Green Homes Grant: How to redeem your claim

Making your home energy efficient

The £2bn Green Homes Grant was introduced by Chancellor, Rishi Sunak in last year’s Summer Economic Update to help homes become more energy efficient and create local jobs.

Under the scheme, the government provides at least £2 for every £1 homeowners and landlords spend to make properties more energy efficient, up to the amount of £5,000 per household. Those on the lowest incomes, are funded up to £10,000 per household. The focus of the scheme has been on upgrading over 600,000 homes with the hope of supporting over 100,000 green jobs in the long term.

The scheme closed for applicants on 31st March 2021.

Eligibility

If you applied for a voucher before 31st March 2021, you may be eligible for a voucher if you:

  • Are a homeowner (including long-leaseholders and shared ownership)
  • Are a residential landlord in the private or social rented sector (including local authorities and housing associations)
  • Own a park home on a residential site

Newly built homes which have been previously unoccupied are not eligible for the Green Homes Grant.

What can the voucher be used for?

In addition to labour, materials and VAT, the voucher can be used for home improvements. These are divided into two categories of “primary” and “secondary” measures.

Primary measures include:

  • Insulation:
    • Flat and pitched roof insulation
    • Cavity wall insulation
    • Loft insulation
    • Under-floor insulation (solid floor, suspended floor)
    • Insulating a park home
    • Solid wall insulation (internal or external)
  • Low carbon heat
    • Biomass boiler
    • Air source heat pump
    • Solar thermal (liquid filled flat plate or evacuated tube collector)
    • Hybrid heat pump
    • Ground source heat pump

Installing at least 1 primary measure will mean that your voucher can be used to cover the cost of any secondary measures. You cannot use the voucher to repair secondary measures you already have installed in your property.

Secondary measures include:

  • Windows, doors, insulation and draught proofing
    • Double or triple glazing (where replacing single glazing)
    • Secondary glazing (in addition to single glazing)
    • Draught proofing
    • External energy efficient replacement doors
    • Hot water tank insulation
  • Heating controls and insulation
    • Hot water tank thermostat and insulation
    • Heating controls

Information for landlords

  • State Aid: The Green Homes grant counts as part of the total de minimis state aid allowance you are entitled to receive across a 3 year period.
  • Energy Efficiency Period: You will need to provide the following if you have applied for a voucher a private rented sector property:
    • Proof that you have met this standard
    • Proof of an exemption

How to get your voucher

Vouchers will be given for each of the separate measures you have applied for and are only valid for the property you applied for. Vouchers issued before 31 August 2021 are valid for 3 months from the date they are issued. Vouchers issued after 31 August 2021 will expire on or before 30 November 2021.

Extension requests may be granted in limited circumstances. For the majority, extension requests may be granted only if work has started on your voucher measure. Vouchers will not be extended beyond 30 November 2021.

How to redeem your voucher

You must redeem your voucher before it expires. To redeem your voucher you will need:

  • Your reference number
  • The postcode of the property where the measure has been installed
  • The email address that you used to make your application
  • Your voucher number
  • A digital copy of your dated invoice. You will need 1 invoice per measure
  • The final cost of the measure (including VAT, as applicable)

For more information or support, contact the Green Homes Grant team.

If you would like any help or support relating to the Green Homes Grant Scheme and VAT, please get in touch with a member of our tax team on 01903 234094.