Government’s £2bn energy-saving scheme to give £5,000 vouchers to homeowners

josh jackman
Written By
Published on 7 July 2020

Hundreds of thousands of homeowners in England will receive £5,000 vouchers to reduce the cost of energy-saving home improvements, Chancellor Rishi Sunak is set to announce.

The £2 billion Green Homes Grant will subsidise two-thirds of the cost of emission-cutting measures like installing insulation and double glazing, according to BBC News.

About half the fund will go to the poorest households, which could receive vouchers worth up to £10,000.

More than 100,000 jobs could be supported by the vouchers, which the Treasury said would be handed out across one financial year.

The scheme also aims to help the UK reach its goal of net-zero carbon emissions by 2050.

Labour shadow business secretary Ed Miliband welcomed the news, but criticised the government for excluding renters.

“This is not a comprehensive plan,” Miliband commented. “It appears there is almost nothing for the people who rent the 8.5 million homes in the social rented sector and private rented sector, which has the worst energy efficiency standards.”

“That means one third of people are left out.”

Most people who receive vouchers will save £5,000 – as long as they spend £2,500.

It’s not clear exactly which energy-saving upgrades the government will agree to fund, but we can tell you how much you would save on each of the most common improvements.

For instance, double glazing costs £890 per window, on average, meaning a government voucher for two windows would save you £1,187. You would pay £593.

You’ll be able to apply for a grant towards recommended energy-saving improvements by accredited local tradespeople in September, when the scheme is set to launch.

As soon as one of these suppliers gives you a quote and the work is approved, you’ll receive your voucher.

In short, no. Not everyone will need – or want – to make improvements which will still cost them £2,500, even with the government grant.

Also, £2 billion is not nearly enough to give each homeowner £5,000.

There were 17.7 million owner-occupier households in 2019, according to the Office for National Statistics, meaning it would take £88.5 billion to provide all of them with vouchers.

However, considering most home improvements cost hundreds of pounds rather than thousands, the Green Homes Grant scheme could still provide much-needed measures to hundreds of thousands – or even millions – of people.

Written by

josh jackman

Josh has written about and reported on eco-friendly home improvements and climate change for the past four years.

His data-driven work has featured on the front page of the Financial Times and in publications including The Independent, Telegraph, Times, Sun, Daily Express, and Fox News, earned him the position of resident expert in BT's smart home tech initiative, and been referenced in official United Nations and World Health Organisation documents.

He’s also been interviewed on BBC One's Rip-Off Britain, BBC Radio 4, and BBC Radio 5 Live as an expert on everything from renewable energy to government policy and space travel's carbon footprint, and regularly attends Grand Designs Live as a Green Living Expert, giving bespoke advice to members of the public about heat pumps and solar panels.

Josh has also used the journalistic skills he developed at The Jewish Chronicle and PinkNews to investigate and analyse every green government grant in existence, and examine the impact on the climate of cryptocurrency, Glastonbury Festival, and the World Cup.

You can get in touch with Josh via email.

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