Background information

The new scheme will allow homeowners and small, non-corporate landlords to avail of low rate loans for energy upgrades for their properties.

The loan rates are low due, in part, to a European Investment Bank Group loan guarantee. The Scheme is the first of its kind for the European Investment Bank and a spokesperson for the EIB said: “This visionary initiative sets a precedent unblocking climate action in Ireland and paves the way for other European countries to follow Ireland’s lead in the fight against climate change.”

Content of measure

The total value of the scheme amounts to €500 million. It allows homeowners (and small, non-corporate landlords) to borrow between €5,000 and €75,000 at significantly lower interest rates towards energy upgrades and retrofitting. Loan rates will be lower than market rates because of a combination of an EIB Group loan guarantee and a government-funded interest rate subsidy. Homeowners will apply for the loans through the participating finance providers.

The criteria are as follows:

• Between €5,000 and €75,000 for up to 10 years may be borrowed.
• The purpose of the loan must be to carry out home energy upgrade works.
• The residential property being upgraded must be located in the Republic of Ireland.
• The home energy upgrade works must be projected to result in a minimum 20% improvement in the energy performance of the property.
• Up to 25% of the amount borrowed may be spent on non-energy efficiency works.
• Loans will be available for drawdown up to 31 December 2026 or until the scheme has been fully subscribed (whichever is earlier).

Use of measure

No information

Target groups

Workers	Businesses	Citizens
Does not apply to workers	Does not apply to businesses	Other groups of citizens

Actors and funding

Actors	Funding
National government Other social actors (e.g. NGOs)	Companies European Funds National funds

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	No involvement	No involvement
Form	Not applicable	Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

• No involvement
• Main level of involvement: N/A

Involvement

N/A

Views and reactions

N/A

Sources

• 24 April 2024: New low-cost Home Energy Upgrade Loan Scheme launched by Minister Ryan, Minister McGrath and Minister Richmond (www.gov.ie)