A new report outlines a strategy to unlock finance for decarbonising 32,149 schools across the country.
Launched by the Green Finance Institute (GFI) and Ashden’s Let’s Go Zero campaign, the Financing Decarbonisation of Schools Report – reveals that current public funding is insufficient to meet demand and highlights the potential for private capital to play a transformative role.
However, outdated policies that restrict borrowing are holding back progress.
The report co-designs new financial tools to support the Department for Education’s goal of cutting school emissions by 75% by 2037.
Proposed solutions include tailored loan schemes and securitising retrofit energy savings to attract private investment.
School buildings account for 37% of public sector building emissions and are projected to cost over £1.7 billion in energy bills this year.
Decarbonisation measures such as solar panels, LEDs, heat pumps and fabric upgrades would cut costs, lower emissions and enhance learning environments.
Kitty Byrne, Senior Associate at GFI, said: “We can create healthier schools, reduce energy costs and deliver a green legacy by unlocking private finance.”
Ashden’s Alex Green added: “Decarbonising schools can lead the public sector’s transition to net zero. Long-term investment is essential for future generations.”
The report calls for urgent government action to modernise borrowing rules and deploy public funds more strategically to mobilise private capital at scale.
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