The Chartered Institute of Housing (CIH) has welcomed the government’s announcement of greater funding support to make homes more energy efficient and cut bills.
The £6bn package announced yesterday is intended to help decarbonise industry and business, as well as homes in the UK. It is intended to make over one million homes warmer, and also provides targeted support for 200,000 low income residents in “cold and social homes”.
Funding includes £1.25bn for the Social Housing Decarbonisation Fund (SHDF) for the years 2025/26 to 2027/28, according to the Department for Energy Security & Net Zero (DESNZ).
Furthermore, an extra £1.5bn is pledged for the Boiler Upgrade Scheme, to encourage homeowners to upgrade their heating systems to air or ground source heat pumps.
Gavin Smart, the CIH’s chief executive, said: “With high energy prices here to stay, improving the energy efficiency of our homes is one of the surest ways of cutting carbon, reducing fuel poverty, and improving housing quality.
“That’s why CIH has continually called for additional government investment in energy efficiency schemes, and we are delighted to see these announcements, especially the largest wave of the Social Housing Decarbonisation Fund to date.
“The announcements recognise the leading role that local authorities and housing associations have played in pioneering the retrofit of existing homes, enabling beneficiaries to live warmer, healthier, and happier lives.
“Taken together, these schemes will make a huge difference in supporting the ambitions of many housing providers and homeowners to improve the energy efficiency of their homes and transition to low-carbon heating, as well as unlocking significant amounts of private investment.
“We look forward to working with the department and our members to maximise the impact of these schemes for residents and providers alike.”
Announcing the package, energy secretary Claire Coutinho said: “Cutting energy bills is my top priority. [This] funding will help those who are most in need and keep around a million more families warm during winter.
“Everyone deserves to live in a warm, energy efficient home. We have already made excellent progress with nearly 50% of properties in England now having an Energy Performance Certificate of C – up from just 14% in 2010.
“This funding will help us go even further and will improve 200,000 cold, low income and social homes.”
Chancellor of the Exchequer, Jeremy Hunt, added: “Investing in energy efficiency combined with energy security, is the only way to stop ourselves being at the mercy of international gas prices, one of the main drivers of inflation.
“This investment will support households and businesses across the country to make greener choices, in a way that doesn’t add a burden to working people.”
According to DESNZ, the funding comes on top of £6.6bn capital funding already committed from 2022 to 2025.
Bang for the buck
In further industry reaction, Greg Jackson, chief executive of Octopus Energy said: “Heat pumps are rapidly becoming cheaper and quicker to install, in more and more homes, and it’s clear that this technology is the heating of the future. Our customers love heat pumps, and we’re planning on hiring two thousand new engineers next year alone to try to meet rocketing demand. This increased certainty from government enables us to invest with confidence and will unlock cheaper, cleaner heating for the UK.”
Mike Thornton, chief executive of the Energy Saving Trust, said: “Improving the energy efficiency of our homes and accelerating the electrification of heat are both vital for reducing our reliance on imported fossil fuels, achieving the UK’s net zero targets and permanently lowering people’s energy bills.
“We welcome these new schemes and additional funding which will help provide much needed incentives to encourage more people to upgrade their homes. We look forward to learning more about the detail including plans for roll out and engagement, as well as how we can help the UK government to ensure they are as successful as possible in supporting people to get the right measures into their homes.”
Image credit: irin-k/Shutterstock
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