The Government needs to take bolder measures to boost the Green Deal, including slashing VAT on renovation and repair work and funding a high-profile communications campaign to market the scheme to the general public, said the Federation of Master Builders (FMB) as the Department of Energy & Climate Change (DECC) announced changes aimed at streamlining and simplifying its underperforming energy-efficiency scheme.

Brian Berry, Chief Executive of the FMB, said: "It is clear from the announcement that the Government recognises that the Green Deal has so far not delivered and requires significant changes if it is to successfully engage home owners and installers alike. However, the changes to the Green Deal announced today simply do not go far enough. There are two fundamental elements missing from today’s list of changes. Those behind the Green Deal need to look at how to encourage and support more SME installer firms to take up training so they become qualified to deliver improvements as certified installers. Right now it is just not cost-effective for many small businesses to take employees off the job to attend courses when demand for Green Deal work has been tepid at best. A voucher scheme or cashback offer for firms that avail themselves of certified training would go a long way to upskilling the nation’s SME builders to deliver the Green Deal."

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Mr Berry added: "Although the increase in funds available to local authorities this year through the Green Deal Communities initiative from £20 million to £80m is welcome, a far more effective financial incentive would have been the introduction of a reduced rate of VAT for housing renovation and repair. This is something that would have a positive impact across the board by incentivising those who want to engage with the Green Deal, but also those who want to pay for the work upfront – and not just those who have just moved house."

(CD/IT)