Only one in five UK homeowners say they are willing to take out a green loan to improve their home’s energy efficiency, according to new research published by the Department for Energy Security and Net Zero (DESNZ).
The report, Support for Green Finance and Trusted Messengers among UK Homeowners, surveyed 876 owner-occupiers and found that half are not even considering making energy performance improvements to their homes. A further 26% say they would consider upgrades but are unwilling to borrow to fund them.
The research examines attitudes to green finance as well as which organisations homeowners trust for advice on decarbonising their properties.
It finds that willingness to borrow varies across income groups. Among households earning more than £100,000 a year, 36% say they would take a green loan. Households with incomes below £52,000 are the least likely to say they would borrow and are the most likely to say they are not considering improvements.
When respondents are asked whether they would borrow if the government matched the amount with a grant, willingness increases sharply. The share prepared to take out a loan rises from 19% to 40%. At the same time, the proportion not considering improvements falls from 50% to 40%, and the number considering upgrades but unwilling to borrow drops from 26% to 14%.
The study also examines which organisations homeowners trust for advice on improving energy efficiency. Government advice services, such as those available through GOV.UK, are among the most commonly trusted sources, including information on green finance, energy efficiency measures and ways to reduce energy bills.
For advice on which installer to use for energy performance improvements, homeowners are most likely to trust government advice services, tradespeople, and friends and family. More than a third of respondents select each of these sources as trusted.
Local authorities and councils are the most trusted source of guidance on planning permission related to home energy improvements.
