Funding will focus on areas such as insulation to help boost the energy efficiency of homes.
Rishi Sunak announced plans for a £3 billion "green investment package" in a speech on Wednesday.
"This is going to be a green recovery, with concern for our environment at its heart," Sunak, who has been in his role as chancellor of the exchequer since February, said on Wednesday. It's hoped that the scheme will generate jobs at a local level. Improvements could include works on floor, wall and loft insulation, the government said.
In terms of the environmental impact, he added that the plans would "cut carbon by more than half a mega tonne per year" and "support around 140,000 green jobs."
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