Back to Blog
Home > > Green Homes Grant UK: Unlocking Energy Efficiency & Savings

Green Homes Grant UK: Unlocking Energy Efficiency & Savings

The Green Homes Grant was a UK government initiative designed to help homeowners make energy-efficient improvements to their properties, thereby reducing energy consumption and lowering the carbon footprint. Launched in 2020, the programme aimed to provide financial assistance for the installation of insulation and low-carbon heating systems in homes across England.

Unfortunately, the scheme faced numerous challenges and was subsequently scrapped in 2021 after only reaching 10% of the projected 600,000 homes targeted for support. The cancellation of the Green Homes Grant has left a significant gap for households seeking help with energy efficiency improvements.

However, the UK government has since introduced other measures, such as the £12 billion investment in the Help to Heat schemes, including the Boiler Upgrade Scheme and the Home Upgrade Grant. These new initiatives are designed to support homeowners in improving the energy efficiency of their properties and reducing energy bills.

Green Homes Grant UK Overview

The Green Homes Grant was a government scheme in the United Kingdom aimed at helping homeowners and landlords in England cover the cost of certain energy-saving home improvements. The initiative aimed to benefit around 600,000 homes and could have helped save up to £600 per year on energy bills while supporting over 100,000 jobs in green construction.

However, the scheme was scrapped within six months of its launch, reaching only 10% of the initially targeted 600,000 homes. Its primary goal was to disburse an additional £1.5 billion towards energy-efficient home improvements, but most of this funding remained unspent.

The Green Homes Grant counted towards the total de minimis state aid homeowners were allowed to receive over a three-year period. The scheme required applicants to check that they would not exceed the de minimis state aid threshold for the grant to be awarded.

With the cancellation of the Green Homes Grant, millions of households on moderate incomes have been left without a clear alternative for financial support in achieving energy efficiency improvements for their homes.

Eligibility Criteria

The Green Homes Grant is targeted at homeowners and landlords in England who wish to make energy improvements to their homes. There are specific criteria that one must meet in order to qualify for this grant.

Some of the eligible individuals include owner-occupiers, social and private landlords, and park homeowners. While the exact eligibility criteria for the vouchers up to £5,000 have not been released, it is anticipated that most homeowners and landlords will be eligible if their homes need energy efficiency improvements.

It is important to note that funding must be targeted at low-income households that are likely to be in fuel poverty. Local authorities can use the criterion of a combined household annual income of no more than £30,000 gross. This underscores the government's commitment to assisting households with a genuine need for energy efficiency improvements.

Solar Panel Installation – Get Your Free Quotes Today
Compare quotes from different installers to get the best pric.  We’re not here to sell you anything. We will give you unbiased advice and match you with suitable installers.

    Request Quotes

    What solar quotes do you need?

    Preferred time of installation?

    Which of these best describes your home?

    Property ownership?

    Which direction does your roof face?

    What is the pitch of your roof?

    What material is your roof?

    Is there any shading that impacts your roof?

    Are there any windows on your roof?

    We care about your privacy

    Privacy and Cookies Policy

    Thank you for using Solar Panel

    What happens now?

    • Our customers service team reviews your request.

    • We will contact you by phone to confirm your information.

    • Based on your information, we will match you with relevant suppliers who will contact you directly with their respective quotes.

    The type of work and supplier selected for the energy improvement projects are also factors for eligibility. These projects must adhere to specific guidelines and standards, ensuring successful applicants use the grant to make genuinely impactful and lasting energy efficiency improvements to their homes.

    Types of Home Improvements

    The Green Homes Grant UK provides support for a variety of home improvements, aiming to make homes more energy-efficient and reduce energy bills. This section will cover the three main categories of home improvements under the scheme: Insulation, Low Carbon Heating, and Other Energy Efficient Measures.


    Proper insulation is essential for maintaining a comfortable indoor temperature and reducing heat loss. The Green Homes Grant covers several types of insulation, including:

    • Loft insulation
    • Cavity wall insulation
    • Under-floor insulation
    • Solid wall insulation
    • Park home insulation
    • Roof insulation

    Low Carbon Heating

    Low carbon heating systems provide a more environmentally friendly way to heat homes, as they produce fewer greenhouse gas emissions. The Green Homes Grant supports the installation of various low carbon heating devices, such as:

    Other Energy Efficient Measures

    In addition to insulation and low carbon heating, the Green Homes Grant also supports a number of other energy-efficient home improvements. These secondary measures include:

    • Double or triple glazing (only when replacing single glazing)
    • Energy-efficient doors (only when replacing single-glazed or solid doors)
    • Hot water tank insulation and thermostats
    • Smart heating controls
    • Heating controls and thermostats

    It is important to note that homeowners and landlords can only apply for these secondary measures if they have already installed one of the primary measures, such as insulation or low carbon heating.

