Shadow minister says low take-up figures should be a 鈥渨ake-up call鈥� for government

Luciana Berger

Labour has branded the Green Deal a 鈥渇ailing鈥� scheme after official figures show only four Green Deal finance plans have been signed in the first four and a half months of the scheme.

Figures published by the Department of Energy and Climate Change yesteday showed despite 38,256 assessments having been conducted only 245 Green Deal finance plans had been issued and only four of these had been signed by the customer.

Under the Green Deal, householders can have an assessment carried out and then decide either to finance energy efficiency measures themselves; apply for finance through the Green Deal; or, if they are eligible, receive finance through the Energy Company Obligation, which will most often come through a local authority or a housing association.

Shadow energy minister Luciana Berger said: 鈥淭he Green Deal was billed as the biggest home improvements programme since World War Two, but these figures show it is failing and that David Cameron has no answers on how to help families with soaring energy bills.

鈥淭he fact that over 99% of people who had a Green Deal assessment didn鈥檛 want to take out a package should be a wake-up call for the government.鈥�

She said it was not good enough for ministers to 鈥渄ismiss this as a slow start鈥�.

She added: 鈥淯nder this incompetent government, thousands of workers in the insulation industry have lost their jobs.鈥�

Energy minister Greg Barker, said the programme was 鈥渏ust getting started鈥� and the early signs were 鈥渆ncouraging鈥�.

He said: 鈥淚t will take time as this brand new market finds its legs, but I now expect the number of plans signed to start steadily rising.鈥�

A spokesman for DECC added that the Green Deal鈥檚 golden rule, which guarantees the cost of the measures and finance will not exceed the savings on a customer鈥檚 energy bill, meant that everyone could now afford energy efficiency work on their home.

Addressing Berger鈥檚 comment that the interest rate needed to be cut, he said: 鈥淥ur research shows that only 8% of households not intending to install Green Deal measures stated that it was because 鈥楪reen Deal finance package was not attractive鈥�.

鈥淲hilst it is concerning that other barriers were stated, this finding suggests that of the early assessments Green Deal finance packages was only putting a very small amount of households off taking out a plan.鈥�

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