Department of Energy and Climate Change
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£125m Green Deal cashback scheme opens

"Energy saving has never been so attractive" – that’s the message from Edward Davey today as he announced the Green Deal Cashback Scheme is open, with hundreds of pounds of cash available to householders in England and Wales who make energy saving home improvements.

Householders who use the Green Deal to make improvements such as loft insulation, solid wall insulation and new heating systems will qualify. Packages could be worth over £1,000.

The more work households decide to have done, the more cash they could receive. To qualify for the Cashback Scheme, households need to book a Green Deal property assessment so they are then ready to have improvements installed under the Green Deal from 28 January and get their cashback.

Energy and Climate Change Secretary Edward Davey said:

“The Green Deal will be a great offer for people to insulate their homes from the cold, and their wallets from rising energy prices. With cashback too, energy saving has never been so attractive.

“Our Cashback Scheme is a generous offer but it’s first-come, first-served so householders need to be quick off the mark. Get an assessment, be ready to have home improvements done with a Green Deal when it launches on 28 January and then get your cashback.

“This also sends a clear message to the industry that the Green Deal is coming. Green Deal Providers and businesses in the supply chain need to start gearing up to take full advantage of what promises to be an exciting new market.”

Neil Schofield, Head of External and Governmental Affairs at Worcester Bosch, said:

“The opening of the Green Deal Cashback Scheme really underlines the progress being made on the Green Deal ahead of the first plans being signed on 28 January. This is a great offer for consumers and will help us to attract early customers, so it’s good news for business too.

“This is a clear signal that the Green Deal is building momentum and I’m delighted there is such a strong incentives scheme in place to encourage early take up. We’re excited about how this could open up the energy efficiency market.”

The Green Deal is the Government’s new initiative to transform the UK market for energy efficiency. It will let homes and businesses make energy efficiency improvements with the costs repaid through expected savings on their energy bills.

The Green Deal Cashback scheme is a time-bound offer and is limited to one per household, but can cover a package of improvements so long as the householder is contributing to installation costs and work done is overseen by an authorised Green Deal Provider. To qualify for the Cashback Scheme householders need to:

  • have a Green Deal assessment carried out on their property;
  • get and agree quotes from a Green Deal Provider (this could be directly with a national brand or through a local tradesperson linked with a Provider);
  • apply for a cashback voucher onlineExternal link or by phone (0300 123 1234); and
  • complete works within the specified period.

Customers wanting to find out more about the Green Deal and book a property assessment can call the Energy Saving Advice Service on 0300 123 1234. 

A total of £125 million is available so hundreds of thousands of people could qualify. The rates currently available are guaranteed for the first £40 million of the scheme. Community minded households will have the option of donating some or all of their cashback to registered charities and Community Interest Companies who have signed up with the scheme administrator. 

The Cashback Scheme also applies to private or social landlords who can benefit if they are the property improver and are paying the costs themselves.

Notes for Editors

  1. The Green Deal Cashback Scheme rates can be viewed on the GDcashback websiteExternal link.These rates are guaranteed from 28 January 2013 until the first £40 million is spent. The Government wants as many people as possible to be able to benefit from the scheme so conditions may change subsequently.
  2. Cashback levels are based on the energy efficiency savings typically attached to the qualifying measures. Loft and cavity wall insulation is the simplest and most cost effective basis for an energy efficient home so the cashback will be conditional on having such insulation installed at the same time as other measures if the Green Deal assessment recommends it – the householder gains because the cashback grows.
  3. The worst off households and those in harder to treat properties will benefit from energy efficiency measures being installed for free, or at a significantly subsidised cost – primarily as a result of the Energy Company Obligation (ECO), a subsidy from energy suppliers towards the cost of improvements worth up to £1.3 billion and available to some households from early next year. To avoid over-rewarding people who may be in receipt of support from ECO, the amount of cashback that can be received will be capped at 50 per cent of the applicant’s installation costs – so householders will have to contribute at least twice what they can receive in cashback.
  4. There will be additional caps on cashback payments made to landlords to ensure a fair distribution of the funds and to comply to State Aid requirements.
  5. The Green Deal Cashback Scheme will benefit authorised installers and assessors who can use it to attract customers where they are working with a Green Deal Provider. They can find out more about the Green Deal on the ORB website or through one of the certification bodies.


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