The government-backed Green Deal initiative has been a controversial topic since its launch in January of this year. At the start of February, the BestHeating.com blog brought you the lowdown on the GD, explaining how it works and what the scheme hopes to achieve.
Since then, we’ve kept our eyes and ears open for new information about the deal, in an attempt to better understand the initiative and pass on our findings to you.
A few days ago, the BestHeating.com team attended the 105th Ideal Home Show at Earls Court, London, and we were lucky enough to catch an eye-opening and informative talk from the Money Saving Expert himself, financial guru, Martin Lewis.
Unsurprisingly, the gathered crowd were eager to learn more about the Green Deal- which has left many people stumped- and as usual, Martin had some great advice.
Our earlier Green Deal blog covered the basic principles of the scheme, but to recap, and in the words of Martin, “the Green Deal is a way to get a loan to perform home improvements on your property that will make it more energy efficient. The loan is paid for by savings on your energy bill, so you don’t effectively pay it back.”
So far, so good, right? Not necessarily, according to Martin. “The Green Deal is a good scheme for some, but it is unnecessarily complex”, he told us, “and the saving is nominal. Some users won’t save that much, but for others, the Green Deal is a really great way to fund home improvements.”
It’s all a little confusing, isn’t it? If you feel your energy bills are exceptionally high, and you’re happy to repay the loan through your future energy bills, then the Green Deal could be a great opportunity for you to make energy-saving home improvements which could substantially lower your bills. But, says Martin, beware. “Remember, it’s not your loan, it belongs to your home.” So, if you come to sell the property, you’ll be selling the Green Deal arrangement along with it, which could be off putting to potential buyers. Your best bet? Research, says Martin. “It will work for some, it won’t work for others”, he tells us. “You need to do half an hour of good reading and some research.”
Author: Lucy Wright