£5,000 towards home improvements – benefit from the Green Homes Grant

The government putting £5,000 towards your home improvements sounds like a good deal. This is what you need to know about the Green Homes Grant

home improvements - Green Homes Grant
(Image credit: Kasia Fiszer)

The Green Homes Grant that offers to reimburse green home improvements up to £5,000 (£10,000 for low-income households) couldn't really have come at a better time. Because there's one thing that homeowners have had in common over the course of this pandemic, and that's taking their household choices, bills and the likes, into their own hands. 

Energy efficiency was one of these points of interest – people started reflecting and researching how to avoid enormous usage – and not only for the world's benefit, but also for our budgets. 

And, many of us started contemplating different types of house renovations also. So, when one of the easiest ways to improve your home's energy efficiency – long term – is actually through 'efficient' insulation, double glazing and the likes, it starts to become clear that some home improvements could be the way forward. 

It's no secret that insulation doesn't come cheap, so home improvement grants are always more than welcome... Enter the Green Homes Grant. This is what you need to know.

What's the deal?

Part of a £3 billion Government-led scheme in a bid to reduce Britain's carbon emissions drastically by 2050, home improvement grants – namely the Green Homes Grant – were one of the main topics in this year's summer statement that highlighted the main works being put in place to help not only recover the economy, which dipped by 25%* during the pandemic, but also, to improve our stance on sustainability.

Along with the welcomed cut on stamp duty cut, the Green Homes Grant should see the government investing up to £5,000 on households looking to update their property to make them more energy efficient, allowing fully funded or low income households to claim the entire cost of the work, up to £10,000.

If you're a landlord, the Government should match the work costs: £2 for £1.*

Who is eligible for the Green Homes Grant? 

Homeowners (inc. long-lease or shared ownership properties) and landlords in England will be able to apply, with a confirmed 650,000 homes to be covered by the grant.

Though, according to Money Saving Expert, new-build properties will not qualify. And those in Scotland won't be eligible at all.

What will the Green Homes Grant cover?

The Green Homes Grant will cover the following installations:

Top up energy-efficiency instalments include:

What's the catch?

Less the catch and more the requirement – part of the home improvement must include the installation of low carbon heating or of insulation, in addition to the other renovations.

If you already have these, not all is lost, you can use the voucher towards a 'top up'. However, if you want to replace what you have, you won't qualify.

Another point to note is that while this may seem like a lot of money, the home improvements listed as required are more expensive that you might think, especially if you want to invest in a long term solution and therefore, best quality double glazing, for example. This depends on your requirements and on the size of your home, so make sure you do the maths before going ahead with your application.

When can you apply for Green Homes Grant vouchers? 

The scheme is scheduled to let homeowners and landlords apply as soon as September. And from the end of August, those considering work should be. able to seek advice from the Simple Energy Advice service (SEA).

Rishi Sunak stated:

"From September, homeowners and landlords will be able to apply for vouchers, to make their homes more energy efficient and create local jobs."

Note that the current scheme end date is March 2021.

How can I apply for the Green Homes Grant?

This should be via an online application where you'll need to specify the work being carried out, detailing the energy efficiency measures being put in place.

This is then sent on to accredited local suppliers, and once one approves the work required and supplies a quote, the voucher will be issued directly by the government.

Anymore for anymore?

Another benefit to this is the likelihood of seeing improvements in public sector buildings, with a £1 billion release on funding to improve their energy efficiency also.*

Read more:

* Parliament news

** BBC Summer statement summary