What Green Energy Grants Are Available in 2026?

Green energy grants available in the UK in 2026 include the Boiler Upgrade Scheme (worth up to £7,500, or £9,000 for some off-gas homes from 21 July 2026), the ECO4 scheme for low-income households, and devolved schemes such as Home Energy Scotland and the Welsh Nest scheme. These fund heat pumps, insulation, solar panels and other measures, though eligibility depends on your income, home and where you live.

Grant rules changed in 2026. ECO4 was extended to the end of December 2026, the Great British Insulation Scheme closed on 31 March 2026, and the government’s £15 billion Warm Homes Plan is rolling out new local grants and a low-interest loan scheme over the next few years.

• Boiler Upgrade Scheme (England & Wales): £7,500 off a heat pump for any homeowner; rising to £9,000 for oil/LPG homes from 21 July 2026.
• ECO4: free insulation, boilers and heating for low-income households on qualifying benefits, ending 31 December 2026.
• Warm Homes: Local Grant (England): council-delivered help for lower-income homes, replacing ECO4.
• Scotland & Wales: Home Energy Scotland grants and loans, and the Welsh Nest scheme, run separately.

How the main UK grant schemes fit together

The UK has no single “green energy grant” — instead there are several schemes, split by who funds them, who qualifies and which UK nation you live in. The two largest for households in 2026 are the Boiler Upgrade Scheme (open to all homeowners in England and Wales) and ECO4 (means-tested, across Great Britain). Scotland and Wales also run their own national schemes.

Eligibility usually depends on three things: your income or benefits status, the type and energy rating of your property, and your postcode. Two households in similar circumstances can get very different outcomes because much delivery is now run by local councils.

Figures and eligibility are indicative and may change as schemes are updated.

The Boiler Upgrade Scheme: £7,500 towards a heat pump

The Boiler Upgrade Scheme (BUS) is a government grant that gives homeowners in England and Wales £7,500 off the cost and installation of an air source, ground source or water source heat pump, or £5,000 off a biomass boiler. It is administered by Ofgem on behalf of the Department for Energy Security and Net Zero (DESNZ) and runs to 2028 as part of the Warm Homes Plan.

Unlike ECO4, the Boiler Upgrade Scheme is not means-tested — it is open to all homeowners regardless of income. You do not apply directly. Instead, an MCS-certified installer applies for and redeems the voucher on your behalf, taking the grant value off your quote upfront.

A separate £2,500 grant is available towards an air-to-air heat pump for residential properties. As of April 2026, you no longer need insulation recommendations on your Energy Performance Certificate (EPC) before claiming, which widened access to the scheme.

The £9,000 grant for oil and LPG homes

From 21 July 2026 to 31 March 2027, eligible off-gas-grid homes that rely on heating oil or LPG can claim £9,000 towards an air source or ground source heat pump under the Boiler Upgrade Scheme. The government announced this temporary uplift on 21 April 2026.

The £9,000 rate is not available to homes with mains gas central heating — it applies only to off-gas-grid properties using oil or LPG. Anyone with an existing live BUS voucher will still only get £7,500; only vouchers applied for on or after 21 July 2026 qualify for the higher amount.

After the grant and 0% VAT on installation, the net cost of a heat pump for a typical three-to-four-bedroom home is often in the region of £2,000 to £6,500, depending on the system, though this is an illustrative range rather than a guaranteed price.

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ECO4: free insulation and heating for low-income homes

ECO4 (the Energy Company Obligation, phase 4) is a £4 billion scheme that funds free insulation and heating measures for low-income and vulnerable households across Great Britain. It was extended and now ends on 31 December 2026, with no further extensions planned and no successor obligation.

ECO4 can cover loft, cavity, solid wall and underfloor insulation, replacement boilers, heat pumps and — for homes with electric heating — solar panels. Energy suppliers fund and deliver the measures to meet their legal obligation, so there is no upfront cost to the household.

Who qualifies for ECO4

ECO4 targets households in EPC bands D to G that receive a qualifying means-tested benefit. Qualifying benefits include Universal Credit, Pension Credit, Child Tax Credit, Working Tax Credit, Income Support, Jobseeker’s Allowance, Employment and Support Allowance and Housing Benefit.

There is also a route called LA Flex, where local councils can refer households on lower incomes (broadly under £31,000 a year) even if they are not on benefits. Solar panels under ECO4 are generally reserved for electrically heated homes, so a household with a gas boiler usually would not qualify for free solar through this route. If you are on a low income, our guide to solar panels for fuel-poor families explains the options in more detail.

