The Energy Company Obligation (ECO) is a government initiative to improve energy efficiency, cut carbon emissions, and lower bills in UK homes. Its current phase, ECO4, runs from April 2022 to March 2026 and requires energy suppliers to deliver energy-saving improvements.

ECO4 takes a “whole-house” approach, looking at the overall efficiency of a property. Upgrades may include wall, loft, or floor insulation, new or upgraded heating systems, and other measures to reduce energy demand and increase comfort.

The scheme is aimed at low-income and vulnerable households.

Eligible residents include homeowners and private tenants receiving income-related benefits such as:
Tax Credits Child Benefit Housing Benefit Pension Credit (Savings Credit) Income-based Jobseeker’s Allowance. Carer’s Allowance By focusing on these groups, ECO4 helps tackle fuel poverty, cut bills, and make homes warmer and more affordable.

Great British Insulation Scheme (GBIS)
Launched as ECO+, GBIS expands ECO4 to reach more households in need. Running until March 2026, it focuses on affordable wall and loft insulation to cut bills by an average of £310 a year.

Part of the £6.6 billion “Help to Heat” programme, GBIS has £1 billion in funding and targets vulnerable homes with low EPC ratings (D or below) and lower council tax bands, especially those not covered by other schemes.

Eligibility:
LowEligibilityLow-Income Group: Same criteria as ECO4, with at least 20% of funding.
General Group: Homes in Council Tax bands A–D (England), A–E (Scotland), A–C (Wales) with EPC D or below (up to 80% of funding)

Private rented homes are only eligible for higher-cost measures, excluding loft and cavity wall insulation. The government aims for all homes to reach EPC band C or above by 2035.

Warm Homes: Social Housing Fund (WH:SHF) – Wave 3

Run by DESNZ, WH:SHF supports social landlords to upgradehomes to EPC band C by 2030 through insulation, low-carbon heating, and solarPV. It tackles fuel poverty, reduces carbon, and is the main funding route forlarge-scale retrofits until 2028.

Key Details

Applications: 30 Sept – 25 Nov 2024; funding availablefrom April 2025.
Format: Challenge Fund (100+ homes) or Strategic Fund(1,000+ homes).
Eligibility: Homes below EPC C (exceptions apply).Mixed-tenure blocks must have 30%+ social housing. Some properties may accesslimited low-carbon heat funding.
Funding: £7,500 per home (match-funded). Extra £7,500 foroff-gas homes with low-carbon heating. Up to £20,000 for certain on-gas homesinstalling heat pumps/heat networks (no match funding). Admin costs covered upto 15%.
Delivery: To Sept 2028, with spend phased annually.

Requirements: TrustMark/MCS installers, PAS2030compliance, SME involvement encouraged. No fossil-fuel heating in scope.

Warm Homes: Local Grant (WH:LG)
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Starting April 2025, WH:LG funds upgrades such as insulation, solar PV, and low-carbon heating for low-income private homes in England with EPC D or below. It aims to cut bills, improve energy efficiency, and reduce carbon emissions.

Key Details
Applications: Expression of Interest opens October 2024; delivery starts April 2025 for 3–5 yearrs.
Format: Delivered by local authorities, individually or in consortia.
Eligibility (Properties): Owner-occupied, private rented, and park homes (EPC D or below). Excludes new builds and most social housing (except in-fill). Homes treated under LAD/HUG eligible only if improved to EPC C or fitted with low-carbon heat.
‍Eligibility (Households): Low income via IMD deciles 1–2, receipt of means-tested benefits/ECO Flex route 2, or income under £36k (or below after-housing-costs threshold).
‍Funding: Up to £15,000 per home for energy upgrades and £15,000 for low-carbon heating. Owner-occupiers fully funded. Landlords: one home fully funded, 50% contribution for extras. Tenants: no contributions. Admin costs claimable up to 15%. Other schemes (e.g. ECO) can fund the same property but not the same measure

Requirements: TrustMark/MCS accredited installers, PAS2030:2023 compliant.

The Boiler Upgrade Scheme (BUS) helps homeowners and landlords in England and Wales replace old fossil fuel boilers with low-carbon heating, such as air source heat pumps, ground source heat pumps, or biomass boilers. Grants of up to £7,500 are available to reduce installation costs.

To be eligible, properties must be owned by the applicant, located in England or Wales, and have a valid Energy Performance Certificate (EPC) with no outstanding loft or cavity wall insulation recommendations. Both domestic and small non-domestic buildings can qualify, including self-builds. Social housing and new builds (except self-build) are not eligible.

The application process is straightforward: an MCS-certified installer applies for the grant on behalf of the homeowner or landlord, with the value of the grant deducted directly from the upfront cost. This makes upgrading to low-carbon heating simpler and more affordable, while helping reduce emissions and future-proofing properties.