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As seen on the Guardian Green Deal Home Improvement Fund

Green Deal cash incentive closes its doors. £120 million has been claimed in just seven weeks

Rhodri Andrews

In an unpredictable turn of events, the government has announced that – due to a surge of applications from homeowners to receive up to £7,600 Green Deal Cashback. The full £120 million allocated for the Green Deal Home Improvement Fund (GDHIF) has been spent and the scheme is now empty.


This unfortunate news comes only two days after the government announced that the first £50 million of the Green Deal Home Improvement Fund had been allocated, with successful applicants receiving cash back for installing energy-saving measures in their homes.

Then, the government announced the amount that could be claimed via the Green Deal Cashback scheme was being reduced from up to £7,600 to £5,600, and flue gas heat recovery systems was removed from the list of eligible energy saving technologies, to ensure the remaining funds lasted longer.

Now, the government is claiming that pending applications and payments about to be made mean that the £120 million mark has been reached.

Speaking on the scheme Parliamentary Under Secretary of State for Energy & Climate Change, Amber Rudd, said: “The Green Deal Home Improvement Fund is a world first and in a short space of time it has proved extremely popular.

“We were always clear there was a budget which is why we encouraged people to act quickly. As a result, many more families will now benefit from Government help to have warmer homes which use less energy.”

According to the Telegraph, homeowners who have carried out a Green Deal Assessment, but not yet registered for the GDHIF may find themselves £100 out of pocket.

Policy and Public Affairs Officer at the UK Green Building Council Richard Twinn said the government needed to balance the need for long-term energy efficiency drivers with short-term initiatives.

Speaking on the success of the GDHIF he told the Telegraph: “The sudden and immediate closure of this fund is another setback for the energy efficiency industry because companies have specifically geared up to market and deliver through this scheme.

“These constant changes are not helpful to industry. We now need urgent clarity as to whether Government will bring forward any more money to ensure continuity of Green Deal work.”

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