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Green Deal funding to end, government announces Green Deal funding to end, government announces
(about 1 hour later)
The government has announced it is to cease funding for the Green Deal, spelling the end for its flagship energy household efficiency programme.The government has announced it is to cease funding for the Green Deal, spelling the end for its flagship energy household efficiency programme.
The scheme offers cashbacks and incentives on such things as double-glazing, insulation and boilers.The scheme offers cashbacks and incentives on such things as double-glazing, insulation and boilers.
The Department for Energy and Climate Change said it took the decision to protect taxpayers, citing low take-up and concerns about industry standards.The Department for Energy and Climate Change said it took the decision to protect taxpayers, citing low take-up and concerns about industry standards.
It said it would work with industry to agree a new "value-for-money approach".It said it would work with industry to agree a new "value-for-money approach".
Future schemes, the department said, must provide better value for money, and support the goal of insulating one million more homes and the government's commitment to tackle fuel poverty.
The announcement comes a day after the government said it would be consulting on whether to end subsidies for many new solar farms.
'Value for money''Value for money'
The Green Deal was launched by the previous coalition government, and applies in England, Wales and Scotland.The Green Deal was launched by the previous coalition government, and applies in England, Wales and Scotland.
Under the scheme, householders can use cheap long-term loans to make their homes more energy efficient and cut bills with no upfront cost - and which are then repaid, with interest, through energy bills.Under the scheme, householders can use cheap long-term loans to make their homes more energy efficient and cut bills with no upfront cost - and which are then repaid, with interest, through energy bills.
The government has decided to withdraw further funding for the Green Deal Finance Company, which delivers the programme. However, the first round was criticised for being complicated and low on take-up, with only 1,754 householders signing up to the scheme.
The Green Deal home improvement fund, which provided cash for energy efficiency measures instead of loans, is also to lose its funding. And the parliamentary Energy and Climate Change Committee said the Green Deal had "failed to live up to expectations" and that its implementation had been "poor".
Announcing the decision, Energy and Climate Change Secretary Amber Rudd said: "We are on the side of hardworking families and businesses - which is why we cannot continue to fund the Green Deal. "Rather than facilitating access to energy efficiency measures and creating momentum in the market, the Green Deal has caused frustration and confusion for both consumers and the supply chain," the MPs said.
Announcing an end to future funding of the Green Deal Finance Company, which delivers the scheme, Energy and Climate Change Secretary Amber Rudd said: "We are on the side of hardworking families and businesses - which is why we cannot continue to fund the Green Deal.
"It's now time for the building industry and consumer groups to work with us to make new policy and build a system that works."It's now time for the building industry and consumer groups to work with us to make new policy and build a system that works.
"Together we can achieve this government's ambition to make homes warmer and drive down bills for one million more homes by 2020 - and to do so at the best value for money for taxpayers.""Together we can achieve this government's ambition to make homes warmer and drive down bills for one million more homes by 2020 - and to do so at the best value for money for taxpayers."
The Green Deal home improvement fund, which provides cash for energy efficiency measures instead of loans, is also to lose its funding.
Green MP Caroline Lucas accused the government of taking a "wrecking ball" to climate and energy policies, and said ministers should be prioritising home energy efficiency rather than cutting existing schemes.
She also criticised ministers for making the announcement during the summer recess, accusing the government of evading parliamentary scrutiny".