UK offers “green deal” — no takers

Not one application for loans designed to "green" 14 million homes

  • Green Deal House Q

What if they gave a government program and nobody came?

Britain’s coalition government adopted the “Green Deal” as part of its scheme to reduce UK carbon emissions by 80% by 2050.  The plan provides loans of up to £10,000 to property owners for insulation and energy improvements with a goal of insulating and “greening” 14 million homes by 2020.  There are no up-front costs, rather the “deal” provides loans which are to be repaid over up to 25 years through higher utility rates.

Although the deal includes a “golden rule” which projects that property owners savings should eventually outweigh the costs, not one person has yet taken the deal (let alone 14 million).  Participation in the deal begins with a property assessment.  In a response to a written inquiry, Energy Minister Greg Barker conceded that “while we understand a number of appointments for the in-property assessments have been made, no assessments have yet been lodged on the register.”  Barker previously boasted the Green Deal would prove “the biggest home improvement programme since the Second World War.”

Not only property owners and tenants are wary of the Green Deal as few businesses have signed on to become Green Deal providers.

The Daily Telegraph proclaimed the Green Deal “in tatters” and reported that:

Brian Berry, the chief executive of the Federation of Master Builders, said: “Only one building company [that is a FMB member] has signed up to become an installer out of 10,000 because that demonstrates the lack of a market.”

The Government’s official register of Green Deal installers, providers and assessors – including non-FMB members – shows that just under 300 companies have signed up to be involved.

The Cameron – Clegg coalition government is learning the hard way that when left free to choose, it is difficult to entice people to accept higher rates in exchange for savings decades later — if savings materialize at all.

There are benefits to be gained through energy efficiency, but government programs are seldom the answer.  The government was unable to entice anyone into the program despite sweetening the deal with £125 million in public funds available in cashback to early participants.  We predict further sweeteners and advertising campaigns ahead.  If these fail, let’s hope the government doesn’t turn to coercive penalties, taxes or fees to drive the unwilling into the scheme.

Perhaps UK citizens would be more willing to accept a deal which includes rate increases if Britain’s alternative energy schemes weren’t already driving rates painfully higher.

In April,  Prime Minister Cameron told a meeting, “when I became prime minister I said I would aim to have the greenest government ever and this is exactly what we have.”  So far, UK householders aren’t following his lead, nor do voters seem prepared to reward his efforts, greenest or not.

No one has yet to take the “Green Deal” despite government projections of the following savings:

Annual Saving*
Gas Condensing Boiler
Oil Condensing Boiler
Under Floor Heating
Biomass Stove
District Heating
Hot Water System
Fan Assisted Storage Heater
Radiant Heating
Solar Water Heating
Warm Air Unit
Under Floor Heating
Water Chiller
LED Lighting
Power Generation
Air Source Heat Pump
Ground Source heat Pump
Water Source Heat Pump
Micro Combined Heat & Power
Solar PV
Solar Thermal
Transpired Solar Collector
Biomass Boiler
Micro Wind Generation
Cavity wall Insulation
Solid Wall Insulation
Loft Insulation
Attic Room Insulation
Flat Roof Insulation
Door Glazing
Window Glazing
Secondary Glazing
Frame Ceiling
Duct Insulation
Pipe Insulation
Under Floor Insulation
Draft Proofing
Energy Efficiency
Lighting Control
Other Heating Control
Air Con Control
Hot Water Control
Efficient Shower
Efficient Hot Water Tap
Solar Shading
Variable Speed Fan
Heat Recovery
Flue Gas Heat Recovery
Ventilation Heat Recovery
Waste Water Heat Recovery

*Estimated for average UK household


About the Author: CFACT Ed

  • bobby kirsch

    Every time government gets involved it screws it up.

  • Johnpd

    The govt don’t get it, most people now don’t believe the “Mann made Global Warming/ Climate Change Scam.

  • Eckenhuijsen Smit

    I wrote Cameron and Glegg, even before they were elected, to try to understand that CO2 has nothing to do with any global disaster.
    So “to reduce UK carbon emissions by 80% by 2050″ is a senseless stupidity, very often exhibited by politicians!