Funding for the government’s flagship household energy efficiency scheme is to end, the Department for Energy and Climate Change (DECC) has announced.
The Green Project, unveiled by the Coalition in 2013, offers long-term loans with no upfront cost for households to make their homes more energy efficient.
The government said concerns over industry standards and take-up levels triggered the decision, before pledging to work with stakeholders to agree a new “value-for-money approach”.
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The Green Deal Finance Company, which delivers the programme, has had its funding withdrawn after it emerged only 15,000 loans have been issued since its inception.
The Green Deal home improvement fund, which supplies cash to households to install efficiency measures such as double-glazing and insulation, will also lose its funding.
Energy secretary Amber Rudd said: "We are on the side of hardworking families and businesses – which is why we cannot continue to fund the Green Deal.
"It's now time for the building industry and consumer groups to work with us to make new policy and build a system that works.
"Together we can achieve this government's ambition to make homes warmer and drive down bills for one million more homes by 2020 – and to do so at the best value for money for taxpayers."