New report suggests only two homes have taken up a Green Deal loan
The Government's Green Deal has received a further blow as new figures reveal the actual uptake of loans on the scheme is as little as ten households.
Many of the UK's energy providers are a part of the scheme which offers customers the opportunity to take out a loan on things such as replacement boilers and the fitting of loft and wall insulation to boost the energy efficiency of their home.
Despite more than 20,000 households being assessed for the scheme since its launch in January however, the number of homes to actually finalise loans on such work is said to be as little as two according to the Sunday Times.
However, the Government is optimistic by Thursday (June 27) the figure could stand as high as 200 after a number of households finalise loan agreements following the 14 day cooling off period.
Nevertheless, the paltry figure represents an uptake of less than one per cent of those who had their property surveyed.
Commenting on the slow update of homeowners to the Green Deal scheme, shadow energy secretary Caroline Flint said: "The government said that more than 10,000 households would sign up to the green deal this year – but it looks like people are saying 'no deal'."
In defence of the Green Deal however, Energy Minister, Greg Barker, said: "To say it doesn't work is just a travesty.
"It's a new market that is gradually growing and is going to take some time. You can't say it has been a success or failure over a number of weeks.
"While the number of finance plans is small, more than 5,000 people have taken up the cashback option as people have opted not to wait for the financing to come through."
The cashback scheme offers energy consumers a return on their purchase of energy efficiency measures, for example customers would receive as much as £150 on floor insulation and as much as £270 for fitting a new boiler.
The loan scheme has not proven to be as successful however as many consumers are unsure whether the loan repayments, spread over 25 years at about seven per cent a year, is competitive enough.
The loan is also tied to the property rather than the consumer, causing doubt among some consumers as to whether it may make their property harder to sell.
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