Cut your bills while you wait for a grant

Energy tariff comparison tools allow you to compare rates across the whole market in minutes. This approach helps you identify cheaper options without waiting for grant funding to arrive, enabling immediate savings on your energy bills whilst you pursue longer-term financial support.

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The Warm Homes Plan and what replaces ECO4

The Warm Homes Plan is a £15 billion government strategy, published on 21 January 2026, to upgrade UK homes with solar panels, batteries, heat pumps and insulation. It is an umbrella framework rather than a single scheme you apply to, and several of its parts are still being finalised.

The main successor to ECO4 for lower-income households in England is the Warm Homes: Local Grant, delivered through local councils rather than private installers. It funds insulation and low-carbon heating for eligible households, with delivery, measures and exact eligibility varying by local authority.

Grants versus loans under the plan

The Warm Homes Plan splits its funding between direct capital grants for low-income households and repayable finance for everyone else. Around £4.4 billion is earmarked for direct capital grants for low-income and fuel-poor homes to 2030, backed by an initial £600 million from the Warm Homes Fund.

The £5 billion Warm Homes Fund is delivered mainly through repayable finance, not grants. A separate government-backed Consumer Loan Scheme is planned to offer 0% or low-interest loans for solar panels, batteries and heat pumps to homeowners of any income — but it is not yet open, and the government says it will confirm eligibility and timing during 2026.

The plan aims to put solar panels on three million more rooftops and scale up to over 450,000 heat pump installations a year by 2030. If you are weighing up panels in the meantime, our guide to solar panels and battery storage covers how they work and what they cost.

Grants in Scotland and Wales

Scotland and Wales run their own green energy grant schemes, separate from the Boiler Upgrade Scheme, which does not operate in Scotland. If you live in either nation, you apply through the relevant national scheme rather than the England-and-Wales BUS.

Home Energy Scotland grant and loan

In Scotland, the Home Energy Scotland grant and loan offers up to £7,500 in grant funding towards a heat pump or heat network connection, plus an optional interest-free loan of up to a further £7,500. For energy efficiency measures such as insulation, grant funding covers up to 75% of the combined cost, up to a £7,500 maximum.

Rural and island homes in Scotland qualify for an uplift of £1,500 on both the heating and energy efficiency grants, recognising the higher cost of work in remote areas. Lower-income households may also be eligible for support through Warmer Homes Scotland.

The Nest scheme in Wales

In Wales, the Nest scheme provides free home energy improvements to low-income and vulnerable households, including heating, insulation and in some cases solar panels. Homeowners in Wales can also use the Boiler Upgrade Scheme, since BUS covers both England and Wales. Solar installations across the UK benefit from 0% VAT, which applies regardless of which nation you live in.

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Solar panels and the Smart Export Guarantee

There is no standalone government grant solely for solar panels for most UK households in 2026, but several routes can help fund them. Solar can be included under ECO4 for electrically heated low-income homes, may form part of Warm Homes Plan support, and benefits from 0% VAT on installation across the UK.

Once panels are installed, the Smart Export Guarantee (SEG) lets you earn money for surplus electricity you export to the grid. Under the SEG, licensed energy suppliers must offer a tariff that pays you per unit (kWh) of exported electricity, though rates vary between suppliers, so it pays to compare. This is an ongoing payment rather than an upfront grant.

If you are choosing a supplier with solar in mind, comparing solar-friendly energy suppliers helps you find a competitive export tariff alongside a fair import rate.

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How to check which grants you can get

To find out which green energy grants you qualify for, check your eligibility against three things: your income or benefits, your property’s EPC rating and heating type, and your local council’s current schemes. The Boiler Upgrade Scheme is the simplest, as it is open to all homeowners in England and Wales through an MCS-certified installer.

For means-tested help such as ECO4 or the Warm Homes: Local Grant, your council or the GOV.UK grant-finder tool can confirm whether you qualify. Always use official routes — Ofgem, GOV.UK, Home Energy Scotland or the Welsh government — rather than cold callers, and be cautious of anyone promising “free solar panels” with no eligibility checks.

Improving efficiency in other ways also reduces bills while you wait for a grant. Choosing more energy-efficient appliances and better insulation can lower your usage regardless of which scheme you eventually access.

• Energy-Efficient Appliances: Environmental Impact & UK Guide
• So Energy Solar Panels: Sustainable Power for Your Home
• 100Green Domestic Energy: Renewable Electricity and Gas
• British Gas Home Insulation: Save Energy and Cut Costs
• Go Green with British Gas Solar Panels & Battery Storage

Information correct as of 21 June 2026. Prices, tariffs, policy details and providers change frequently, so please check the latest details before making a decision. This article is for general information only and does not constitute financial advice.