Green Deal: consumer credit

Introduced in 2013, this enabled consumers and businesses to finance energy efficiency improvements through a loan attached to the property and paid back via energy bills

Any Green Deal provider offering Green Deal plans (which are regulated consumer credit agreements), will need to hold a valid FCA authorisation (unless it is an exempt local authority. This will need to cover entering into a regulated credit agreement as lender and exercising or having the right to exercise the lender's rights and duties under that agreement. This is irrespective of whether payments were made to the Green Deal provider, or to Green Deal Finance Company (GDFC), ad whether GDFC took an equitable assignment of the loan. 

Green Deal assessors and installers may also need appropriate permisisons.

Green Deal Finance Company

The Department of Energy and Climate Change (DECC) announced in July 2015 that GDFC funding would end. GDFC was set up to provide funding to Green Deal providers - however funding may still be available from providers financing the scheme themselves.

DECCs decision to withdraw GDFC funding may affect a firm’s future permission requirements.

Firms that will be affected

  • Green Deal providers with lending permissions
  • Green Deal assessors or installers with broking permissions
  • firms applying for consumer credit  permissions who have not yet been authorised

For further information about DECCs  announcement and how it affects Green Deal providers, assessors or installers should contact the Green Deal helpdesk: +44 (0)207 090 1031.

​Alternatively, if your query relates specifically to the status of an application for authorisation, or to clarify if you need to apply for authorisation, please contact us