer’s Allowance
  • Severe Disablement Allowance
  • Industrial Injuries Disablement Benefit
  • Contribution based Jobseekers Allowance (JSA)
  • Contribution based Employment & Support Allowance (ESA)
  • Housing Benefit

What types of home improvements were covered?

The energy efficiency measures covered under the scheme were split into two categories: primary and secondary measures.

Primary measures

To qualify for a voucher you'd need to install at least one primary measure. This can include insulation and/or low carbon heating:

Insulation: Solid wall, cavity wall, under-floor, loft, flat room, room in roof or park home.

Low carbon heat: Air source heat pump, ground source heat pump or solar thermal.

If you already have any of these measures in your home, you can use the voucher to top up or improve them, but not replace them.

Secondary measures

As long as you use the scheme to install one of the primary measures above, you could also claim vouchers up to the same value to install a secondary measure. These include:

Draught proofing

Windows and doors: Replace single glazing with double or triple glazing, secondary glazing (in addition to single glazing) or upgrade to energy efficient doors (where replacing doors installed before 2002).

Heating controls and installation: Appliance thermostats, hot water tank thermostats, hot water tank insulation, smart heating controls, zone controls, delayed start thermostat, thermostatic radiator valves.

Just because the Green Homes Grant is now closed, it doesn't mean you can't save on your energy costs.

As well as equipping your home with energy effiency measures, don't forget that switching your energy deal is an effective way to cut your bills. Enter your postcode below to get started.

Compare energy prices here

It's a good idea to compare energy regularly to see what the latest prices mean for you, even though there are fewer deals available. Enter your postcode to get started.

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