ECO4 scheme free insulation and heating (2026)

Every year, millions of UK households live in cold, poorly insulated homes that cost far more to heat than they should, not because of personal choice, but because the upfront cost of energy efficiency improvements is simply out of reach. The ECO4 scheme exists specifically to change that. It is one of the most substantial government-backed programmes in Britain, requiring large energy suppliers to fund free insulation and heating upgrades for low-income and vulnerable households across England, Scotland, and Wales.

The ECO4 scheme (Energy Company Obligation 4) is a government-mandated programme requiring large energy suppliers to fund free energy efficiency improvements, including insulation, heating system upgrades, and heat pump installations, in eligible low-income and vulnerable households. Homeowners and private renters receiving qualifying benefits such as Universal Credit, Pension Credit, or income-related Employment and Support Allowance may be entitled to receive these improvements completely free of charge, provided their home has an Energy Performance Certificate (EPC) rating of D, E, F, or G.

This guide walks you through everything you need to know about ECO4 in 2026, who qualifies, what is covered, how to apply, and how to protect yourself from the growing number of fraudulent installers targeting vulnerable households.

Understanding the ECO4 Scheme and What It Covers

The ECO4 scheme is a government obligation placed on large energy suppliers, requiring them to fund energy efficiency improvements in the homes of low-income and fuel-poor households, and it is one of the most significant free home improvement programmes ever delivered in the UK.

ECO4 stands for Energy Company Obligation, fourth iteration. It is a regulatory framework administered by Ofgem, the UK’s independent energy regulator, which sets binding targets for energy suppliers based on their customer numbers. Suppliers do not pay the government; instead, they are legally obliged to spend money on approved improvements in eligible homes. The cost of meeting these obligations is generally recovered across the wider customer base through energy bills, which is why ECO4 is effectively free at the point of delivery for qualifying households.

ECO4 originally ran from April 2022 through to March 2026 and represented a significant upgrade over its predecessors (ECO1, ECO2, and ECO3, sometimes called HHCRS). If you applied under a previous iteration and were refused, it is worth understanding that ECO4 introduced a fundamentally different approach. Earlier schemes often focused on single measures and had narrower eligibility criteria. ECO4 brought in a whole-house approach, meaning installers are now required to assess your home holistically and, where funding allows, deliver a package of measures rather than one isolated fix. As of 2026, the government has consulted on successor arrangements and transitional provisions, so if you have not yet applied, it is worth contacting your supplier promptly to confirm what is currently available and whether any extension applies to your situation.

The scheme sits within the UK government’s broader fuel poverty strategy and net zero commitments, and is closely linked to the Department for Energy Security and Net Zero (DESNZ) target of ensuring as many homes as possible reach EPC band C or above. ECO4 is the primary mechanism for reaching the households least able to fund those improvements themselves.

Practical tip, If you were turned away by a previous ECO scheme or told your property was ineligible, check again under 2026 criteria. The rules have changed substantially, and many households who were previously excluded now qualify.

Who Qualifies for Free Insulation and Heating Under ECO4

Eligibility for ECO4 is based on a combination of benefit entitlement, household income, and property energy rating, and the criteria are broader than many homeowners realise.

The qualifying benefits route

The most straightforward route to ECO4 eligibility is receiving one of the following means-tested or qualifying benefits. You are likely eligible if your household receives any of the following:

• Universal Credit
• Pension Credit (either Guarantee Credit or Savings Credit)
• Income Support
• Income-based Jobseeker’s Allowance (JSA)
• Income-related Employment and Support Allowance (ESA)
• Child Tax Credit
• Working Tax Credit
• Housing Benefit
• The Warm Home Discount (Broader Group)

These criteria are cross-referenced against Ofgem’s published eligibility guidance. If you are unsure whether a specific benefit you receive qualifies, the government’s Simple Energy Advice (SEA) service at simpleenergyadvice.org.uk provides a straightforward eligibility checker.

The Local Authority Flexible Eligibility route

LA Flex (Local Authority Flexible Eligibility) is an important route for households who do not receive a qualifying benefit but still live in fuel poverty or financial hardship. Under LA Flex, households earning under £31,000 per year before tax may qualify, provided their local council certifies their eligibility. This route is particularly valuable for households where all adults are in low-paid work and do not claim benefits, a group that has historically been missed by energy efficiency schemes. Contact your local council’s housing or energy team to ask about LA Flex referrals.

Property eligibility

Your property must have a low energy performance rating to qualify. Specifically, the home must hold an EPC rating of band D, E, F, or G. This requirement exists because the scheme is built to deliver the greatest possible reduction in carbon emissions and energy bills, targeting the least efficient homes achieves the most impact per pound of supplier obligation spent. If you do not know your home’s EPC rating, you can check for free at the government’s EPC register at find-energy-certificate.service.gov.uk.

The property must be your primary residence, second homes and holiday lets are excluded. Owner-occupiers and private renters can both apply, though private renters should be aware that their landlord may need to provide consent for certain structural measures such as external wall insulation. Social housing tenants are largely excluded from ECO4 because social landlords are subject to separate energy efficiency obligations under different regulations.

Practical tip, Even if you think you might not qualify, use the Simple Energy Advice checker before assuming you are ineligible. Many households are surprised to find they meet the LA Flex criteria even without receiving benefits.

What Measures Are Available Completely Free of Charge

ECO4 covers a wide range of insulation and heating measures, and under the whole-house approach, many eligible households receive multiple upgrades rather than just one.

