Finance Questions

1. Is it expensive to improve the energy efficiency of my house? 

The cost of improving the energy efficiency of a house varies depending on a range of factors. These include:

    • The type of work being done
    • The construction of the existing property
    • The size, layout and location of the existing property
    • The cost of the labour required
    • The number of energy efficiency improvements that are undertaken (light-touch or deep retrofit)

Some energy efficiency improvements are cheaper than others, for example cavity wall and loft insulation are cheaper per sqm than internal or external wall insulation or floor insulation.

There are ways you can save money if you are thinking about improving the energy efficiency of your house. For example, it is more economical to complete energy efficiency improvements if you are already having work done on your property: if you are replastering or redecorating it is a good time to install internal wall insulation, as the work can be done at the same time without additional disruption. Additionally, if you are having significant work done to your house, such as building an extension, this is a good time to make energy efficiency improvements to the existing building as the contractor can complete the work as part of the project. This is an efficient way of completing the work so can save you money compared to completing the work as separate projects and minimise the length of any disruption.

You can phase works to improve the energy efficiency of your house rather than retrofitting the whole building in one go. You could start with cheaper measures, for example installing loft insulation if you don’t already have it, or topping this up to 300mm. If you have single glazing, or partial double glazing you could replace the worst performing windows and doors with double or triple glazing first, and plan to replace the others at a later date.

Buildings need regular maintenance and components need replacing eventually, and you can include improving the energy efficiency as part of the maintenance process – for example if your boiler needs replacing, this is a good time to install a heat pump.

Remember that by making energy efficiency improvements you will reduce your energy usage, so although there is an upfront cost to making the improvements, once they are installed you will save money on your energy bills going forwards.

There are ways that you can improve the energy efficiency of your house on a small, medium or large budget. It is sensible to get advice from a professional so you can make a comprehensive plan that is tailored to your property and budget. At Keystone Architecture and Design we have experience of working on projects of different scales, and we can assist you in determining your aims and priorities, design a scheme to meet them, and help to deliver it to suit your timescale and budgets.

 

2. Are there any government incentives or programs available to encourage energy-efficient upgrades for homes?

There are some government incentives/grants for energy efficiency improvements and each of these have different eligibility criteria. None of the funding is delivered by the government directly, but through installers, local authorities, energy companies and other bodies. They include:

  • Boiler Upgrade Scheme – grants to property owners to install low carbon heating systems through installers[i]
  • Home Upgrade Grant – funding to improve energy efficiency for low-income households in the worst-performing, off gas grid, properties in certain Local Authority areas.[ii]
  • Local Authority Delivery – funding to improve energy efficiency for low-income households with mains gas heating systems in certain Local Authority areas.[iii]
  • Social Housing Decarbonisation Fund – funding for Local Authorities, Combined Authorities, Registered Providers of Social Housing and registered charities that own social housing to upgrade social housing stock that has an EPC D rating or below up to an EPC C rating or above.[iv] [v]
  • Energy Company Obligation – funding for energy efficiency improvements for people in fuel poverty provided by energy companies.[vi] [vii]

 

3. There is a perception that the costs of making your home energy efficient out ways the potential savings you can make on monthly bills. Is this assumption correct? Does this put homeowners off making the change, especially if they don’t plan on living in their current home long-term?

The cost of improving energy efficiency and the savings incurred can vary widely based on the type of measures installed so it is hard to understand exactly what the balance will be for an individual property without studying the specific building and the proposed measures. Payback time is not only affected by the cost of the proposed measures, but by fluctuations in energy costs and by other factors including export tariffs (the amount paid for selling excess energy generated to the grid) and government grants/policies etc. By making energy efficiency improvements to your house, you can help to insulate yourself against energy price fluctuations and inflation. Furthermore, payback time is not the only reason to improve the energy efficiency of a building, other reasons include:

  • Reduced carbon footprint
  • Increased comfort
  • Healthier internal environment (reduced risk of damp and mould)

Also, improving the environmental performance of a property can increase its value or increase its desirability to future purchasers[viii], which could provide a further financial justification for improving the efficiency of your home.

 

At Keystone Architecture and Design we are passionate about improving the sustainability of the built environment. We have the knowledge and skills to take a holistic approach to designing your new building or extension, ensuring you get a high-performance building with the spaces you need and the finish quality you want. If you are considering a high-performance new build, a Passive House project or retrofitting an existing property please contact us to see how we can help by email, phone or by using the contact form on our website.

07752 979244

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www.keystonead.co.uk/contact

[i] https://www.gov.uk/government/collections/find-energy-grants-for-you-home-help-to-heat

[ii] https://www.gov.uk/government/collections/find-energy-grants-for-you-home-help-to-heat

[iii] https://www.gov.uk/government/collections/find-energy-grants-for-you-home-help-to-heat

[iv] https://www.gov.uk/government/collections/find-energy-grants-for-you-home-help-to-heat

[v] https://www.yesenergysolutions.co.uk/advice/social-housing-decarbonisation-fund/what-is-the-social-housing-decarbonisation-fund

[vi] https://www.gov.uk/government/collections/find-energy-grants-for-you-home-help-to-heat

[vii] https://www.ofgem.gov.uk/environmental-and-social-schemes/energy-company-obligation-eco

[viii] https://www.zoopla.co.uk/discover/property-news/energy-efficient-homes-holding-their-value-in-market-slowdown/

#Retrofit #EnergyEfficiency #Insulation #GrantFunding #EnergyCosts #FutureHomes