    Application Process

    The Green Homes Grant is a UK government initiative that aims to help homeowners and landlords make energy-efficient improvements to their properties. In this section, we'll guide you through the application process, providing a step-by-step guide on how to apply for the grant.

    Step by Step Guide

    Before beginning your application, it is important to understand the eligibility criteria and the types of energy-saving improvements that the grant covers. Once you have identified the home improvements that you are interested in, you can follow these steps to apply for the Green Homes Grant:

    1. Use the Simple Energy Advice Service to identify the primary improvements that are suitable for your property and to get an estimate of the costs involved.
    2. Find an accredited installer in your area who can carry out the proposed energy improvements. It is essential to use an approved installer to qualify for the grant.
    3. Once you have received a quote from the installer, proceed to the Green Homes Grant application page on the GOV.UK website.
    4. Complete the online application form, providing details about your property, the proposed improvements, and the installer's quote. You may be required to submit additional documentation as part of your application.
    5. If your application is successful, you will receive a voucher for the grant funding, which you can then pass on to the installer after the work has been completed and you are satisfied with the results. The installer will then redeem the voucher and receive payment from the government.

    Applications for the Green Homes Grant are currently only accepted online, and it is essential to carefully follow the steps outlined above to ensure a successful application. Remember to check the funding available and eligibility requirements before applying and to take the time to research suitable improvements for your property.

    Funding and Costs

    Grants Available

    The Green Homes Grant was a government initiative aimed at helping homeowners and landlords fund energy-efficient improvements to their properties. The grant used to cover two-thirds of the total cost of eligible green home improvements, up to a value of £5,000. For example, if a homeowner's eligible improvement costs were £3,000, £2,000 would be covered by the government voucher, and the homeowner would pay the remaining £1,000. Unfortunately, the Green Homes Grant has been scrapped by the UK government after six months of operation, leaving homeowners without this specific funding option for energy efficiency improvements.

    Additional Funding Options

    With the Green Homes Grant no longer available, homeowners need to explore alternative funding options for energy-efficient home improvements. One such option is the Local Authority Delivery (LAD) and Home Upgrade Grant, which provides monthly releases of data and funding for energy-efficient projects.

    Additionally, the UK government has introduced new grants for home insulation, which will be administered by energy suppliers. While not as comprehensive as the Green Homes Grant, this option may help cover some of the costs of energy-efficient improvements, such as cavity-wall insulation, which costs between £580 and £1,800 and can save homeowners between £235 and £690 annually.

    It's essential for homeowners and landlords to research the available funding options and consult with energy efficiency experts to determine the most effective and cost-efficient ways to improve their properties' energy efficiency, reducing energy bills and carbon footprints.

    Long-Term Benefits of Green Homes Improvements

    Green homes improvements can contribute significantly to the overall energy efficiency, comfort, and value of a home. There are several long-term benefits associated with implementing green homes improvements, such as those formerly available under the Green Homes Grant scheme in the United Kingdom.

    Firstly, energy efficiency improvements, like insulation or low-carbon heating, can lead to substantial savings on energy bills for homeowners. Proper insulation and efficient heating systems can minimise heat loss, making the homes warmer and, in turn, reduce the amount of energy required to maintain comfortable temperatures indoors. Lower energy consumption leads to reduced greenhouse gas emissions, which has a positive impact on the environment.

    Another noteworthy long-term benefit is the increased property value that comes with energy-efficient homes. Buyers are increasingly searching for homes that are environmentally friendly and have lower running costs. As a result, green homes improvements might provide homeowners with a competitive advantage in the property market, making their homes more attractive to potential buyers.

    Furthermore, green homes improvements can significantly enhance the living conditions for the occupants by providing better air quality and thermal comfort. Installing insulation, double-glazed windows, and proper ventilation systems reduces drafts and cold spots, making living spaces cosier and healthier. These improvements may also help decrease damp and mould risks, which are often associated with poor insulation and inadequate ventilation.

    Lastly, such improvements contribute to the United Kingdom's efforts to combat climate change by reducing carbon emissions. By making homes more energy efficient, homeowners participate in the collective effort to lower the nation's greenhouse gas emissions and help achieve the UK's climate goals.

