Make Your Home More Efficient With These Green Energy Grants 

Ready to supercharge your home’s efficiency without draining your wallet? It’s time to go green and save some money! Imagine slashing your energy bills while giving Mother Nature a high-five. 

Sounds too good to be true? Think again! 

Green energy grants are here to turn your eco-dreams into reality. We’re about to unveil a treasure trove of financial boosters that’ll transform your home into a lean, mean, green machine. 

From solar panels to smart thermostats, these grants are your golden ticket to a more efficient, earth-friendly abode. Get ready to revolutionise your living space and join the green revolution – your wallet (and the planet) will thank you!

This guide will help you discover which options are available for your home, whether you’re eligible for them, and how to apply. 

ECO4 Grants

The ECO4 Grant is available for households with fuel-poor status or people receiving benefits. It’s in place to help people install energy-efficient solutions and reduce their annual costs. 

If a local authority or energy supplier refers households that don’t immediately qualify for the ECO4 Grant, they could be eligible for the ECO4 Flex scheme. The grant is open to applications until March 2026 and offers households  £7,000 to £20,000. 

You can spend the money on anything that will save energy and reduce carbon emissions, including: 

• Insulation for the floor, ceiling and walls to reduce the risks of heat escaping. 
• Transitioning from boilers to more efficient solutions, such as biomass boilers and heat pumps.
• Installing solar panels.
• Repairing older boilers to make them more energy efficient. 

Eligibility criteria 

Low-income households, including those receiving Universal Credit, Jobseekers Allowance, Housing Benefit, and Pension Credits, are usually eligible for the ECO4 scheme. If you’re classed as a fuel-poor household, you’ll probably receive the grant. 

Home Upgrade Grants 

Low-income homes or those without central heating can apply for the Home Upgrade Grant. The main difference between the HUG and ECO4 grants is availability. Local authorities control and award Home Upgrade Grants, and availability depends on where you live. 

Renters who live in eligible properties might be eligible for the HUG, but only if their landlord agrees to pay for a third of the total costs. 

You can use the grant for: 

• Installing solar panels
• Insulating the property
• Fitting an air-source heat pump 

Eligibility criteria 

Aside from the main eligibility criteria, your property’s EPC rating matters. Rental properties with EPC ratings of D to E are eligible, while private homes with D to G ratings can apply for the grant. If your area doesn’t offer them, you’ll need to explore alternatives. 

Boiler Upgrade Scheme 

The Boiler Upgrade Scheme is the most popular solution for households exploring heat pump installation. It offers up to £7,500 towards the costs. As long as you’re replacing a fossil fuel system, you can save money on a heat pump and generate cleaner energy. 

While most households can access funding, social homes and new builds will need to explore other options. 

Eligibility criteria: 

• Only property owners, including primary homes, commercial buildings and rental homes, can apply.  
• The grant money must replace a fossil fuel heating system. 
• You’ll need to present an EPC certificate. 

Solar panel grants 

Despite some initial speculation, solar panels have proved valuable tools for homes and businesses. Their ability to convert sunlight into power results in less reliance on the grid and lower energy bills. 

As reported by the FMB, UK households are able to save over £1000 yearly, and using the various initiatives available could mean you enjoy immediate and long-term cost reductions. 

The average cost of solar panels is £9,000, but larger homes or businesses might spend more. Accessing the following grants can make solar panel installation more affordable. 

0% VAT 

The 0% VAT initiative eliminates VAT to help homes save money on batteries and solar panels. You can access the initiative if you use the other grants, significantly reducing your long-term expenses. 

Not paying tax on the panels and batteries also decreased your break-even point. With 0% VAT lasting up to 2027, taking advantage of solar panels today means you can enjoy impressive savings. 

In 2027, tax-free purchases will finish, and households will pay 5% VAT on solar panels and batteries. 

Smart Export Guarantee 

The Smart Export Guarantee is one of the most lucrative solar panel installation incentives. It started in 2020 and offers households the opportunity to send their excess energy to the grid in return for payments. 

Energy companies with 150,000 customers or more must participate in the scheme, and homeowners can receive around 5.5p for every kWh they send to the grid. 

While this might not seem like much initially, the long-term cost benefits mean you could break even from the initial investment much quicker. 

Scottish Energy, British Gas, OVO and EON customers can take advantage of the SEG. 

Which grant suits my needs?

Choosing a grant can be challenging—especially if you’re eligible for a range of options. Instead of scratching your head and comparing options, take a look at our comparison table.

Grant/Initiative	Objective	Eligibility
ECO4	Insulating properties, providing funding for sustainable heating solutions and decreasing energy bills.	Fuel-poor and limited income households.
Home Upgrade Grants	Using low carbon solutions to promote energy efficiency.	Low-income homes and buildings without a gas supply.
0% VAT	Offering 0% VAT on batteries and solar panels.	Any home with solar panels can access it until 2027.
Smart Export Guarantee	Providing financial initiatives for households that export excess energy to the grid.	Households must have a low-scale carbon system.
Boiler Upgrade Scheme	Provides a grant of up to £7,500 for installing a biomass boiler or heat pump.	Homes should have an existing fossil fuel system.

Make your future greener today 

Installing energy-efficient heating and electricity systems benefits both your wallet and the environment. Whether you’re interested in heat pumps or solar panels, it’s important to understand which grants you’re eligible for and consider how each suits your needs. 

Geowarmth offers a range of solutions for households in Scotland and Northern England, including solar panels and heat pumps. Our expertise in eco-friendly energy solutions means you can access a team of specialist installers and the latest technological advances. 

Please get a quote today or contact us if you have any questions.