Households carrying out energy efficiency improvements on their home can now get more money back to offset the cost of having the work done through a new Green Deal Home Improvement Fund.

Households carrying out energy efficiency improvements on their home can now get more money back to offset the cost of having the work done through a new Green Deal Home Improvement Fund.

From June, people in England and Wales will be able to get up to £7600 back through the fund so they can take control of their bills and have warmer, greener homes.

The scheme helps people to install energy efficiency measures such as solid wall insulation and new heating systems by providing them with money back on the contributions they make towards improvements.

Energy & Climate Change Secretary Ed Davey said: “The best way for households to take control of their energy bills is to use less energy. Faulty boilers, draughty windows and insufficient insulation all cause properties to leak hundreds of pounds every year. But advice and support through the Green Deal can help put a stop to this.”

“By installing energy saving improvements, families across the country can enjoy the benefits of warmer, more energy efficient homes and lower bills.”

The average annual bill saving from installing major measures such solid wall insulation in a three-bed semi-detached house is £270, while savings from other measures such upgrading a boiler can knock around £100 off a customer’s bill.

Under the new incentive scheme, which is available from June, domestic energy customers can get:

The scheme also entitles those who have bought a property in the 12 months prior to application to qualify for up to an additional £500 if they carry out energy efficiency improvements.

Philip Sellwood chief executive of the Energy Saving Trust, said: “We welcome today’s announcement of new incentives for energy efficiency. The fact that installers can now get access to incentives means they can help their customers and quicken the pace of uptake. It’s crucial that households are made aware of these financial incentives without forgetting to sell them the benefits: warmer, healthier homes that are cheaper to run.”

“The Green Deal Home Improvement Fund makes it more affordable for householders to improve the efficiency of their homes, and hopefully installers will get extra work as a result - now that’s a win-win.”

The Heating & Hot Water Council (HHIC) agreed that any incentive that encourages people to install energy saving measures into their homes, also helping to meet carbon reduction targets, has to be a good thing.

Inefficient boilers, draughty windows or poor insulation all contribute to higher energy use and therefore higher bills, this fund will help address this, said Roger Webb, director of HHIC. “Replacing an inefficient boiler often acts a trigger for installing further measures.”

The UK Green Building Council also welcomed the forthcoming package of measures, but warned that there is still work to be done.

John Alker, director of policy and communications at the UK Green Building Council, said: “We welcome this package of measures which represents a genuine attempt to rescue the Green Deal and shows that government remains committed to home energy efficiency. The increased cash-back for solid wall insulation is particularly encouraging following the cuts to ECO.”