Keeping Warm And Saving Energy With UK Green Deal Finance

Many residential and commercial buildings in the UK use energy inefficiently and in many cases require a major overhaul of the energy measures installed on the property. In January 2013, the UK government initiated an ambitious plan to help keep people warmer and at the same time help cut the country's carbon emissions by making homes and businesses more energy efficient. The Green Deal Finance plan is designed to help home and business owners make energy-saving improvements to their properties without having to pay for those improvements up front.

What is Green Deal Finance

To ease the financial burden of making energy saving improvements, the Green Deal Finance plan acts like a loan for the property owner. Costs of improvements can be paid over time as an added charge to the energy bill. Any owner can receive these loans, and approval does not depend on income.

For example, someone requiring a more energy-efficient boiler, additional insulation or draft proofing can have this work done right away, without having to make immediate payment for the work. A loan is created and attached to the property which is paid back over a period of time when you pay your energy bill. Essentially the savings you make will be more than the repayments so this is a win/win for you and the environment.

The Golden Rule

The government's golden rule states that the repayments made by you will be less than the amount saved on your energy bills. For the homeowner, this means that they will save more than what has been invested on implementing the energy efficient changes. A second crucial aspect of the plan is that the loan is tied to the house, so that when a homeowner moves the debt continues to be paid by the new owner and is not a personal debt of the initial occupier.

What do we do to see if you qualify for Green Deal Finance

The process to access the loan is straightforward:

  • First you fill out the online form and one of our team will be in contact to ask some additional qualification questions. Then we have your property assessed by a certified agent to determine what energy saving measures are appropriate to the building
  • Then you have a number of options to shop around for an authorised provider who can do the work
  • If some of the work carried out does not qualify for finance this would require top up funding from you to install all of the measures. For rule of thumb most boiler upgrades and insulation work would qualify under the scheme whereas glazing solutions may require top ups

Measures for Owner Protection

There are guidelines in place to help protect home and business owners who enter into a Green Deal Finance arrangement. The professional assessment of work needed will help prevent unnecessary expenses. Authorised providers must meet high standards of work and follow a Code of Practice. Legislation governs credit and collection procedures. Clear procedures are in place to guide changes in ownership of a building and the improvement repayment. Such safeguards make Green Deal Finance an advantageous route for owners wanting improved energy efficiency.

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