Around £700 million could be saved each year if British homeowners installed cavity wall insulation to boost their property's heat retention.
Figures from the National Insulation Association revealed that almost four million tonnes of CO2 would also be cut over a 12-month period.
Currently, Brits who do not have insulation fitted inside the gap between their brickwork run the risk of high energy bills as they will have to keep their gas fire on for longer in order to keep filling the property with heat.
Neil Marshall, chief executive of the National Insulation Association, said that two-thirds of heat can leak through walls and roof space.
"Therefore, if householders install insulation they could be saving on their energy bills. By installing cavity wall and loft insulation, savings of up to £310 per year can be made and the payback period can be as little as one to three years," he noted.