Government’s VCSE Energy Efficiency Scheme Opens for Applications

Voluntary, community and social enterprise VCSE organisations based in England can apply now to the new £25.5 million VCSE Energy Efficiency Scheme for support in improving the energy efficiency of their building.

The scheme is part of the package of more than £100 million of support being delivered by the government to help frontline delivery organisations with the increased cost of living.  A consortium of partners, led by Groundwork UK and supported by Energy Saving Trust, Centre for Sustainable Energy, Locality and Social Investment Business, are delivering this new fund on behalf of the Department for Culture, Media and Sport.

There are two element:

• Eligible organisations can apply now for the cost and delivery of an independent energy assessment (IEA). This will help identify how to reduce bills through measures such as improving or installing new energy features in the building, or changing how energy is used. These assessments will be useful to organisations whether or not they apply for the second element.
• Organisations with an energy assessment may then be eligible to apply for a capital grant of between £2,000 and £150,000 to install the recommended energy efficiency measures in their premises. There will be three capital grant rounds with applications opening in early January 2024, mid April 2024 and early July 2024.

To apply for an independent energy assessment, organisations must be:

• Based and operating in England.
• A VCSE organisation, with charitable, benevolent or philanthropic purposes and with one of the following legal structures:
  • Charitable Incorporated Organisation (CIO)
  • Community Benefit Society (CBS)
  • Trust
  • Unincorporated Association
  • Co-operative society
  • Community Interest Company (CIC)
  • Company Limited by Guarantee (CLG)
  • Company Limited by Shares (CLS)
• Delivering frontline services or operating a hub that delivers multiple frontline services
• Able to evidence the need for energy efficiency support
• Able to evidence that they are financially sustainable
• Not suitable for blended finance or loan support through other energy focused schemes.

Priority will be given to organisations:

• For whom energy is the biggest concern.
• Directly supporting individuals and communities with critical needs, particularly those related to the rising cost of living.
• With a turnover of less than £1 million a year.

The scheme will close to IEA and capital grant applications in August 2024.  All funds must be spent and projects completed by March 2025.

Applications are currently being accepted for an Independent Energy Assessment.

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