The Energy Company Obligation (ECO4) is one of the most valuable home energy schemes available in the UK. If you qualify, it can fund fully covered insulation, heating upgrades, and other energy efficiency improvements at no cost to you.
ECO4 is specifically designed to help lower-income households living in poorly insulated homes escape fuel poverty. The scheme runs until March 2026, which means time is limited if you want to take advantage of it.
This guide explains:
- what ECO4 actually is and how it works
- the full eligibility criteria (benefits, property requirements, and flexible routes)
- exactly what improvements ECO4 can and cannot fund
- how to apply, step by step
- what landlords need to know
- how ECO4 relates to the Great British Insulation Scheme (GBIS)
If you want to check your current EPC rating and see what improvements are recommended for your property, start here: Check your EPC rating by postcode
Note: eligibility rules can change as the scheme progresses. Treat this as practical guidance and always confirm your eligibility through an official channel before making plans.
What is ECO4?
ECO4 is the fourth phase of the Energy Company Obligation, a government programme that requires large energy suppliers (such as British Gas, EDF, E.ON, OVO, and Scottish Power) to fund energy efficiency improvements in eligible homes.
Unlike a traditional grant where you apply to a government department, ECO4 funding flows through energy suppliers and their approved installer networks. The suppliers have legal targets to improve a set number of homes, so the funding is delivered through installers who carry out the work.
Key facts:
- Who funds it: large energy suppliers, as a legal obligation under Ofgem regulation.
- Who it targets: low-income and vulnerable households in the least energy-efficient homes.
- What it covers: insulation, heating, and other fabric improvements (details below).
- How long it runs: from April 2022 to March 2026.
- Cost to you: typically free for qualifying households (some measures may require a contribution).
The goal is to lift the worst-performing homes (EPC bands F and G) to at least band D where possible, while also supporting homes rated D and E.
ECO4 eligibility criteria: who qualifies?
Eligibility for ECO4 is based on a combination of household circumstances and property characteristics. You generally need to meet conditions in both categories.
1. Property EPC rating
Your home must currently have an EPC rating of D, E, F, or G.
- F and G rated homes are highest priority, because the scheme aims to move the least efficient homes up by at least two EPC bands.
- D and E rated homes can also qualify, but funding may be more limited.
If you are not sure what your current rating is, you can look it up by postcode: Find your EPC report
You can also browse EPC data by area to see how your property compares to others nearby.
2. Qualifying benefits
The most straightforward route into ECO4 is through benefits-based eligibility. If anyone in your household receives one of these benefits, you may qualify:
- Universal Credit
- Pension Guarantee Credit or Pension Savings Credit
- Child Tax Credit or Working Tax Credit (income thresholds apply)
- Income-based JSA, Income-related ESA, or Income Support
- Housing Benefit
- Child Benefit (subject to income thresholds)
Exact income thresholds can change, so check the current figures when you apply.
3. Flexible eligibility (LA Flex)
Not everyone in fuel poverty receives means-tested benefits. ECO4 includes a flexible eligibility route, often called LA Flex (Local Authority Flex).
Under this route, your local authority can refer you to the scheme if your household meets their local criteria for fuel poverty or vulnerability, even without qualifying benefits.
Common reasons a council might refer you through LA Flex:
- you are on a low income but do not claim benefits
- someone in the household has a health condition worsened by a cold home
- you are an older person struggling with energy costs
- your home is in particularly poor condition
Each local authority sets its own LA Flex criteria (published as a "Statement of Intent"), so eligibility varies by area. Contact your council to ask whether they operate a flex scheme.
4. Tenure type
ECO4 is available across different tenure types, but the rules vary:
- Owner-occupiers: fully eligible if you meet the benefit or LA Flex criteria.
- Private renters: eligible, but the landlord must give written consent for the work to go ahead. The tenant usually needs to meet the eligibility criteria.
- Social housing: separate rules apply. Social landlords can access ECO4 funding, but the scheme has specific requirements around minimum EPC improvements for social housing properties.
What improvements does ECO4 cover?
ECO4 takes a whole-house approach. Rather than funding one isolated measure, the scheme aims to deliver a package of improvements that meaningfully raises the home's EPC rating.
