UK Home Energy Grants & Incentives You Can Claim in 2025

Are you tired of watching your energy bills climb higher each year? You’re not alone.

With the cost of living still a concern for many families, making your home more energy efficient has never been more important.

The good news is, the UK government is stepping up in 2025 with a range of generous grants and incentives to help you upgrade your home, save money, and reduce your carbon footprint.

Whether you’re thinking about a new heat pump, better insulation, or even solar panels, there’s likely a scheme out there for you.

Let’s explore what’s on offer, how you can qualify, and how to make the most of these opportunities.

Major Government Schemes Available in 2025

The government’s goal is clear: help more people live in warmer, greener homes while cutting down on energy costs and carbon emissions.

Here are the major schemes you should know about this year:

Boiler Upgrade Scheme (BUS)

This popular scheme is designed to help homeowners in England and Wales swap out old fossil fuel boilers for modern, low-carbon heating systems.

If you’re considering an air source or ground source heat pump, you could get up to £7,500 towards the cost and installation.

For those in rural, off-grid homes, there’s also a £5,000 grant available for biomass boilers. This is a fantastic way to future-proof your heating and make your home more eco-friendly.

Learn more and check eligibility on the official GOV.UK Boiler Upgrade Scheme page.

Warm Homes: Local Grant

Launched in April 2025, the Warm Homes: Local Grant is a real game-changer for low-income households in England.

If your home has a poor energy rating (EPC D to G) and you’re on a tight budget, you could get up to £30,000 to cover upgrades like insulation, solar panels, and heat pumps.

This grant is designed to help those who need it most, making homes warmer and energy bills more manageable.

Find out more on the Warm Homes: Local Grant page.

Warm Homes: Social Housing Fund

If you’re a social housing tenant, this fund is for you. It helps social landlords upgrade properties with better insulation and low-carbon heating, so tenants can enjoy warmer homes and lower bills.

The focus is on properties with poor energy ratings, making sure no one is left behind in the drive for greener living.

Energy Company Obligation (ECO4)

ECO4 is a long-running scheme that requires big energy companies to help low-income and vulnerable households improve their homes.

This usually means free or discounted insulation, heating upgrades, or even new boilers.

If you receive certain benefits or have a low income, ECO4 Scheme could be your ticket to a cosier, more efficient home.

Details on eligibility and how to apply can be found at Ofgem’s ECO4 information page.

Great British Insulation Scheme (GBIS)

Insulation is one of the best ways to keep your home warm and your bills low.

The GBIS helps homeowners and tenants in council tax bands A-D (England) or A-E (Scotland and Wales) with EPC ratings of D to G get up to 100% of insulation costs covered.

This includes loft, cavity wall, and floor insulation—simple upgrades that make a big difference.

Check out the Great British Insulation Scheme on Ofgem.

Who Can Apply? Understanding Eligibility

Each scheme has its own set of rules, but here’s a quick guide to help you see where you might fit in:

Boiler Upgrade Scheme

You own your home in England or Wales (private or self-build; not new builds except self-builds)
Your property has a valid Energy Performance Certificate (EPC) with no outstanding recommendations for loft or cavity wall insulation (unless exempt)
You’re replacing an old fossil fuel system (oil, gas, or electric heaters), not an existing low-carbon system

Warm Homes: Local Grant

You live in England
Household income is below £36,000 or you receive a means-tested benefit (like Universal Credit, Pension Credit, Housing Benefit)
Your home has an EPC rating of D to G
You own your home or rent from a private landlord (with landlord’s support)

Warm Homes: Social Housing Fund

You’re a social housing tenant in England
Your home has a poor energy rating (EPC D to G)

Energy Company Obligation (ECO4)

You receive certain benefits (Universal Credit, Pension Credit, Child Benefit, etc.)
Your home is poorly insulated or has an old heating system
Available across Great Britain

Great British Insulation Scheme

Your home is in council tax band A-D (England) or A-E (Scotland/Wales)
EPC rating of D to G
Both low-income and general households can qualify
You own your home or have your landlord’s permission if renting

How to Apply: Step-by-Step

Applying for these grants doesn’t have to be complicated. Here’s a simple breakdown:

Check Your Eligibility:
Visit the official government websites for each scheme to see if you qualify.
Get an EPC Assessment:
Most grants require a recent Energy Performance Certificate. If you don’t have one, arrange an assessment through an accredited assessor.
Contact an Approved Installer or Local Authority:
For the Boiler Upgrade Scheme and GBIS, you’ll need a government-approved installer like Energex. For the Warm Homes Grant, reach out to your local council.
Gather Your Documents:
You’ll need proof of income, benefits, home ownership, and your EPC.
Apply Online or Through Your Installer:
- For the Boiler Upgrade Scheme, your installer applies on your behalf.
- For Warm Homes and GBIS, apply through your local authority or energy supplier.
- For ECO4, contact your energy supplier directly.
Wait for Approval and Installation:
Once approved, the installer or council will schedule the work.

Tips to Maximise Your Chances

Double-check eligibility: Each scheme is different, so make sure you meet all the requirements before applying.
Apply early: Some grants are first-come, first-served and funds can run out.
Use certified installers: Only use installers approved by the scheme (like MCS-certified for heat pumps).
Keep your paperwork organised: Have all your documents ready to avoid delays.
Ask for help: If you’re unsure, contact your local council or a trusted installer for advice.

Common Pitfalls and How to Avoid Them

Incomplete applications: Missing documents or incorrect information can delay your application.
Not understanding eligibility: Make sure you tick all the boxes before you apply.
Missing deadlines: Set reminders and don’t leave things to the last minute.
Not using approved installers: Always check your installer is certified for the scheme.
Assuming automatic approval: Even if you qualify, grants aren’t guaranteed—funding is limited and some homes may not be suitable.

FAQs

What grants are available for energy efficiency in the UK?

There are several, including the Boiler Upgrade Scheme, Warm Homes: Local Grant, Energy Company Obligation (ECO4), and the Great British Insulation Scheme. Each has different eligibility and benefits.

Who is eligible for the Boiler Upgrade Scheme?

Homeowners in England or Wales with a valid EPC, replacing an old fossil fuel boiler with a heat pump or biomass boiler (biomass only for rural, off-grid homes).

New builds and social housing are not eligible, except for self-builds.

How do I apply for the Great British Insulation Scheme?

Check your eligibility, then contact your energy supplier or a government-approved installer.

They will guide you through the application and arrange a property assessment.

Can I get a grant for solar panels in 2025?

Yes, the Warm Homes: Local Grant and some local authority schemes offer grants for solar panels, especially for low-income households and homes with poor energy ratings.

What is the Warm Homes Plan?

The Warm Homes Plan is a government initiative to help people upgrade their homes with better insulation and low carbon heating, mainly through grants like the Warm Homes: Local Grant and the Boiler Upgrade Scheme.

Conclusion

Upgrading your home’s energy efficiency in 2025 is easier and more affordable than ever, thanks to these government grants.

Whether you’re looking to install a new heat pump, add insulation, or even fit solar panels, there’s likely a scheme that can help you save money and live more comfortably.

Always check the latest official guidance, use certified installers, and apply as soon as possible to make the most of what’s available.

If you need help or want to discuss your options, contact Energex Eco Limited or your local council—we’re here to help you make your home warmer, greener, and more affordable.

Posted on May 20, 2025.

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