Most homeowners want cheaper mortgages for greener homes

Over three fifths of individuals in the UK believe that mortgages should be cheaper for those who carry out green home improvements, yet less than one in four would know what kind of heating system they would need if gas boilers had to be replaced with low-carbon alternatives.

The research showed that most UK adults would prefer to live in a home that did not produce carbon emissions (62%). However, many do not know how they will fund the upgrade. Less than a quarter of people (23%) were confident that they would be able to stump up the cost to install a low carbon heating system in their home.

People are split over whether it should be more difficult to secure a mortgage for homes that are more polluting, with a third of respondents each agreeing and disagreeing (both 32%).

As much as 37% of UK carbon emissions come from heating, and with around 24 million homes and businesses still using fossil fuels to keep warm, the government has been warned by the Climate Change Committee that there needs to be a plan to phase out fossil fuel heating to hit the target of net zero by 2050.

Vattenfall believes the forthcoming Heat and Buildings strategy needs to set out what low-carbon technologies need to be installed in which parts of the country, so that industry can do what is required to get started on the roll-out. This also needs to consider developing and upskilling the UK’s supply chain and workforce.

Mike Reynolds, managing director at Vattenfall Heat UK said: “The huge cost of insulating homes and removing emissions from heating means we can’t expect bill payers to stump up the money for everything. We need a plan setting out what upgrades need to happen where, and new ideas – such as affordable and simple mortgages for homeowners, or incentives for commercial property owners to go green – to get the money flowing to pay for all of this. 

“The government’s forthcoming Heat & Buildings Strategy is the perfect opportunity to set out practical policies which will kick-start this massive task.” 

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