Living Villages received £350,000 from Low Carbon Accelerator (LCA), a fund that invests in low carbon producing companies.

In exchange for its investment, LCA has taken a 15 per cent shareholding in the company, which designs and builds energy efficient houses. The fund has agreed to invest a further £650,000 if Living Villages reaches agreed targets, which would take its stake in the business to 25 per cent.

Living Villages plans to build its developments on a larger scale and will use the funds to develop these projects.

The company’s main development is The Wintles in Shropshire, an estate of 40 homes all fitted with energy-saving and renewable energy generating technologies such as solar panels and solar water heaters, triple-glazing, insulated timber frames and heat exchange units.