The Liberal Democrats are proposing a new home buying scheme – Energy Mortgages, which are long term secured loans designed to make homes greener.
The idea was proposed this week as the party started its Climate Change Starts At Home campaign.
The idea is that the loan would be tied to the property rather than the mortgage and would be paid through quarterly energy bills. The Lib Dems propose setting tough new GreenHouse standards for new homes which would cut fuel bills and quickly pay for themselves and creating a system of 'energy mortgages' which would encourage energy efficiency improvements on existing houses.
The scheme would also see a 'cap and trade' scheme introduced for energy companies allowing them to maximize their profits by helping their customers become more energy efficient.
The Lib Dems say the plans would save more than 31 million tonnes of carbon dioxide which would help the UK meet its target of cutting emissions by 60 per cent by 2050.
Chris Huhne, environmental secretary for the Liberal Democrats, says:
“With an energy mortgage, proven improvements will deliver real energy cuts, that will pay for themselves and save money in the long term, will be accessible to everyone.
“Building new homes to tough, rigorously enforced standards, would significantly cut fuel bills and effectively pay for itself, making homes more affordable for first-time buyers.”
And Sophie Neary, product director of price comparison website BeatThatQuote.com said: "Investing in eco-friendly technology and choosing energy from renewable sources is going to be a great way to ensure your house stands out from the rest and appeals to future buyers.
"The Lib Dem’s proposals of an ‘energy mortgage’ will certainly help facilitate home-owners to live a more energy-efficient life. Going green is definitely becoming the new black."
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