Revolving Funds and Low-Carbon Transition

Could Revolving Funds Facilitate a Low-Carbon Transition in Austerity Time?

March 13, 2025

Researchers have tried to answer this question by assessing revolving funds’ potential for domestic energy efficiency applications in the UK.

Maximising energy efficiency of our homes is one of the major actions to implement if we want to achieve our net-zero targets by 2050.

The study showed a 26% reduction (£9 billion) in buildings retrofit costs. Plus, in the long run, these financial programs could become cost-neutral.

The implementation of revolving funds has the potential to accelerate energy efficiency programs in both residential and commercial sectors. While the short-term costs of transitioning to a low-carbon economy may be daunting, these funds represent a practical solution to managing investments and reducing overall financial burdens.