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Green Deal

Through the Green Deal you can pay for energy-efficient home improvements through savings on your energy bills. Interested? Please find more information below to help. 

About the Green Deal

The Green Deal is an innovative financing mechanism that lets people pay for energy-efficiency improvements through savings on their energy bills.

Green Deal launched in January 2013 and applies to both the domestic and non-domestic sectors.

The government has appointed a Green Deal Oversight and Registration Body. Part of their role is to register the organisations that are approved to deliver the Green Deal – Advisors, Providers and Installers. To find an assessor in your area, visit Green Deal energy saving for your home or business.  

The Green Deal process has five stages:

Green Deal process

1. Remote advice 

We recommend that you seek independent and impartial advice at the outset. Home Energy Scotland can provide this, free of charge. Simply call on 0808 808 2282 or request a call back

2. Advice visit and assessment

A Green Deal assessment is carried out in your home or business premises by a Green Deal Advisor or Assessor. They will:

  • Use standardised software to identify what energy efficiency or microgeneration improvements you could make and what the financial savings would be.
  • Outline how the payments will work.
  • Identify which improvements are likely to be cost effective.
  • Produce a Green Deal advice report outlining your options.
  • Declare any links they have with Green Deal Providers.

They will also provide standardised impartial advice including a fabric assessment and other potential energy saving advice, include behavioural advice. There will generally be a charge for the assessment. You may have to pay this up front, or you may be able to pay it off over time as part of the finance package.

3. Finance

  • Once the Green Deal Advisor has given you your report, if you decide to take up a Green Deal offer you will then sign a Green Deal Plan, which is a contract between you and the Green Deal Provider.
  • A Green Deal plan is a finance mechanism which is linked to your electricity meter and is paid back over time through savings on your energy bills. 
  • The Green Deal Obligation stays with whoever pays the electricity bill at the property, so transfers automatically to any new occupier of the property if you move address.

4. Installation

  • The Green Deal Provider will arrange for a Green Deal installer to come and carry out the work you have agreed to. The installer will have been vetted to ensure they meet the standards set out for the Green Deal.
  • Only Green Deal certified installers can carry out the work to a clear agreed standard.
  • The Green Deal installer will inform the Green Deal Provider that repayments can begin once installation works have been completed. 

5. Repayment and follow up 

  • You pay back the cost of the improvements over time through your electricity bill. Your electricity supplier will pass your payments on to your Green Deal Provider. The amount you pay back will be no more than a typical household will save on heating bills, so you are likely to be better off overall from day one.
  • Although the cost of the improvements is repaid, this is not a conventional personal loan as the charge is attached to the electricity meter in your house and paid back through your electricity bill. If you move out, the new occupant will pick up the charge while also benefiting from a more energy-efficient property.
  • Interest will be charged on these payments, but the rate will be fixed and you will be shown a full schedule of all the payments before you sign up to the plan. It is up to the Green Deal Providers to decide on the interest rate, so it is worth shopping around to find the best deal. You can pay off the plan early if you choose, though the Provider may charge a fee for this.
  • You will recieve continuing support from the Green Deal Provider throughout the life of the Green Deal plan. 
  • You are free to switch energy suppliers - there is no change to current procedures, although you should make it clear to any new electricity supplier that you have a Green Deal plan in place. 

How do I apply for the Green Deal?

The first step to getting a Green Deal is to have an assessment carried out on your property. You can search for Assessor and Provider companies operating in your area by visiting the Government's Green Deal pages or the consumer search pages, or you can phone Home Energy Scotland on 0808 808 2282.

What improvements will the Green Deal cover?

There are 45 measures or areas of home improvement approved to receive funding under the Green Deal, covering:

  • Insulation
  • Heating and hot water
  • Glazing
  • Microgeneration (generating your own energy).

For the non-domestic sector, lighting, mechanical ventilation and heat recovery measures can also be covered. More areas may be added as technology develops.

Combining support with the Green Deal

Find out what financial support can be combined with the Green Deal by calling our advisors at Home Energy Scotland on 0808 808 2282. Calls are free from landlines and most mobiles.

Where can I get more information?

In Scotland, you can get more information by calling Home Energy Scotland on 0808 808 2282. You can also download our PDF with Green Deal FAQs.