What is the Green Deal?

The Green Deal is a funding initiative backed by UK Government that is aimed at helping you to understand the available energy-saving improvements you can make to your home.  It is a specialised loan with a mechanism that allows you to pay for these improvements through your electricity bill.

Here’s the best bit; The ‘golden rule’ of the Green Deal limits the amount on the repayments so that they never exceed the amount you save when you have improvements installed.  This means you won’t feel any financial pinch!

How does it work?

The Green Deal can be broken down into three simple stages.


The first stage for bill payers will be an initial consultation or assessment carried out by a qualified Green Deal advisor. The current energy performance of the building will be assessed in order to decide which measures could and should be implemented through the Green Deal. The assessment will also make sure the bill payer will make savings equal to or more than the cost of installing the measures, as part of the Golden Rule. The assessor will then provide the bill payer with a comprehensive quote, including how much the improvements will cost to install, how much the bill payer will be expected to save and how long the repayment will take. The bill payer may then compare this quote with other quotes from Green Deal accredited installers if they want.


Once a quote has been established the second step is to arrange financing for the Green Deal plan. The financing is dealt with by the Green Deal Provider, who makes sure that everything is in place for the loan repayments. The loan repayment is attached to the property’s energy bills. So if the property is sold or passed on the Green Deal repayments will stay with the property. The loan repayment is stretched over a period of 25 years so that the debt is paid back each month in small amounts. The amount paid back will always be less than the saving made e.g. if External Wall Insulation saved you £300 a year, you will never pay back more than £300 a year.


Once the financing measures are in place the next step is to actually install the new energy efficient measures. This is done by an accredited Green Deal installer.

The Green Deal Provider also has an important role in the process as they overlook all three stages to make the process easier. The provider may arrange an assessment for your property, organise the finance plan for your Green Deal repayments and put you in touch with an installer.

The Green Deal Provider also has an important customer service role. Providers have on-going obligations to the consumer during and after the implementation of all Green Deal plans, including customer service related queries or complaints, and comprehensive information for a new bill payer that might move in.

Lucky for you, Westdale Services are approved and multi-award winning Green Deal Assessors, Providers and Installers meaning we can help through all three stages.

The Green Deal can also be blended with the GDHIF (Green Deal Improvement Fund) which is a voucher-based scheme aimed at giving you, the homeowner, massive discounts on energy efficiency improvements.  Read more.

Want more information?  The following may help:

Green Deal Overview – Gov.UK

Money Saving Expert – Green Deal Mythbuster

Energy Saving Trust – Green Deal & ECO