Home Energy Grants UK 2025: Complete Guide to Funding

Improving your home’s EPC rating can be expensive – but you might not have to fund everything yourself.

There’s a patchwork of home energy grants and schemes across the UK, covering insulation, heating upgrades, low‑carbon systems and more. The landscape can be confusing, so this guide pulls the main strands together.

• Understand the major grant types in 2025
• See which upgrades they typically support
• Learn how boiler grants, heat pump grants and insulation schemes overlap

For specific deep dives, see Boiler Grants UK 2025, New Boiler Cost UK (2025): Complete Price Guide and Air Source Heat Pump Costs UK (2025 Guide).

Note: schemes change frequently. Treat this as a navigation guide, not legal or financial advice, and always check current official sources.

1. The main types of home energy grants

Most funding falls into a few broad categories:

• Supplier‑obligation schemes – funded by energy companies (e.g. ECO4).
• Capital grants for low‑carbon heating – such as the Boiler Upgrade Scheme (BUS).
• Local authority and regional programmes – area‑based or targeted schemes.
• Smaller or time‑limited initiatives – pilots, innovation funds, or specific technology programmes.

Together, these can support:

• Insulation (loft, cavity, solid wall, floors).
• Heating upgrades (boilers, storage heaters, controls).
• Low‑carbon systems (heat pumps, sometimes solar).

2. ECO4 and ECO‑type schemes

The Energy Company Obligation (ECO) is a major route for funding improvements in less efficient homes, especially for lower‑income households.

Under ECO4 and related schemes, support can include:

• Insulation: loft, cavity wall, underfloor and sometimes solid wall.
• Heating upgrades: boiler replacements, efficient electric heating where appropriate.
• Whole‑house packages aimed at lifting homes out of fuel poverty.

Eligibility usually considers:

• Income and benefits.
• Vulnerability and health.
• Current EPC rating (often D–G).

If you think you might qualify, installers and advice agencies can usually check eligibility and help you access the right route.

3. Boiler Upgrade Scheme (BUS)

The Boiler Upgrade Scheme focuses on low‑carbon heating rather than traditional boilers.

It typically offers:

• Grants worth several thousand pounds towards air and ground source heat pumps (exact amounts may change over time).
• Support for eligible owner‑occupied homes (and sometimes self‑builds) with appropriate building fabric.

This makes heat pumps more competitive against gas or oil boilers – see Boiler vs Heat Pump: Costs, Savings & Which Is Right for You and Air Source Heat Pump Costs UK (2025 Guide) for context.

4. Local authority and regional schemes

Councils and combined authorities often run their own programmes or partner on national ones, including:

• Area‑based retrofits targeting cold, inefficient neighbourhoods.
• Schemes focused on specific groups (e.g. households with health risks from cold homes).

These can offer:

• Additional insulation and heating measures.
• Top‑ups that make national funding more generous locally.

Check your local council’s website or energy‑advice services for up‑to‑date details.

5. Boiler‑ and heating‑specific grants

Some funding streams prioritise or include boiler replacements and heating improvements, especially for:

• Older, inefficient boilers in low‑income households.
• Properties with especially poor EPC ratings.

For boiler‑specific options, see Boiler Grants UK 2025 and New Boiler Cost UK (2025): Complete Price Guide. These guides show:

• When grants might cover a large part of the boiler cost.
• When you’re likely to need to fund an upgrade yourself.

6. Grants for insulation and fabric improvements

Fabric‑first measures often deliver the biggest EPC gains per pound spent. Grants commonly support:

• Loft insulation (especially where levels are below current recommendations).
• Cavity wall insulation where suitable.
• Floor insulation in suspended timber floors.
• Sometimes solid wall insulation for harder‑to‑treat properties.

Improving insulation first can:

• Reduce your overall energy demand.
• Make future heating upgrades (boiler or heat pump) more effective.

See Cheapest Ways to Improve Your EPC Rating and Does Loft Insulation Improve Your EPC? for practical ideas.

7. Solar and renewables support

While national, long‑running solar grant schemes are less prominent than they once were, you may still find:

• Support for solar PV or solar thermal via local or regional programmes.
• Feed‑in replacement mechanisms like the Smart Export Guarantee (SEG) for exported electricity.

Solar pairs particularly well with heat pumps and electric hot water systems. For EPC and solar, read Solar Panels and EPC Rating: Do They Improve Your Score?.

8. Landlords and home energy grants

Landlords can sometimes access funding where:

• Tenants meet eligibility criteria.
• Properties are in target areas.

However, rules are often stricter than for owner‑occupiers, and landlords may be expected to:

• Contribute to costs.
• Avoid raising rent purely because of grant‑funded improvements.

Whatever funding you use, landlords must still comply with minimum EPC rules – see:

• EPC Rules for Landlords in 2025–2030
• EPC Exemptions for Landlords: When You Don’t Need to Comply
• Landlord EPC Fines: Penalties for Non‑Compliance

9. Building a funding‑aware EPC improvement plan

To make the most of grants:

1. Check your current EPC and recommendations using our EPC checker.
2. Prioritise fabric improvements that are often heavily funded (insulation).
3. Use boiler and heat pump grants to tackle major heating upgrades when your system is nearing end‑of‑life.
4. Consider whether solar and other renewables fit your long‑term plan.

Then:

• Use 27 Ways to Improve Your EPC Rating as a master roadmap.
• Slot specific grants into that roadmap via Boiler Grants UK 2025, New Boiler Cost UK and Air Source Heat Pump Costs UK.

10. FAQs

Can I combine multiple grants on one property?

Sometimes, but there are often rules about double funding. Many schemes expect you to declare other support. A good installer or adviser can help structure works to comply with regulations.

Do home energy grants cover 100% of costs?

They can, but not always. Some schemes fund most of the work, others only part. In many cases you’ll still need to budget for a contribution, especially for more expensive measures.

Will taking a grant affect my ability to sell or remortgage?

Generally, grants aim to improve your property and should help, not hinder, transactions. Always read scheme terms; some may include conditions about ownership duration or reporting.

Where should I start?

1. Look up your home’s EPC via our EPC checker.
2. Use this guide to understand key grant routes.
3. Speak to qualified installers or local advice services about current schemes you might qualify for.
4. Plan upgrades in stages, aligning funded work with the improvements that deliver the biggest EPC and comfort gains.