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Shadow housing minister Grant Shapps has unveiled Tory plans to allow firms who help employees improve the energy efficiency of their own homes to count the savings against their carbon footprint.

Shapps outlined the ‘Carbon Co-operation Plan’ at this week’s Conservative Party annual conference in Birmingham.

“Under a new scheme, businesses will be able to improve the energy efficiency of their employees’ homes – and have that domestic carbon reduction count against their own output,” he said.

The scheme will help improve the nation’s inefficient housing stock, which currently accounts for a quarter of the UK’s CO₂ emissions.

However, Shapps did not explain in any detail the scheme would be operated or how the carbon savings arising from home improvements would be accounted for.

The plan has been endorsed by supermarket giant Tesco, claims Shapps, which employs more than 280,000 staff, and says the scheme will stimulate a “grass-roots revolution”.

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