Around 60,000 homes in Birmingham are set to benefit from energy and carbon efficiency measures as part of a new initiative.

Construction firm Carillion has announced a partnership with Birmingham City Council to carry out this work that will help residents living in England's second city reduce their impact on the environment. The contract is currently in place for eight years and will initially be worth up to £600 million but once it is fully rolled out to the rest of the West Midlands area under a framework agreement the total amount of investment will increase to £1.5 billion.

The scheme is designed to give homeowners a number of different and affordable ways in which to reduce the amount of carbon their properties emit by fitting energy efficient methods. Carillion will fit insulation and new boilers that will prove to be more beneficial to the environment as opposed to the conventional systems and will all be made possible under the government's Green Deal. Ministers have been continually encouraging consumers to reduce their carbon footprint and this latest effort could be significantly helpful in one of the biggest cities in the country.

Councillor James McKay, cabinet member for a green, safe and smart city at Birmingham City Council, added: "This programme represents a major milestone in Birmingham's green ambitions, and demonstrates that the social justice and environmental agendas go hand-in-hand with each other. It will reduce energy bills for citizens by up to £300 per year - taking up to 40,000 people out of fuel poverty by 2015."

Carillion also noted that not only will this scheme provide incentives to the people of Birmingham but it will also give employment a boost. Officials noted that around 360 jobs will be created and help 600 people from priority groups be put into placements.

The government has been keen to introduce more environmentally-friendly schemes and recently introduced the Plug-In Car Van Grant which encourages motorists to go green and drive energy-efficient vehicles.

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