The Green Finance Institute and members of the Coalition for the Energy Efficiency of Buildings (CEEB) highlight further pathways to UK Government’s energy efficiency goals

“The Government’s announcement today recognises the opportunity to create jobs and the need to transition towards an environmentally sustainable future are fully aligned. The £3bn energy efficiency package is a welcome investment, which I very much hope is a signal of future direction. To decarbonise the entire building stock in the UK, near-term stimulus must represent the beginning of a long-term strategy if we hope to attract further, and much needed, private sector investment. “At the Green Finance Institute, through our Coalition for the Energy Efficiency of Buildings, we are continuing our collaboration with both the public and private sectors to develop the market for financing zero-carbon and resilient buildings through viable and scalable financial mechanisms that will provide the catalyst for further financial innovation and scale.”

“The step taken today as the UK Government launches its £2bn green homes grant is positive, although only a first step. It will promote the creation of very necessary jobs and raise consumer awareness about the economic and environmental value in making properties more energy efficient. Now we will need to show them how they do that, and what support can be offered if the £5,000 per household vouchers do not cover the full costs. Building societies are committed to play their part to help house-owners make these positive changes.”

“It is positive to see the UK government providing finance for insulating homes. We do, however, have some 28 million homes to upgrade, and that will require much more than the money currently on offer. We don’t need public funding for all those homes, but we do need it for those who are unable to pay for themselves, in a way that that helps attract private capital. Therefore today’s announcement must not be a one-off gesture by one government. If we want to decarbonise our buildings, we need a well-thought-through long-term plan with cross-party support.”

“The Chancellor’s funding of £3bn is a significant first step and will create much-needed jobs across the UK, whilst upgrading and decarbonising our homes and lowering bills. We urge the Chancellor to ensure that quality is at the heart of this scheme and a first piece in the jigsaw of a longer-term energy efficiency home improvement plan. We need £18 billion of additional government investment over the next decade to get to EPC Band C. This must not and cannot be a one-off commitment as a short-term boom and bust approach would be bad for business, our homes and our consumers.”

“Government funding is vital if we hope to decarbonise the housing sector, so today’s announcement is very welcome. Just as important, however, will be the government’s ability to signal a clear direction of travel, and to align other policy levers at its disposal. The business that we work with are keen to innovate in this space, but past cycles of boom and bust have reduced the appetite for risk. In addition, given the green homes grant scheme is going to be delivered very rapidly and a large amount of public money is involved, it is important to avoid risks, such as poor quality or overcharging, as the success of this scheme will influence Government willingness to fund subsequent energy efficiency schemes which will be needed for years to come.”

“The funding announced today by the Chancellor is a welcome step towards reducing the carbon footprint of Britain’s homes, as the price of green products is so often the barrier that prevents consumers from using them. “At Nationwide we launched our Green Additional Borrowing mortgage product earlier this year to enable people to make affordable improvements to their homes, but we have been clear that incentives need to be provided by the government as well. “Today’s announcement will help to give people access to products that will shrink their carbon footprint and their bills. Used alongside our green further advance, members will now be able to make that money go even further. “We have a lot still to do to tackle the critical challenge of climate change, but our research has shown that our millions of members are keen to help, if the right support is in place.”

“Improving energy efficiency in buildings is a tangible way to rapidly bring savings to companies and households, whilst accelerating climate action. Today’s announcement is a step in the right direction. We recognise more needs to be done and we take the opportunity to highlight the crucial role that all players must assume to further the path to net zero. Our Personal Finance and Real Estate arms welcome working with the government to help implement today’s announcements, whilst continuing to develop financial solutions that channel capital to decarbonise the built environment.”

“We have to Build Back Better after Covid-19. But as we accelerate building, we have to avoid stoking up a climate crisis that would be at least as serious as the Covid emergency. The Chancellor’s plan to spend on energy efficiency in buildings is a welcome one, but it is just the first step. We need a long-term comprehensive strategy to drastically reduce emissions from the built environment. For the private sector to meet their net zero ambitions, government must urgently clear the existing policy barriers, and introduce new regulation to provide a clear direction of travel for the industry.”