UK Government ECO4 scheme explained

UK Government ECO4 scheme explained

The UK Government introduced the Energy Company Obligation (ECO) scheme to tackle fuel poverty, rising energy and heating costs, and climate change. This government ECO scheme is administered through Ofgem and has been through 4 different iterations, and the latest version called ECO4 has £4 billion of funding for eligible applicants. The great news is you could be eligible for an ECO4 grant today. 

 

What is the ECO4 scheme?

The UK Government has committed to Net Zero by 2050, and to support this target a number of energy efficiency grant schemes have been legislated.

The good news is that if you are eligible for an ECO4 grant it is likely any heating upgrades you receive will be fully paid for by the energy companies. The list of main heating measures covered under the ECO4 scheme include:

  • boiler upgrades
  • air source heat pumps with solar panels
  • electric storage heater upgrades with solar panels
  • insulation measures (roof insulation, loft insulation, cavity wall insulation, internal wall insulation and more)

 

Who is eligible for the ECO4 scheme?

The eligibility rules for the ECO4 scheme can seem quite confusing, which is why Energy Saving Genie can do the checking for you. Our free grant checker will ask you for information to help best determine your eligibility for grants. The Energy Performance Certificate (known as EPC) rating of your property determines if you are eligible for an ECO4 grant and a minimum improvement needs to be made to your property (sometimes referred to as the minimum uplift). The bigger the improvement on your EPC rating, the more ECO4 grant funding your property will receive.

Visit us for an EPC certificate: https://epcrating.net

 

Benefits route

Households qualify for an ECO4 grant if they receive the following benefits:

  • Employment and Support Allowance (income-based)
  • Housing Benefit
  • Income Support
  • Jobseekers Allowance (income-based)
  • Pension Credit
  • Tax Credits
  • Universal Credit

If you receive Child Benefit you can qualify but if Child Benefit is the only benefit you receive, you’ll also need to meet some additional rules related to your income.

Local Authority or ECO4 Flex route

Assuming your Local Authority has issued its statement of intent, households may qualify for an ECO4 grant if they meet the following:

  • Eligibility based on low income (less than £31,000 per year)
  • Eligibility based on being classed as vulnerable (including debts, mental health conditions, having people aged 65+, or babies or children living at the property)
  • Eligibility based on health grounds (including cardiovascular disease, immunosuppressed, mobility issues and respiratory conditions)

Please note, this list doesn’t cover all scenarios, which is why it’s important to check your eligibility.

 

How long do I have to wait for my free ECO4 grant?

It’s difficult to give exact timeframes given the varying complexity of the rules. Some heating measures take longer to obtain planning and approval, but the following table is a rough guide for ECO4 grant timings from application to installation.

Boiler

From 2 weeks

Insulation (loft, cavity wall, solid wall and underfloor)

From 2 weeks

Heat Pump (air source and ground source)

From 4 weeks

Solar PV

From 4 weeks (depending on how long it takes for DNO approvals)

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