Social sector gets £100m for insulation
An extra £100 million is being put into the decent homes programme to improve the energy efficiency of social homes.
The cash will be spent over the next two years, and is designed to improve the insulation of 150,000 homes, and save households an average of £120 a year. It should also cut CO2 emissions by 120,000 tonnes a year.
The chancellor, Alistair Darling, announced ‘£435 million of extra support to deliver energy efficiency measures – for homes, businesses and public buildings’ in his Budget speech.
The money breaks down as £70 million for small-scale decentralised power generation, and community energy schemes, £10 million for waste infrastructure, £100 million for businesses, and £65 million for public buildings.
Of the remaining £200 million, half will go on improving the insulation of homes in the social sector, and £100 million will go to councils to build energy efficient homes.
Overall the £435 million should save 380,000 tonnes of CO2 emissions a year, and £60 million in fuel bills. It will also help the government meet its new carbon budgets, which were also introduced in the Budget.
These commit it to a 34 per cent reduction in emissions compared with 1990 levels by 2020.
Paul King, chief executive of the UK Green Building Council, called the overall efficiency funding ‘a wasted opportunity’.
‘More should have been done to make green refurbishment affordable and attractive to home owners in order to cut carbon emissions and create green-collar jobs,’ he said.
Andy von Bradsky, chairman at PRP Architects, said he was encouraged by the support for energy efficiency, but added: ‘But my regret is that VAT on refurbishment was not reduced to provide an additional incentive to greening our existing stock.’
Comment
Tim Ashton, director at Hunters Architects, gives his view on the Budget
It is good to see that despite the current economic climate, the government is pursuing a green agenda and we welcome some joined up thinking by government in their 2009 budget.
As well as establishing a legally binding 34 per cent reduction in carbon dioxide emissions by 2020, there is recognition that the best way to achieve this is through energy savings in the first instance.
Alistair Darling promises an additional £100 million to improve insulation for 150,000 homes in the social sector through decent homes. Given there are 26 million homes in the UK, this is a drop in the ocean, but an important measure none-the-less. We hope that this may result in good carbon value for the investment.
Then to the £100 million allocated to councils, to deliver new social housing at higher energy efficiency standards. If this were to marry up with eco-towns or be invested in a handful of new projects, the UK could proudly exhibit the abilities of our construction industry to the world. The alternative is to share this sum equally amongst the approximately 400 local authorities in the UK and see what splendour can be achieved with £25,000 – it may even pay for the administration.
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Readers' comments (1)
Jim Barrie | 23/04/2009 2:04 am
The £100 million to help insulate homes is a major step forward to reducing fuel poverty particularly with escalating energy prices.
This will prove a welcome boost to the over 70's and those on disability benefits who are eligible for 100% grants for loft insulation and cavity wall insulation.
As more people become aware of these grants it should be interesting to see if the very high levels of subsidies available to everyone will be continued to be funded after the next election.
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