Martin Lewis has an update on how to get £5,000 toward home improvements with the green home grants scheme

The government has released more details about the grant

An energy-efficient home is good for the environment, but it also has the added perk of slashing your energy bills. If you are looking to make your home more energy efficient, Martin Lewis has a tip for how to get £5,000 toward any improvements with the government's Green Homes Grant scheme.

Related: Has stamp duty been scrapped? This is what we know so far about Rishi Sunak's plans to boost the housing market

The £2 billion grant scheme was officially announced in July by Chancellor Rishi Sunak. The scheme starts in  September and will cover at least two-thirds of the cost of any environmentally-friendly home improvements, up to £5,000 per household.

If you were looking to make use of the scheme for home improvement there are a few catches. In his latest Money Tips email, Martin Lewis explained what improvements will be covered by the scheme.

'The Government has now released more details on its Green Home Grant, including eligibility and what it covers,' Martin explained. 'Those who just planned on getting double glazing will miss out.'

Headshot picture of Martin Lewis

(Image credit: PA Images/PA Archive/Kirsty O'Connor)

The government has said that to claim the vouchers, homeowners need to be installing insulation or low carbon heating at the same time. However, homes that already have those features can use the vouchers to get top ups. For example, additional loft insulation. But it can't be used to replace what is already in the property.

So if you are installing insulation or low carbon heating you will be able to use the voucher on other improvements. Martin Lewis listed the other improvements the government has included in the scheme as draught proofing, double or triple glazing, energy efficiency doors and heating controls and insulation.

If you do plan on making these updates the funding is capped at the valuation of the cost of the insulation or low carbon heating.

Martin Lewis' Green Homes Grant advice

'Planning on getting insulation? Hold off – the Chancellor's announcing a new up-to-£5,000 voucher scheme,' Martin wrote in his July Money Tips email.

'The government's set to unveil its new Green Homes Grant scheme for England, allowing eligible homeowners to use vouchers to pay for environmentally-friendly improvements such as loft, floor and wall insulation.'

For example, the Treasury explained that a homeowner installing a cavity wall and floor insulation that costs £4,000, would only pay £1,320. The Government would cover the remaining £2,680.

The Government says that these improvements could save families hundreds of pounds on their energy bills.

bright yellow chair at a table with a plate of biscuits

(Image credit: Future Plc/Colin Poole)

How will the Green Home Grant scheme vouchers work?

Homeowners will be able to apply for the vouchers online when the scheme launches in September.

When applying, households will need to outline what improvements they'd like to make. They will also be required to give details of accredited local suppliers who will need to provide a quote.


a bright kitchen with wooden cabinets flowers and plants on the work surface

(Image credit: Future Plc/Colin Poole)

Once a quote has been provided and the work approved, a voucher will be issued.

'Our Green Home Grant will not only cut families' bills by making their homes more energy-efficient,' said Chancellor Rishi Sunak. 'It will also kick-start our economy by creating thousands of green jobs – and supporting those skilled tradespeople who are ready to work.'

Related: Martin Lewis explains how to reduce your mortgage payments post lockdown

Take advantage of the scheme and start doing your research for any home improvements that could make your home more energy-efficient.

Rebecca Knight
Deputy Editor, Digital

Rebecca Knight has been the Deputy Editor on the Ideal Home Website since 2022. She graduated with a Masters degree in magazine journalism from City, University of London in 2018, before starting her journalism career as a staff writer on women's weekly magazines. She fell into the world of homes and interiors after joining the Ideal Home website team in 2019 as a Digital Writer. In 2020 she moved into position of Homes News Editor working across Homes & Gardens, LivingEtc, Real Homes, Gardeningetc and Ideal Home covering everything from the latest viral cleaning hack to the next big interior trend.