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11/03/2025

170,000 Homes To Benefit From £1.8bn Energy Efficiency Upgrades

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The government has announced the allocation of £1.8 billion to local authorities and social housing providers to fund energy efficiency upgrades in up to 170,000 homes across England. This initiative, part of the Warm Homes Plan, aims to help families reduce energy bills and improve their homes.

The funding, distributed through the Warm Homes: Local Grant and Warm Homes: Social Housing Fund schemes, will target low-income households and social housing tenants. Upgrades will include insulation, solar panels, and heat pumps, helping households save hundreds of pounds annually.

Minister for Energy Consumers, Miatta Fahnbulleh, said: "Living in a warm, comfortable home should not be a luxury. It is a right that has been out of reach for too many people for too long. By giving this funding to local authorities and social housing providers we are delivering on our promise to improve the homes of thousands of people across England. As part of our Plan for Change, we are powering on with our Warm Homes Plan, upgrading cold and draughty homes so they are warmer, cleaner, and cheaper to live in."
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Key aspects of the funding include:

• £1.29 billion allocated to 144 projects through the Warm Homes: Social Housing Fund.

• £500 million allocated to 73 projects across 270 local authorities through the Warm Homes: Local Grant.

• Funding allocations to West Midlands Combined Authority and Greater Manchester Combined Authority as part of the Warm Homes and Public Sector Decarbonisation Devolution Programme.

The initiative complements other government efforts to improve energy efficiency, such as consulting on plans to mandate energy performance improvements for private landlords and increasing funding for heat pump installations.

Kate Henderson, Chief Executive of the National Housing Federation, said: "We welcome this funding allocation to help decarbonise England's social homes; a crucial step towards the government's commitment to tackle fuel poverty.

"With the fund oversubscribed, it is clear that there is both momentum and appetite among housing associations to upgrade their homes at scale and pace. The sector is working hard to ensure all their homes meet C by 2030, in line with the government's net zero target. 

"Decarbonising our homes is a win win for residents, the government and our planet, creating warmer homes, saving residents money and tackling the climate emergency."

The government aims to enhance energy security and reduce reliance on volatile global fossil fuel markets, contributing to higher living standards across the UK.

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