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Home grants

Government energy grants for your home

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Government energy grants for your home

Find out if you qualify for energy grants from the government and energy suppliers to help make your home more efficient, cut your carbon footprint and reduce your energy bills

Energy grants and offers can help cover the initial cost of installing energy efficient features in your home and save you money. Plus there are schemes to help you pay your bills. Read on to find out about the different schemes and whether you qualify.

The average house could be wasting hundreds of pounds each year because it's not energy efficient. You may also be spending more money than you need to if you’re eligible for help with paying your gas and electricity bills.

The good news is that energy grants are available to help you with the cost of making your home more efficient. A more efficient home will be cheaper to run over time, and the changes might make it more cosy too.

Cut your energy bills by following our tips on saving energy at home.

Energy efficiency grants, discounts and freebies

Green Homes Grant

Homeowners will be able to apply for up to £5,000 of vouchers for energy-efficient home improvements from September 2020.

Double glazing, insulation, boilers, energy-efficient doors and energy-saving light bulbs are expected to be among the home improvements eligible for financial support from the government.

The vouchers should cover at least two-thirds of the cost of an eligible energy-saving home improvement, up to £5,000. So, for example, if you wanted to fit insulation worth £4,000 in your home, you would pay about £1,320 and the government would cover the remaining £2,680.

The lowest-income households wouldn’t pay anything and could get vouchers of up to £10,000.

Details of exactly who will be eligible for the grant, and what constitutes a 'lowest-income household' have not yet been announced. However, hundreds of thousands of people are expected to benefit from the £2bn Green Homes Grant, announced by chancellor Rishi Sunak in July 2020.

To get a government voucher, you’ll need to complete an online application for a recommended home improvement, get a quote from a listed supplier and have the quote approved. The scheme is set to launch in September 2020. We'll update this page as and when further information is released.

ECO and Affordable Warmth

The Energy Company Obligation (ECO) gives out grants for energy efficiency measures such as wall insulation. However, the eligibility criteria for ECO is quite complex. 

To find out if you could qualify, check the Simple Energy Advice website or call Home Energy Scotland on 0808 808 2282 and find out more in our ECO guide

As part of this, the Affordable Warmth scheme gives grants to help with making your home more energy efficient, such as insulation or a new boiler.

Free insulation and grants from energy suppliers

Some energy suppliers offer grants, including for insulation or a new boiler if yours is broken. 

Help paying your gas and electricity bills

  • The Warm Home Discount gives £140 each year to consumers who need help with their energy bills. It's targeted at pensioners and people who receive certain benefits.
  • Fuel Direct can help you manage your energy bills if you get Income Support, income-based Jobseeker’s Allowance or Universal Credit.
  • The Winter Fuel Payment is for those aged over 63, and it pays up to £300 (if you’re aged over 80) towards your winter heating.
  • If winter is particularly cold, some households will be eligible for the Cold Weather Payment. If you’re eligible, it’s worth £25 per each week that it’s below zero degrees.

Energy efficiency measures

There are many ways to save energy and money in your home. Some, such as draught proofing and fitting energy-saving light bulbs, are cheap and easy to do. 

Loft insulation and cavity wall insulation are relatively straightforward to install and will yield bigger savings. Solid wall insulation is more expensive, but the long-term savings can be even greater. Select your home type from the drop-down menu in the graphic below to see your estimated savings per year for different types of insulation:

If your home is already well-insulated, fitting a modern condensing boiler is pricey but replacing an old boiler with a modern one with heating controls could save you more than £200 per year (in a three-bedroom house). 

More ways to save on energy

As well as using energy-efficiency grants to help cut the amount of gas and electricity you use, you should also make sure you’re on the best-value energy tariff. 

If you’re on a standard default gas and electricity tariff with one of the Big Six energy companies, one which is close to the maximum permitted by the government's energy price cap, you could be paying over £300 more per year than you need to. That’s the difference between one of these tariffs and the cheapest deals on the market.

Find out more about the Big Six energy companies or use our independent service, Which? Switch, to compare energy prices to find the best deal for you.

Earn cash for generating renewable energy

Installing energy-generating technologies, such as solar panels, is something you should only consider after you've made your home as energy efficient as possible. 

The upfront costs of installing generation at home can be high. But the Renewable Heat Incentive (RHI) help offset the initial expense of installing renewable energy technologies. In future the Smart Energy Guarantee will pay for electricity you generate at home.

These schemes support renewable technologies including solar panels, wind turbines and ground-source heat pumps.