Government announces Wave 3 of the Warm Homes: Social Housing Fund (formerly SHDF).
As part of its Warm Homes Plan, on 23rd September the Government announced the:
- Warm Homes: Social Housing Fund Wave 3
The third wave of what was formerly known as the Social Housing Decarbonisation Fund (SHDF), this new phase aims to significantly reduce the number of households in fuel poverty by enhancing the energy efficiency of social homes currently below EPC band C, thus reducing energy bills and contributing to the UK’s Net Zero target by 2050. The Government says that raising homes to EPC band C and above will “facilitate the subsequent widespread adoption of decarbonised heating systems.” - Warm Homes: Local Grant
Available to local authorities looking to upgrade the energy efficiency and heating systems of low-income homes in England, ensuring homes are healthy living environments for householders. Previously known as the Home Upgrade Grant.
These schemes are expected to upgrade a significant amount of the UK’s housing stock, improving energy efficiency and reducing carbon emissions as the Government calls for a Britain that’s powered by greener, cleaner energy.
Wave 3 of the Warm Homes: Social Housing Fund (WH:SHF) will open for applications from w/c 30th September, closing at midday on 25th November 2024. The deadline for all grant funding to be spent is 31st March 2028, with the delivery window ending on 30th September 2028.
Whilst no date has yet been announced, Government has said it will reveal the window for Local Authorities to express an interest in the Warm Homes: Local Grant (WH:LG) soon.
Key Aims of WH:SHF Wave 3
WH:SHF Wave 3 has a number of key aims and objectives outlined by the Department For Energy Security and Net Zero, including:
- Fuel Poverty: Lower the number of households in fuel poverty by improving the energy efficiency of social homes and cutting energy bills, without increasing costs for residents.
- Carbon: Achieve cost-effective carbon reductions to help meet the UK’s 2050 Net Zero target by lowering CO2 emissions from social housing.
- Residents: Enhance comfort, health, and wellbeing by making homes warmer and more energy efficient.
- Green Economy: Support the green recovery and economic resilience post-COVID, creating thousands of jobs.
- Retrofit Sector: Grow the retrofit supply chain, boost productivity and innovation in construction, and upskill social landlords for future energy efficiency improvements.
As previously outlined under the last government, Wave 3 introduces two application routes: Challenge Funding and Strategic Partnerships. Eligible organisations can apply directly through the Challenge Funding route, while those with a proven track record of delivering large-scale projects may opt for the Strategic Partnerships route. More information can be found on the Government website.
How Sava Can Support Your Applications
In March 2023, the Government announced the successful bids for Wave 2.1 of the SHDF, awarding £1.4 billion to social housing providers, local authorities, and charities. This funding awarded a total of £2.5 billion with match funding on top from applicants.
Sava customers significantly benefited from this initiative, collectively receiving £245 million in funding in Wave 2.1. Notably, Sava supported nine organisations, helping them secure £74 million through our analytics services. Sanctuary Housing Association, one of the largest recipients with £40.4 million, will use the funding to retrofit 5,000 homes. Sava’s Intelligent Energy software played a crucial role in refining the data for their successful bid. Soha, another Sava customer, secured £1.7 million and praised Sava for the pivotal reports produced for their bid.
If your organisation is looking to prepare for Wave 3 of the newly named Warm Homes: Social Housing Fund, our in-house technical team is ready to assist you in developing comprehensive plans to support your bids. We offer a range of services including data analysis, assistance with zero carbon goals, and providing strategic advice and research. For more information on how Sava can help, please contact us at technology@sava.co.uk or visit our website.