House heating system emits a major portion of carbon in the environment. Hence, UK government initiates various schemes to reduce carbon footprints. Heat penetrates through draughty houses and losses of up to 60% of energy. Various insulation and other techniques are used to prevent heat loss. It will result in fewer energy bills. Eventually, it makes the planet, a better place for living. Installation of these energy-efficient measures is a bit costlier and not affordable by everyone. Hence, the government has initiated a green deal home-improvement fund (GDHIF) which offers cash back for installation of twelve energy-efficient measures in England and Wales.

• Solid wall insulation (both external and internal wall insulation)

• Cavity wall insulation

• Floor insulation

• Flat roof insulation

• Room-in-roof insulation

• Secondary glazing

• Replacement of single glazing windows to double and triple glazing

• Replacement of warm air unit

• Replacement of energy-efficient doors

• Condensing mains gas boilers

• Fan-assisted storage heaters

• Waste water heat recovery

The first phase of a green deal home improvement fund (GDHIF 1) was launched on 9th June 2014 in which two core offers were there. Cash back of £6000 was allocated for external wall insulation and cash back of £1000 for installing any two measures from the approved list of 11 measures. This phase was finished on 24th July 2014.

The scheme was popular so, the government has introduced second phase of green deal home-improvement fund (GDHIF 2) on 12th December 2014. The total amount of £30 million was announced for the vouchers and this time the cash back of £4000 was only allotted for external wall insulation rather than £6000. Though the cash back cost of £1000 remained same but Flue Gas Heat Recovery system was taken out of the list of approved measures. Again the funding for External wall insulation went away within a second day because of its huge demand by the homeowners.

Now, government has announced third phase of green deal home-improvement fund (GDHIF 3) with the amount of £70 million and will be releasing on Monday, 16th March 2015. This scheme includes two core offers and two additional offers.

First offer will allow cash back of £3750 for solid wall insulation (both external and internal). This time the cash back on offer 2 is £1250 rather than £1000 from the approved list of 11 measures. Additional offers remain the same which is cash back of £100 for assessment if it is done within a span of two years. Additionally a new home buyer can get £500 back if the property is purchased within 12 months of span.