Government allocates £67m from Home Upgrade Grant scheme

The government has announced a £67m package to “upgrade insulation in homes and install low-cost clean heating”.

The funding forms part of the government’s Home Upgrade Grant (HUG) scheme and will be allocated to local authorities across England to improve up to 4,300 low-income, off-gas grid households.

Grants will pay for energy efficiency measures such as wall and roof insulation as well as new low-carbon heating systems, thermostats and room heating controls, expected to be delivered before the end of March 2023.

It is the first round of funding from a total of £950m that was allocated to the HUG scheme by the government last year and will be available over the next three years to 2025.

Business and Energy Minister Lord Callanan said: “This funding will make a real difference to thousands of low-income households – saving them up to £200 a year on their energy bills through upgrades like better insulation.

“This is just the first round of the £950m funding we have committed over the next 3 years and will ensure we help those most in need. It will keep more money in people’s pockets, at the same time as making homes warmer, more comfortable and greener.”

The Home Upgrade Grant provides energy efficiency upgrades and low-carbon heating to low-income households living off the gas grid in England to tackle fuel poverty and meet net zero.

The worst performing low-income, off gas grid homes, ranging from Energy Performance Certificate (EPC) Bands D to G, are eligible to receive upgrades under HUG.

Regional spread of latest HUG funding: