Only four people sign up for flagship Green Deal

 
roofers insulating roof The Green Deal has got off to a slow start

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Only four people have so far signed up to a flagship government scheme to make homes more energy-efficient.

The Green Deal, which was launched six months ago, was designed to provide measures such as home insulation.

The Department for Energy and Climate Change (DECC) said just four households have "pending" green deal plans.

However, DECC said that with more finance providers in place, it expected a steady rise in numbers.

In total it said there had been 38,259 Green Deal assessments, where customers are given initial advice about what energy improvements they might be eligible for.

Of those, 241 households have confirmed they would like to proceed with work.

Start Quote

It will take time as this brand-new market finds its legs.”

End Quote Greg Barker Minister for Energy and Climate Change

A spokesman for DECC told the BBC that "some" of the four people who have signed up to the Green Deal will have had building work completed, but he was not able to be more precise.

"A slow start should have been expected for the Green Deal, but it has clearly not fired consumers' imaginations," said Mike O'Connor of the watchdog Consumer Futures.

Finance

The government said there had been a delay in getting finance providers approved, with only five lenders signed up so far.

"The very first wave of Green Deal finance providers have only just got their individual finance terms and conditions in place," said Greg Barker, Minister for Energy and Climate Change.

But he said he expected 50 loan providers to be approved by the end of the year.

"It will take time as this brand-new market finds its legs, but I now expect the number of plans signed to start steadily rising," he said.

But Labour said the figures were proof that the scheme was not working.

"The Green Deal was billed as the biggest home improvements programme since World War 2, but these figures show it is failing," said Luciana Berger, shadow minister for energy and climate change.

"Households need help with their energy bills now - not in 10 years' time," she added.

Under the Green Deal, householders take out loans to finance improvements such as double-glazing, or more efficient boilers.

The idea is that the energy savings they make should more than compensate for the repayments.

The loan remains with the property, not the individual.

 

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  • rate this
    +7

    Comment number 46.

    The risk is too high for many firms to get involved. The loans are recoverable through utility bills, but utility companies can write them off in extreme cases, leaving the financier high and dry.

    Also, if you want a house, would you buy one that comes with a debt that you have to repay? I wouldn't.

    Local councils are running their own incentives, which are far better thought through.

  • rate this
    0

    Comment number 45.

    Because no-one has the money to make the improvements, have they seen how much it cost to make a standard 3 bedroom home 'Green'. Where is the money going to come from? The government? I think they need to worry about other improvements first!

  • rate this
    +8

    Comment number 44.

    We have tried repeatedly to find a company in the North West who would do an assessment on our home and have met with a complete lack of response. We even contacted our local council who are supposed to have govenment funding to carry our these inspections but never received the promised call to arrange a time and date. It's a total waste of time and other responses show the deals as overpriced.

  • rate this
    0

    Comment number 43.

    Ofgem warned today that UK power reserves could fall to just 2% within 2 years, and yet Sky boxes on standby alone require more than that.

    One solution is domestic tariffs with an "escalator".

    For example: 1st 300 units per month @ 10p, next 500 @ 20p, next 1000 @ 30p, etc.

    This would be attractive for frugal users, and help encourage even the most wasteful consumers to be more energy aware.

  • rate this
    +6

    Comment number 42.

    No take-up? I'm not surprised, judging by the pair of dodgy geezers who showed up at my front door saying I could get a grant for this and that but had no paperwork, and were beginning to imply that a bit of cash up front might speed things up when I shut the door. Just like the infrastructure huff and puff from Osborne's Statement, I'll believe it when I see it.

  • rate this
    +10

    Comment number 41.

    Nobody in their right minds will be bying a property with a debt saddled onto it because of the Green Deal. Who on earth would pay the balance for the previous owners to have had the benefit of insutaltion on the dwelling. Madness. This system is doomed.

  • rate this
    +3

    Comment number 40.

    Global warming is not just about CO2 it’s about the additional heat we throw off into the atmosphere and by burning fossil fuels we are burning stored energy in addition to that of the sun. Solar energy on the other hand simply recycles the suns energy and reduces CO2 so why have they reduced the tariff?

  • rate this
    +5

    Comment number 39.

    A joke to 'Save Money' for both the Government and Heating providers .... the old scheme worked, at least for 40,000 households pa. The new one is designed to push costs back to the poorest, but disguised in their fuel bills. Either we want to go green or we don't ... on the cheap won't work.

  • rate this
    +18

    Comment number 38.

    Make your home unsalable with a debt for overpriced improvements. Our condensing gas boiler has cost more in repairs than its saves in gas so is scheduled for replacement after only 7 years. Obviously the manufacturer has worked out that service contracts are a nice little earner and the boiler design has no engineering margins, even the spare parts fail after a short time.

  • rate this
    +10

    Comment number 37.

    But won't energy efficient homes mean people will use less energy and therefore it will make a dent in the profit of energy suppliers so they will just increase prices to keep their greedy shareholders happy? Any consumer who thinks they save money in the long-term are having themselves on.

  • rate this
    +4

    Comment number 36.

    why would Osbourne want you to save money in your energy costs? That's not his policy, hence the green deal has intentional;ly been mismanaged to the point of destruction - shame really, if the emphasis had stayed on loft insulation, cavity wall insulation etc rather than buying a new boiler you don't need, it would have been great.

  • rate this
    +2

    Comment number 35.

    Paying big sums for a survey to tell you you do not have obvious insulation is a rip off from the start? There is no help if you simply pay for it rather than pay interest for ages. Just an other con to base life on debt. Far simpler just not to put heating on so much. I would need exterior solid wall insulation, could DIY, but they want overpriced 'systems' used. My heat cost nothing last year!

  • Comment number 34.

    This comment was removed because the moderators found it broke the house rules. Explain.

  • rate this
    +4

    Comment number 33.

    Just another instance of government picking winners and losers, fiddling with the market where they have no business being involved, and ultimately making a very expensive hash of it.

  • rate this
    +5

    Comment number 32.

    The green deal sucks! If would be better for the government to spend 50billion on giving cash to homeowners to Eco Bling or better still investing it into public services and local government rather than wasting it on HS2.

  • rate this
    -1

    Comment number 31.

    14.rememberdurruti
    Yet another failed Tory policy,

    I believe this was introduced by the last government and re-launched by this one. Anyway, it seems to me to be a case (again) of a good idea badly implemented, but who is to blame for that? My opinion is that it is the public sector senior managers and civil servants incompetance showing again - the cause of many policy failures.

  • rate this
    +4

    Comment number 30.

    Another bad idea from the government - who'd have thunk it!

    It's pretty clear what all these 'green' initiatives between government and the privatised utilities are all about. Decrease the level of usage - but increase the unit price! Or simply introduce a standing charge, such as the gas and electricity companies are looking to move onto.

    Taking the British public for suckers!

  • rate this
    +4

    Comment number 29.

    So the previous subsidies for insulating your home ended at the end of 2012 without letting the public know. The lack of take up of the green scheme shows it has been terribly planned (what a surprise). I wonder how many insulation installers are sitting at home unemployed as their firms have now gone bust as they have had no work for the last 6 months??
    Totally tragic.

  • rate this
    -7

    Comment number 28.

    So that would be a vote of no confidence in this "Climate Change" Green Scam.

    Looks like Jo & Jill public aren't as daft as the government seems to think.

  • rate this
    -2

    Comment number 27.

    23.
    Dellb
    6 Minutes ago

    Obviously people voted for them. You fool.

 

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