Commonly funded measures
- Loft insulation (new installation or top-up to recommended depth)
- Cavity wall insulation (where walls are suitable)
- Solid wall insulation (internal or external, for hard-to-treat properties)
- Underfloor insulation (suspended timber floors)
- Flat roof insulation and room-in-roof insulation
- Heating system upgrades (replacing old, inefficient boilers with modern condensing boilers)
- First-time central heating (for homes that have never had a full central heating system)
- Heating controls (programmers, room thermostats, TRVs)
- Solar panels (in some cases, as part of a broader package)
- Energy-efficient doors (where the existing door is a significant source of heat loss)
For more on how specific upgrades affect your EPC score, see:
- Does loft insulation improve your EPC?
- Cheapest ways to improve your EPC rating
- EPC improvement costs in 2026
The "minimum improvement" rule
ECO4 generally requires that funded improvements lift the property by at least two EPC bands (or to band C, whichever is lower). For example:
- An EPC G home should ideally reach at least band E.
- An EPC F home should ideally reach at least band D.
- An EPC E home should ideally reach at least band C.
This is why the scheme favours packages of measures rather than single fixes. If a single measure cannot achieve the required improvement, additional measures will normally be included.
What ECO4 does NOT cover
ECO4 is focused on energy efficiency and heating. It does not generally fund:
- Cosmetic or decorative work (painting, plastering beyond what insulation requires, tiling).
- Double glazing as a standalone measure (though it may be included as part of a wider package where existing glazing is severely deficient).
- Extensions or structural alterations.
- Electrical rewiring (unless directly required for heating system installation).
- Renewable energy systems as standalone measures (solar may be part of a package, but not funded alone).
If your home needs improvements that ECO4 does not cover, our overview of home energy grants in the UK covers the broader landscape, and the grants hub can help you find what is available.
How to apply for ECO4: step by step
There is no single application form for ECO4. Instead, you access the scheme through one of several routes.
Step 1: Check your eligibility
Confirm that you (or your household) are likely to meet the criteria:
- Do you receive a qualifying benefit?
- Is your home rated EPC D, E, F, or G?
- If not on benefits, does your local authority run a flexible eligibility scheme?
Step 2: Contact an approved route
You have three main options:
- Contact your energy supplier directly. Most large suppliers have ECO teams or partner installers.
- Speak to an ECO-approved installer. Many installers can assess eligibility and carry out the work.
- Ask your local authority. If you do not receive qualifying benefits, your council may refer you through the flexible eligibility route.
Step 3: Home assessment
Once you are in the system, an assessor will visit your home to:
- confirm your eligibility (they may ask for proof of benefits or income)
- carry out an energy assessment (similar to an EPC survey)
- identify which measures will deliver the required improvement
- produce a recommended package of works
Step 4: Installation
If everything checks out, the approved installer will schedule the work. For most households, the full cost is covered by the scheme. In some cases (particularly for more expensive measures like solid wall insulation), a contribution may be discussed.
Step 5: Post-installation
After the work is complete:
- You should receive documentation confirming what was installed.
- A new EPC may be lodged to reflect the improved rating.
- Guarantees and warranties should be provided for the installed measures (for example, a 25-year cavity wall insulation guarantee).
Things to watch out for
- Cold callers and scams. ECO4 is genuine, but scammers sometimes pose as ECO installers. Never pay upfront fees to "secure" ECO funding, and always check that the installer is TrustMark registered or PAS 2030 certified.
- Quality of work. Insist on seeing the installer's accreditation before agreeing to any work. Proper documentation and guarantees protect you if something goes wrong.
- Timescales. The process from initial contact to installation can take several weeks or months. Start early if you want to benefit before March 2026.
ECO4 for landlords
If you are a landlord, ECO4 can be a valuable route to improve your property's EPC rating, particularly if you need to meet the minimum energy efficiency standards (MEES) for rental properties.
How it works for landlords
- The tenant usually needs to meet the eligibility criteria (qualifying benefits or LA Flex referral).
- The landlord must provide written consent for the work.
- The landlord may be asked to contribute towards costs, particularly for expensive measures.
- Both parties benefit: the tenant gets lower bills, and the landlord gets an improved EPC rating and a more compliant property.
