With two deals already announced this month, Hometree further extends its offering of a ‘whole life’ solution for homeowners embarking on renewable energy installations with its workforce of over 5,000 installers.
Leading the domestic renewable energy charge
The UK is falling a long way short of its target of installing 600,000 heatpumps a year by 2028, but demand is expected to grow.
By buying up independent energy installers across the country, Hometree intends to challenge the biggest home services providers and put itself in prime position to accelerate the switch to renewable tech solutions. Its latest acquisitions, which include North Shields-based Geowarmth and Kent-based The Little Green Energy Company, bring the total number of companies Hometree has acquired to seven.
Between them, Geowarmth and the Little Green Energy Company have installed around 12,500 renewable systems into UK homes over the last 10 years, employ 55 people and have combined revenues of £15 million in the most recent financial year. Gaining access to Hometree’s customer base, suite of financing products and insurance services, the companies will be in a position to deliver additional value to their customers. Meanwhile, the acquisitions will enable Hometree to bolster its engineering force and re-train more of its 5,000 engineers to be able to install, repair and maintain renewables – a key consideration given that reports have suggested that the country needs 30,000 heat pump installers to meet its ambitious targets.
Scale at pace
Hometree Founder & CEO Simon Phelan said: “Our mission has always been to support homeowners to decarbonise their homes, and this funding from BlackRock gives us the capacity to increase our scale at pace through M&A.
“If the UK is to achieve its net zero ambition, we will need an army of installers right across the country and we’re committed to bringing together these skills, supported by financing and in-life repair and maintenance services, to make Hometree the first choice for homeowners who want to do the right thing by the planet.”
Tim Fenwick, Director at BlackRock Venture & Growth Lending, said: “This new debt facility will support the company in scaling up its plan to manage all aspects of sustainable homeownership and give our clients exposure to an innovative, growing business.”
Accelerating the revolution
With an initial focus on home emergency breakdown and insurance, Hometree has since expanded into renewable installations and financing, positioning itself to become a key partner for homeowners looking for low-carbon home energy solutions.
It now has over 100,000 customers who rely on Hometree to keep their homes running smoothly with emergency heating, plumbing, electrical repairs and maintenance plans, which are delivered by its nationwide network of over 5,000 multi-trade engineers and installers.
In addition, through its Hometree Finance division, Hometree has the largest portfolio of residential heat, solar and battery leases in the UK which it finances and owns the assets for homeowners, so they can benefit from the lower energy bills, without the upfront cost of installation.
John Withers, CEO of Geowarmth said: “I’m immensely proud of the progress we have made in the past 17 years to become a recognised installer of low-carbon energy solutions. I am delighted we are now part of Hometree, which will allow us to reach more people and help more homes transition to renewable energy.”
Simon Dudson, CEO of The Little Green Energy Company said: “Our mission has always been to help businesses and homes to transition to solar panels and battery storage, reducing the impact on the planet. Working with Hometree will help us achieve that on a much larger scale, enabling more homes to join the green renewable energy revolution.”