£6bn Funding Package for Decarbonisation Measures
On 18th December 2023, the Department for Energy Security and Net Zero announced that between 2025 and 2028, it would be allocating £6 billion of funding to support energy efficiency measures in British homes and businesses.
In its official statement, it said that “around a million homes will be made warmer and hundreds of businesses supported.” The funding will include targeted support for 200,000 low income, cold and social homes, and an extra £1.5 billion for the Boiler Upgrade Scheme, which is supporting the roll-out of heat pump technologies.
It added that: “families will benefit from a range of options to heat their home for less and reduce emissions through energy efficiency measures, such as insulation for around 500,000 homes.” External wall insulation will be just one of a wide range of measures covered by the funding.
For companies working in the decarbonisation sector, this is a significant allocation that will give them the confidence to invest and expand. This will be true for retrofit designers, manufacturers, installers and many other businesses and professionals working within the industry.
Responding on behalf of PermaRock Products, Sales Director Richard Tocher said: “As a leading external wall insulation company, we're excited about the impact this funding will have. It's not just about meeting the UK’s Net Zero targets; it’s about revolutionising homes and transforming people’s living conditions. This investment signals a step towards a greener, more energy-efficient future.”
Our company chair, Derek Horrocks has played an important role in supporting government decision-making in respect to retrofit decarbonisation and the UK's progress towards Net Zero. As chair of the National Insulation Association (NIA) and recently formed National Home Decarbonisation Group (NHDG), Derek regularly engages with policy-makers offering invaluable industry insight, guidance and support to government.
The funding was originally announced in the Autumn Statement of 2022 but this latest announcement confirms how it will be spent. The government writes that “subject to business case approval and value for money assessments” it will support schemes such as:
- An extension to the Boiler Upgrade Scheme
- A £400 million energy efficiency grant, launching in 2025, for households in England to make changes such as bigger radiators or better insulation
- A new local authority retrofit scheme, allocated £500 million to support up to 60,000 low-income and cold homes, including those off the gas grid, with measures such as insulation
- £1.25 billion for the Social Housing Decarbonisation Fund, to support retrofit insulation work to 140,000 social homes.
At PermaRock, we welcome the announcement and stand ready to contribute our expertise, passion, and industry-leading solutions to make the Net Zero 2030 commitment a reality.