North Midlands Credit Union joins the Home Energy Upgrade Loan scheme

North Midlands Credit Union is the latest lender to join the Government-backed Home Energy Upgrade Loan Scheme.

North Midlands Credit Union is now taking applications for the loan, with interest rates starting from 4.2%.

North Midlands Credit Union, together with six other credit unions from the Irish League of Credit Unions (ILCU), was successfully approved to join the scheme following an extensive due diligence process involving the Strategic Banking Corporation of Ireland (SBCI), European Investment Bank (EIB) and the European Investment Fund (EIF).

The €500 million Home Energy Upgrade Loan Scheme aims to encourage homeowners to invest in energy upgrades to make their homes warmer, healthier and more comfortable, with lower emissions and lower energy bills.

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The scheme, which launched in April of last year, is the first of its kind in Ireland and for the European Investment Bank (EIB) Group.

It is delivered by the SBCI on behalf of the Department of the Environment, Climate and Communications, and supported by the Sustainable Energy Authority of Ireland (SEAI) and the EIB Group.

The Home Energy Upgrade Loan Scheme was designed with the needs of homeowners in mind, ensuring that access is simple and speedy with an emphasis on reducing the workload for homeowners.

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It provides unsecured loans (no requirement for the loan to be secured against the property being upgraded) ranging from €5,000 to €75,000, with repayment terms of up to 10 years.

These loans help homeowners to carry out energy efficiency and renewable energy upgrades, such as insulation and heat pumps, that are also grant-aided by the SEAI.

Once approved, the loans can be drawn before works begin.

This gives certainty to homeowners that they have the funds for the planned energy upgrades, as well as any up-front costs or ‘milestone’ payments.

Friday’s launch further enhances accessibility to more affordable retrofit loans in Longford and Westmeath.

North Midlands Credit Union has six branches — in Mullingar, Castlepollard, Kinnegad, Longford, Rochfortbridge and Lanesboro Ballyleague — and approximately 64,500 members.

Homeowners can apply for the Home Energy Upgrade Loan over the phone or in branch.

In addition to North Midlands Credit Union, the Home Energy Upgrade Loan Scheme is also available from PTSB, AIB, Bank of Ireland, Avant Money in partnership with An Post, and six credit unions from the ILCU.

Tom Allen, North Midlands Credit Union CEO, said, “We are delighted to be in a position to offer these reduced-rate loans to our members under the Home Energy Upgrade Loan Scheme.

"These loans will assist our members with the cost of making their homes more energy efficient and environmentally friendly. They will also support our members in reducing their personal carbon footprint as we all move towards a more environmentally sustainable future.”

Speaking at the launch, Minister for Climate, Environment and Energy Darragh O’Brien said, “This is a significant development with low-cost, Government-backed retrofit loans even more accessible now that North Midlands Credit Union is participating in the Home Energy Upgrade Loan Scheme.

"I am particularly happy to see North Midlands Credit Union join the scheme given the crucial role it plays in the communities of Longford and Westmeath.

“Expanding the number of lenders providing the low-cost loans is in line with the Programme for Government and will help more homeowners to upgrade their homes to be warmer, healthier and cheaper to run.

“I am confident that today’s announcement will further build momentum in the retrofit sector, which has seen huge growth in recent years and will help us achieve our 2030 retrofit targets.”

Minister of State with special responsibility for Financial Services, Credit Unions and Insurance, Robert Troy said, “I am very pleased to welcome the onboarding of North Midlands Credit Union under the €500 million Home Energy Upgrade Loan Scheme.

"The addition of this credit union to this Strategic Banking Corporation of Ireland backed scheme will lead to increased access to this scheme.

“The scheme provides benefits to both the homeowner and the Government. For the homeowner, it provides unsecured, 10-year low-cost finance to improve the energy efficiency of their homes and reduce their energy costs.

“From the Government’s perspective, the scheme assists in reducing our CO2 emissions, thus contributing significantly to meeting Ireland’s climate targets.

“I encourage anyone with an interest in availing of the Home Energy Upgrade Loan Scheme to contact participating finance providers, such as North Midlands Credit Union.”

June Butler, SBCI CEO, said, “The SBCI welcomes the announcement of the participation of North Midlands Credit Union in the Home Energy Upgrade Loan Scheme.

"Credit unions are by tradition deeply-rooted within local communities and the participation of North Midlands Credit Union in this Government-backed scheme will further support homeowners in Longford and Westmeath to make residential energy upgrades through accessible and more affordable finance.

“This collaboration not only facilitates the transition to more energy-efficient homes but also underscores the vital role North Midlands Credit Union plays in supporting local development and sustainability initiatives.

“By offering loans ranging from €5,000 to €75,000, with terms up to 10 years and interest rates significantly lower than standard personal loans, the Home Energy Upgrade Loan Scheme enables homeowners to enhance the comfort and energy performance of their homes.”

William Walsh, CEO of SEAI, said: “SEAI is delighted with the announcement that North Midlands Credit Union is joining the list of providers of the Home Energy Upgrade Loan Scheme, and will be offering competitive loans to their members to upgrade the energy efficiency of their homes.

“Credit Unions are at the heart of their local communities and this offering will make it more affordable for homeowners in Longford and Westmeath to increase the comfort of their homes and lower their energy bills.

"The Home Energy Upgrade Loan Scheme supports homeowners with the upfront costs of home energy upgrades, working in parallel with SEAI’s home energy grant programmes, to make it even easier for homeowners to begin their retrofit journey and move away from fossil fuels.”

Further details are available on both the SBCI and SEAI websites.