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Government allocates £50m Social Housing Decarbonisation Fund
Successful bidders have been chosen for a £50m government demonstrator project aimed at finding the best approach to improving the energy efficiency of social housing in Britain.
Seventeen projects have been selected to receive a share of the Social Housing Decarbonisation Fund, announced as part of chancellor Rishi Sunak’s economic recovery plan for the country in the wake of the COVID-19 pandemic.
The funding, which will be matched by successful councils, will help upgrade the energy efficiency of 2,000 of the worst-performing social homes, defined as those with an energy performance certificate (EPC) rating of D or below.
According to the government, 44% of social homes in England are believed to be below EPC C. It has set a target that all social homes must be a minimum of EPC C by 2030.
The winning projects for the fund will not be revealed until the new year, the Department for Business, Energy and Industrial Strategy said.
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A further £60m for the decarbonisation of social housing in 2021/22 was secured as part of the government’s recent Spending Review, with more details on this funding expected in due course.
The government also announced an extension of its £2bn Green Homes Grant, which provides homeowners with vouchers to make energy efficiency upgrades in their homes.
Local authorities are delivering £500m of the Green Homes Grant specifically to support low-income households who may not be able to afford to contribute to the upgrades themselves.
Climate change minister Lord Callanan, said: “I’m delighted with the response from councils so far. This innovative pilot will identify new ways of bringing down the cost of retrofitting social housing, delivering warmer and more energy efficient homes that are cheaper to heat and emit fewer carbon emissions.
“The scheme will also boost the supply chain, support thousands of jobs, and help us drive energy efficiency measures that are the best value for money for all types of housing.
“This is part of our wider commitment to invest over £9bn to increase the energy efficiency of homes, schools and hospitals this Parliament, as we work to reach net zero carbon emissions by 2050.”
Last year, the government committed to hitting net-zero carbon by 2050.
Inside Housing research has revealed that retrofitting all social housing in the UK to meet that target will require an estimated £104bn of investment.
