£200 savings on bills with energy efficiency investment

Thousands of households will see energy bills reduced by up to £200 a year as government announces £67 million to install insulation and clean heating.

Part of the government’s Home Upgrade Grant scheme, the funding will be allocated to local authorities across England to improve up to 4,300 low-income, off-gas grid households - which are reliant on alternatives such as bottled gas and oil to heat their homes.

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 £950 million that was allocated to the HUG scheme by the government last year and will be available over the next three years to 2025.

The £67 million of HUG funding will go to 22 local authorities across England and builds on the Sustainable Warmth Competition in December, which saw £152 million allocated to more than 250 other local authorities to drive improvements in the energy efficiency of homes. Energy efficiency upgrades from funding announced today will be delivered before the end of March 2023.

Lord Callanan, Business and Energy Minister, 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 £950 million 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.”