Why it matters for compliance
In England and Wales, most privately rented homes must meet a minimum EPC rating of E. Properties rated F or G generally cannot be let without a valid exemption. With rules potentially tightening to EPC C by 2030, getting ahead makes sense.
ECO4 can help landlords reach compliance without bearing the full cost. For more on landlord EPC rules, see EPC requirements for landlords 2025-2030.
Practical tips for landlords
- Talk to your tenant first. They will need to consent to the assessment and installation process.
- If your tenant is on qualifying benefits, raise the possibility of ECO4 with them. Many tenants are unaware they could qualify.
- Keep all documentation (consent forms, installer certificates, guarantee documents) for your records.
- After the work, consider getting a new EPC to formally record the improved rating.
Great British Insulation Scheme (GBIS)
Alongside ECO4, the Great British Insulation Scheme (sometimes called GBIS, previously the ECO+ scheme) offers a related but distinct route to funded insulation.
How GBIS differs from ECO4
- GBIS focuses primarily on insulation (loft, cavity wall, and other fabric measures), not the wider heating and whole-house upgrades that ECO4 covers.
- Eligibility is broader in some respects. GBIS includes a "general eligibility" group based on Council Tax band and energy performance, not just benefits. Homes in Council Tax bands A to D with an EPC of D or below may qualify.
- GBIS is designed to be quicker and simpler, with single-measure installations rather than whole-house packages.
Note: GBIS closed to new applications on 31 January 2026. The scheme runs until 31 March 2026 to complete previously approved installations. If you did not apply before the deadline, GBIS is no longer available as a standalone route. For future insulation support, check ECO4, the Warm Homes: Local Grant, or local authority programmes.
Can you get both?
Where GBIS was available, a household could receive insulation through GBIS and heating measures through ECO4. However, the same measure cannot be funded twice.
If you are unsure which scheme suits your situation, an ECO-approved installer or your local authority can advise on the best route. For a full overview of all grant routes, see our home energy grants guide and grants hub.
ECO4 timeline and the March 2026 deadline
ECO4 runs from April 2022 to March 2026. As the deadline approaches:
- Demand increases towards the end of a scheme phase. Installers and suppliers become busier, and waiting times for assessments and installations grow.
- Apply early. Starting now gives you the best chance of completing work before the scheme closes.
- A successor scheme is expected. The government has indicated that a supplier obligation will continue beyond 2026 (often referred to as ECO5), but details and eligibility criteria have not been confirmed.
- Current eligibility may not carry over. If you qualify under ECO4 now, acting sooner rather than later removes the risk of missing out.
FAQs
Who qualifies for ECO4?
ECO4 targets households receiving qualifying benefits (such as Universal Credit, Pension Credit, Child Tax Credit, ESA, or JSA) who live in properties rated EPC D, E, F, or G. If you do not receive benefits but are in fuel poverty, you may still qualify through your local authority's flexible eligibility route.
What improvements are covered by ECO4?
ECO4 can fund loft insulation, cavity wall insulation, solid wall insulation, underfloor insulation, heating upgrades (including first-time central heating), heating controls, and in some cases solar panels. The scheme takes a whole-house approach, so you may receive a package of multiple measures.
Can landlords get ECO4 funding?
Yes. The tenant usually needs to meet the eligibility criteria, and the landlord must give written consent for the work. In some cases, the landlord may be asked to contribute towards costs. Both parties benefit from a warmer home and an improved EPC rating.
When does ECO4 end?
ECO4 is scheduled to end in March 2026. A successor scheme is expected but not confirmed. If you think you qualify, applying sooner gives you the best chance of completing work before the deadline.
How do I apply for ECO4?
You can apply by contacting your energy supplier, speaking to an ECO-approved installer, or asking your local authority about flexible eligibility referrals. There is no single online application form; the process starts with an eligibility check and a home assessment.
What to do next
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Check your current EPC rating and see what improvements are recommended for your property: Check your EPC by postcode
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Determine your eligibility. Do you or anyone in your household receive a qualifying benefit? If not, contact your local authority about flexible eligibility.
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Get in touch with an approved route. Contact your energy supplier, an ECO-approved installer, or your council to start the process.
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Act before March 2026. The scheme has a fixed end date, and demand typically increases as the deadline approaches.
If you are planning broader improvements beyond what ECO4 covers, these guides may help: