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Energy Funding

Energy Funding

In the Chancellor’s Summer Economic Statement £3 billion in energy efficiency funding to support COVID-19 recovery was announced. Further details on the housing and public sector building fund updates below.

Housing Funds

Green Homes Grant Local Authority Delivery (LAD) Phase 1

Local authorities can bid for funding under this scheme to improve the energy efficiency of low-income households in their area. Private Registered Providers (registered social landlords) are eligible for funding as part of a local authority consortia.

NOTE: The second round of Phase 1 is separate and in addition to the Green Homes Grant Local Authority Delivery Phase 2 (£500m) which will be administered by the Energy Hubs in 2021/22.  Further information about Phase 2 will follow in due course.

Find out more about the Green Homes Grant Local Authority Delivery here.

Green Home Grant (GHG) Voucher Scheme

The government will provide a voucher up to £5,000 that covers up to two-thirds of the cost of energy efficiency and low carbon heat improvements to your home.

If you’re a tradesperson, make sure you’re eligible to carry out work under the scheme, which will support thousands of green jobs.

Find out more about the GHG Voucher Scheme here.

Social Housing Decarbonisation Fund

The Social Housing Decarbonisation Fund Demonstrator (SHDF Demonstrator) will start the decarbonisation of social housing over 2020 to 2021, and support green jobs as part of the COVID-19 economic recovery plan.

This £50 million programme announced in July 2020 will support social landlords to demonstrate innovative approaches to retrofitting social housing at scale. It will mean warmer and more energy efficient homes, a reduction in households’ energy bills, and lower carbon emissions.

Local authorities (LAs) and LA-led consortia can bid for funding under this scheme to use innovative approaches to retrofitting social housing at scale.

Find out more about the Social Housing Decarbonisation Fund here.

Public Sector Building Funds

Public Sector Decarbonisation Scheme

The Department for Business, Energy and Industrial Strategy (BEIS) has launched the Public Sector Decarbonisation Scheme which will be delivered by Salix. 

The Grant Scheme will offer £1bn of grant funding which aligns with BEIS’ new mission and priorities: fighting coronavirus, backing business, unleashing innovation and tackling climate change. The scheme will also encourage green investment, supporting the Government’s net zero and clean growth goals.

The scheme will be available for capital energy efficiency and heat decarbonisation projects within public sector non-domestic buildings, including central government departments and arm’s length bodies in England only, and will deliver the following objectives:  

  • Deliver stimulus to the energy efficiency and heat decarbonisation sectors, supporting jobs.  
  • Deliver significant carbon savings within the public sector.  

Find out more about the Public Sector Decarbonisation Scheme here.

Public Sector Low Carbon Skills Fund

The purpose of the Low Carbon Skills Fund (LCSF) is to help all eligible public sector bodies to engage specialist and expert advice to identify and develop energy efficiency and low carbon heat upgrade projects for non-domestic buildings and then prepare robust and effective applications for the £1 billion Public Sector Decarbonisation Scheme.

The allocation of this fund will be based on need. Eligible public sector bodies that do not have the capabilities and resources required to submit an effective and robust application for the Grant Scheme will be prioritised.

Find out more about the Low Carbon Skills Fund here.