Italy scraps green tax credit scheme as construction sector suffers

Superbonus 110 initiative led to a surge in home renovations but has been blighted by widespread fraud

The Italian government has scrapped a generous tax credit scheme aimed at making homes more energy efficient amid warnings of dire effects on the construction sector.

The popular Superbonus 110 initiative, which entitled homeowners to a tax credit of up to 110% on the cost of upgrading their property, led to a surge in home renovations and helped to fuel Italy’s economy after the effects of the coronavirus pandemic.