Millions of UK homeowners want warmer, cheaper-to-run homes – but most give up before they start. Conflicting advice, opaque quotes and no single trusted expert to guide the process mean the UK is retrofitting homes at a fraction of the pace needed: 29 million homes need energy improvements by 2050 to meet net-zero targets.
Furbnow, the Birmingham-based proptech startup focused on home energy efficiency, has secured a £2.5 million seed round led by the West Midlands Co-Investment Fund at Future Planet Capital Regional alongside Nesta, Wrightwood Investments, Danny Luhde-Thompson, SFC Capital (follow-on) and several angel investors. The funding will be used to scale the company’s team, enhance its technology platform, and expand its service offerings across the UK.
The investment comes at a critical time as the UK Government estimates that 29 million UK homes will need retrofitting with low-carbon heating systems and energy-saving improvements by 2050 to meet current net-zero targets. The Climate Change Committee has suggested that an additional investment of £162 billion will have to be allocated for installing low-carbon heating in existing UK homes in the period between 2020 and 2050 (NAO, 2024).
Furbnow is enabling this transition with its innovative digital platform, which streamlines the complex process of home energy retrofits. The platform provides an end-to-end service, starting with an automated, personalised home energy assessment and leading to the creation of a “home energy plan” to break down improvements over time. Furbnow manages the entire project, from planning to the installation of retrofit projects by third-party contractors, ensuring transparency and quality for the client at every step.
The company’s core technology, the “Home Digital Twin”, creates a living model of each property, providing accurate energy modelling by integrating real-time sensor data. This ensures more than 90% accuracy in energy prediction and reduces assessment costs by 95% while speeding up processing times from days to under an hour. This revolutionary approach transforms a traditionally fragmented process into a seamless digital experience, making sustainable homes more accessible for millions of people.
To date, Furbnow has already supported over 1,000 homeowners and has won exclusive partnerships with multiple local authorities – including Surrey County Council, Gloucestershire County Council, and West Yorkshire Combined Authority – to bring retrofit support to residents at scale. The company’s rapid commercial momentum also recently saw it ranked third in Sifted’s Future 50 2026.
The investment in Furbnow was driven by the company’s innovative technological solution and its potential to address one of the UK’s most pressing environmental challenges. The National Audit Office estimates that 18% of the UK’s greenhouse gas emissions come from heating homes, making housing the second-highest emitting sector after transport. Furbnow’s platform is poised to play a crucial role in decarbonising this sector, while also significantly improving efficiency and reducing costs for homeowners.
Becky Lane, Co-Founder and CEO of Furbnow, said: “We are thrilled to partner with the West Midlands Co-Investment Fund and our co-investors as we enter this exciting new phase of growth. I started Furbnow out of frustration with my own experience of improving the energy efficiency of my own home and delivering large-scale retrofit programmes – I knew we needed something better to give people what they need to invest in their homes’ energy performance.
“This investment will enable us to accelerate product development, and scale our relationships with suppliers. Our mission is to make sustainable homes accessible to everyone, and this funding brings us one step closer to making a significant environmental and economic impact.”
Huw Sparkes, Investment Manager at Future Planet Capital Regional said: “Furbnow’s platform is a game-changer for the residential retrofit market. By automating assessments and streamlining project management, Furbnow is making home decarbonisation achievable at scale. This investment aligns perfectly with Future Planet Capital’s mission to back companies with both high-growth potential and a strong commitment to addressing global challenges.”
The WMCO was launched by the West Midlands Combined Authority (WMCA) and the West Midlands Pension Fund to help expand SMEs that offer high-growth potential and the ability to help supercharge the regional economy. Managed by Future Planet Capital Regional, the fund provides innovative SMEs with equity of up to £1 million matched on a 1:1 basis by private co-investment.
Richard Parker, Mayor of the West Midlands, said: “Green industries are one of the fastest-growing parts of our economy, and I want the West Midlands to stay ahead of the game. That’s why it’s essential we back innovative businesses like Furbnow which have the ideas and technical know-how to improve people’s lives and create skilled jobs. We’re already investing millions in bringing homes, businesses, libraries, schools, and leisure centres up to modern energy standards, tackling fuel poverty and protecting the vital public services people rely on every day. Furbnow’s technology is made in Birmingham, but it has the potential to help build a more sustainable, prosperous future for people and businesses far beyond our region.”
Paul Nevin, Director of Investment Strategy at West Midlands Pension Fund said: “The West Midlands Co‑Investment Fund was launched to accelerate and support the success of innovative SMEs driving the region’s future economy. Furbnow is a prime example of this focus on scalable, high‑impact SMEs capable of delivering strong investment returns, boosting regional economic growth, tackling global environmental challenges and adding real value to people across the West Midlands and the UK.”