黑洞社区

The government has closed its 拢120m Green Deal cash-back incentive scheme with immediate effect due to 鈥渙verwhelming popular demand鈥�.

The Department of Energy and Climate Change (DECC) said this morning that due to a surge in applications over the last two days the 拢120m allocated budget for the Green Deal Home Improvement Fund had now been reached.

The move comes after that 7,925 cashback vouchers totalling 拢43.5m had been issued through the fund in the six weeks to 21 July, with a further 4,295 voucher applications received.

This prompted DECC to lower the amount of cashback homeowners could get for installing solid wall insulation, the most expensive measure supported by the scheme, from 拢6,000 to 拢4,000 - a move that was meant to come into effect today.

The incentive fund was designed to stimulate take-up of the Green Deal, which has struggled to gain momentum since it was launched at the beginning of 2013.

Energy minister Amber Rudd said: 鈥淭he Green Deal Home Improvement Fund is a world first and in a short space of time it has proved extremely popular.

鈥淲e were always clear there was a budget which is why we encouraged people to act quickly.

鈥淎s a result, thousands more families will now benefit from Government help to have warmer homes which use less energy.鈥�

DECC said it would monitor voucher redemption rates and would consider whether to launch a further offer should funds become available. 

Richard Twinn, policy and public affairs officer at the UK Green 黑洞社区 Council, said: 鈥淭he 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.

鈥淭hese 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.

鈥淭his does demonstrate that we need long-term drivers, not short term pots of cash to avoid this continual cycle of boom and bust.鈥� 

Nigel Banks, Keepmoat Group director of sustainability said the closure of the scheme was a 鈥渂low to the energy efficiency industry鈥�.

鈥淯nfortunately, this now leaves many householders with pretty much no support from government to improve the energy efficiency of their home.

鈥淚t also will leave many smaller installers struggling to generate any business 鈥� which means jobs could be put at risk.鈥