    Challenges and Criticisms

    The Green Homes Grant, a flagship home insulation scheme introduced by the UK government, faced numerous challenges and received a fair share of criticism. One of the main issues was its implementation, which was described as botched and disastrous by The Guardian. The scheme underperformed and has been seen as damaging to future efforts in the quest for net zero, according to the public accounts committee (PAC).

    Additionally, the Green Homes Grant struggled to deliver on its twin objectives of providing green home upgrades and generating jobs. A report by the Commons Public Accounts Committee (PAC) found that the scheme underperformed in both areas. Critics also emphasized that designing a new, large-scale, national programme with a short-term impact was not a successful approach, as addressed by Green Alliance.

    Further concerns were voiced regarding the distribution of the grant money. Chancellor Rishi Sunak's promise to provide up to £5,000 – or double for the poorest households – covering two-thirds of the costs of green home upgrades was met with scepticism. Critics argued that the scheme was a bad deal for both homeowners and the climate. This led to reduced public confidence in the programme and its overall effectiveness.

    In conclusion, the Green Homes Grant encountered a myriad of challenges and criticisms, primarily due to its implementation, management, and the distribution of funds. These issues hampered the scheme's ability to achieve its intended goals, resulting in reduced public faith and questions regarding the feasibility of similar initiatives going forward.

    Future of Green Homes Grant UK

    The Green Homes Grant was introduced in the UK to make energy improvements to homes and reduce carbon emissions. However, the scheme faced challenges since its inception and was eventually scrapped by the UK government after just six months. Despite its premature ending, the UK government remains committed to achieving its climate goals and supporting homeowners.

    With the original Green Homes Grant reaching only 10% of the 600,000 homes it aimed to improve, it is clear that there is still significant demand for such schemes in the future. Insulation of homes remains a priority to reduce carbon emissions and improve energy efficiency, as nearly 19 million homes in the UK need to be insulated.

    Given the scale of the challenge and public interest, it is likely that the UK government will explore alternative approaches to support homeowners in making energy efficiency improvements to their properties. They may consider refining the initial scheme or introducing new policies to help achieve their climate objectives.

    Regardless of the specific approach, homeowners should continue to monitor government announcements and stay up-to-date with the latest schemes and incentives. Although the Green Homes Grant has been discontinued, it remains an important reminder of the UK's commitment to reducing carbon emissions and improving the energy efficiency of its housing stock.

    Are you looking for quotes on solar panel installations? We offer 3 free quotes from local installers.

    hello world!
    Share this
    Mark McShane
    Content Writer
    Mark McShane is a seasoned professional in the solar industry and the owner of Skills Training Group, a leading provider of solar training and education. With years of experience in the field, Mark has developed a deep understanding of the latest trends, technologies and best practices in the industry. His expertise and passion for solar energy have helped countless professionals develop the skills and knowledge needed to succeed in the fast-growing field of solar energy. Whether you’re an aspiring solar professional or an experienced industry veteran, Mark is an excellent resource for anyone looking to enhance their skills and knowledge of the solar industry.
    Related Articles
    Renewable Heating Incentive (RHI) UK: A Comprehensive Guide to Benefits and Eligibility
    The Renewable Heat Incentive (RHI) is a UK government programme established to promote the adoption of renewable heating systems in private households, communities, and businesses. As the world's first long-term financial support scheme for renewable heat, its primary aim is to reduce carbon emissions and help the UK meet its renewable energy targets. Under the […]
    Mark McShane
    Content Writer
    April 28, 2023
    Clean Heat Grant – Now known as Boiler Upgrade Scheme!
    The UK government has launched a new initiative called the Clean Heat Grant, which aims to encourage households across the country to install low-carbon heating systems. The grant is part of the government's efforts to reduce carbon emissions and achieve its net-zero target by 2050. The scheme is set to replace the Renewable Heat Incentive […]
    Mark McShane
    Content Writer
    April 28, 2023
    Geothermal Energy: Advantages and Disadvantages - A Balanced Overview
    Geothermal energy is a renewable and environmentally friendly energy source that harnesses the Earth's heat to generate electricity and provide heating and cooling systems for buildings. It is derived from the natural radioactive decay of minerals and the continuous transformation of the Earth's core, offering a dependable and consistent source of power. As a result, […]
    Mark McShane
    Content Writer
    April 14, 2023
    Popular Articles
    © Solar Panel Installation Limited - SC751192 - 2024 All rights reserved. 94 Hope Street, Glasgow, G2 6PH