What is the ECO Grant Scheme?
{Blog updated April 2023}
What is the Energy Company Obligation Scheme?
In layman’s terms, the Energy Company Obligation (ECO) is a government energy efficiency initiative, designed to help prevent fuel poverty, reduce carbon emissions, and help save money on householder’s energy bills. The latest version of the ECO Scheme is otherwise known as ‘ECO4’ and is expected to run until 31 March 2026.
Where does the ECO4 Funding come from?
In 2013, an obligation was placed by the government on to the energy companies, to provide qualifying households, funding for energy efficiency measures. The energy companies are obligated to work with qualified installers to deliver and install these measures, to make households energy efficient.
What energy-saving measures does the ECO4 Scheme provide?
Under ECO, there are grants to cover all or part of the measures installed to save energy. These can include:
- Loft Insulation
- Cavity Wall Insulation
- Solar PV
- Air Source Heat Pumps
- Boiler replacements
- First-time central heating
- Solid Wall Insulation
- Room in roof insulation
- Under Floor Insulation
The grant scheme primarily focuses on a ‘fabric first’ approach, which basically means making sure your home is well insulated before other renewable type measures are considered.
There are restrictions on funds for boiler replacements. Non-condensing boilers are generally those that are replaced through this scheme.
To see you’re eligible please use our grant enquiry form here.
How will I qualify?
There are various different ways you can broadly qualify for funding through ECO. Firstly, if you or someone in your household is in receipt of a qualifying benefit. Secondly, you need to be an owner occupier or privately rent. Lastly, you’re home generally needs to have an EPC rating of E, F or G. You can use the EPC register to check your home’s rating. ECO4 is all about installing multiple energy-saving measures, taking a whole house approach, to improve the EPC rating of your home.
What are the qualifying benefits?
If you are a low-income household on certain means-tested benefits and credits, and either a private homeowner or private tenant, living in poorly insulated homes and/or do not have a working central heating system, you may qualify for funding. If you or someone living in your household is in receipt of one of the following benefits, you may be eligible:
- Universal Credit
- Income based jobseekers allowance
- Income-Related Employment and Support Allowance
- Tax Credits (Child Tax and Working Tax Credits)
- Income Support
- Pension Credit Guarantee
- Pension Credit Savings
- Housing Benefit
How will I know if I meet the LA Flex criteria?
LA Flex is part of the government’s Energy Company Obligation scheme. Local Authorities can use LA Flex to help homeowners and private tenants in their communities, benefit from energy-saving measures, by creating and tailoring an extension to the ECO criteria, to help address the specific needs of their residents. This will mean you or someone you know, may qualify for ECO, even if you are not on a qualifying benefit.
The criteria laid out by each Local Authority will vary, but often take into consideration those on low incomes, health, age or simply the area you live in.
Your Local Authority will publish a Statement of Intent, which can be found on their website. This will list your Local Authority’s chosen criteria.
Don’t worry, we have relationships with a vast number of Local Authorities and will be able to advise if you meet the criteria.
If you don’t qualify for funding, either through the standard ECO criteria or through the LA Flex, we will be able to arrange a free no obligation survey and provide you with a quote.
Will I save money on my heating bills?
Absolutely, each measure will help you save on your fuel bills. However, a survey of your home will determine which measures are best to suit your property. Your home may need more measures and that could include insulation to your walls, floor and roof to prevent further loss.
How is the energy survey conducted?
A qualified and experienced Retrofit Assessor will assess your home is suitable for energy efficiency measures. The team will help to establish whether you qualify for ECO funding or other grants there are available.
Home Insulation grants
Did you know? If you don’t qualify for ECO4 funding, there are other grants available which fully fund a range of energy-saving measures. If you are not in receipt of benefits and/or your home has a higher EPC rating, there is funding available. It may be worth reading more, in case you meet the criteria for energy efficiency help for other schemes.