Insulation measures

Insulation is the backbone of ECO4. The following types are available depending on your property’s construction and current insulation levels:

• Loft insulation, Installing or topping up mineral wool insulation in your loft space to 270mm depth, the recommended standard for minimising heat loss through the roof. This is one of the quickest and most cost-effective measures available.
• Cavity wall insulation, Most homes built after around 1920 have a gap (or cavity) between the inner and outer layers of the external walls. Cavity wall insulation fills this gap with mineral wool or polystyrene beads, significantly reducing heat loss. It is typically completed in a single day.
• Solid wall insulation (internal), Older homes, particularly those built before 1920, have solid brick or stone walls with no cavity. Internal solid wall insulation involves fitting rigid insulation boards to the inside face of external walls. It is more disruptive than cavity wall insulation but can dramatically improve warmth and comfort.
• Solid wall insulation (external), An alternative to internal insulation for solid-walled homes, external solid wall insulation wraps the outside of the building in an insulating layer and a new render or cladding finish. It avoids the internal disruption but changes the building’s external appearance and requires planning considerations in some areas.
• Underfloor insulation, For homes with suspended timber ground floors, insulation can be fitted beneath the floorboards (usually from below via a crawl space) to reduce draughts and heat loss through the floor.
• Flat roof insulation, Available for properties with flat roof extensions or single-storey additions where heat is escaping through an uninsulated roof structure.

Heating system measures

ECO4 also covers heating upgrades, though these have changed significantly compared to earlier schemes:

• First-time central heating, For properties that have never had a central heating system (typically heated by storage heaters or open fires), ECO4 can fund a full first-time central heating installation.
• Storage heater replacements, Replacing old, inefficient storage heaters with modern, controllable units.
• Heat pump installations, Where the home is assessed as suitable following the whole-house assessment, ECO4 can fund an air source heat pump or ground source heat pump installation. A heat pump is a device that extracts heat from the outdoor air or ground and transfers it inside the home using electricity, working similarly to a refrigerator in reverse. Heat pumps are significantly more efficient than gas boilers and produce no direct carbon emissions.

The shift away from fossil fuel boilers

One important change under ECO4 compared to ECO3 is that like-for-like gas boiler replacements are now significantly restricted. The scheme no longer routinely funds swapping one gas boiler for another as a default measure. This reflects the government’s commitment to phasing out fossil fuel heating over time. If you need a boiler replacement and do not qualify for a low-carbon heating system under ECO4, the Boiler Upgrade Scheme, covered later in this article, may be relevant, particularly for owner-occupiers. guide to the Boiler Upgrade Scheme and heat pump funding

Practical tip, When an installer visits your home for an ECO4 assessment, ask them explicitly to explain the whole-house approach and what combination of measures they are recommending. You are entitled to a written report before any work begins.

How Much Could You Save on Your Energy Bills

The savings from ECO4 measures are real and meaningful, but it is important to understand the difference between theoretical modelled savings and the figures you might actually see on your energy bills.

Based on Energy Saving Trust data and DESNZ modelling, the savings below reflect typical annual bill reductions for a semi-detached property in Great Britain under 2026 Ofgem price cap conditions. These figures assume a home that was previously uninsulated or poorly insulated:

It is worth being honest about what these figures mean in practice. The savings quoted above are calculated using Standard Assessment Procedure (SAP) modelling, which assumes an average household using a standardised heating pattern. Your real-world savings will vary based on your thermostat settings, how well the home was being heated before the upgrade, the number of people in the property, and your energy tariff. Even so, for a household in a cold, damp, poorly insulated home, which describes many ECO4-eligible properties, the practical comfort improvement often exceeds what the numbers suggest.

There is also an important secondary benefit beyond energy bills. Improving your EPC rating through ECO4 measures can affect your access to green mortgage products (some lenders offer better rates for higher-rated properties), your home’s resale value, and, if you are a private renter in a property approaching the minimum EPC standard threshold, future compliance with private rented sector energy efficiency regulations. private rented sector EPC regulations and landlord obligations

Practical tip, Do not rely solely on the modelled savings figure an installer gives you. Ask them to explain what assumptions the calculation is based on, so you can judge whether it is realistic for your household’s actual heating habits.

How the ECO4 Application Process Works Step by Step

The ECO4 application process is straightforward, but knowing the steps in advance helps you avoid delays and ensures you receive the full entitlement you are due.

1. Check your eligibility, Start by using the government’s Simple Energy Advice (SEA) service at simpleenergyadvice.org.uk, which provides a free eligibility checker based on your benefit status, income, and property details. Alternatively, contact your energy supplier’s ECO team directly. You will need to know your current EPC rating, if you do not have one, the assessment process will include establishing this.
2. Contact your energy supplier, The six largest energy suppliers in the UK (British Gas, EDF, E.ON, Octopus Energy, OVO Energy, and Scottish Power) all hold ECO4 obligations and are legally required to participate. Importantly, you do not need to be a customer of the supplier you approach. You can contact any obligated supplier and apply for ECO4 funding regardless of who supplies your gas or electricity. This is a fact many eligible households do not realise.
3. Arrange a free home assessment, Once you have been identified as potentially eligible, an approved installer will visit your home to carry out a detailed survey. This involves assessing your current insulation levels, heating system, property construction type, and EPC rating. The survey is entirely free of charge and carries no obligation. Under the whole-house approach, the surveyor is required to identify the full package of measures that would benefit your home, not just the cheapest single fix.
4. Receive your improvement plan, Following the assessment, you should receive a written improvement plan setting out which measures are recommended, the expected improvement to your EPC rating, projected annual energy bill savings, and a timeline for the work. Read this carefully before agreeing to anything, and do not feel pressured to sign immediately. A reputable installer will give you time to consider.
5. Installation and sign-off, Approved measures are installed by TrustMark-registered businesses and, where heat pumps or other renewable technologies are involved, MCS-certified contractors. Both accreditation schemes are explained in detail in the next section. Once installation is complete, a new EPC must be lodged with the national EPC register, and you should receive a completion certificate and all relevant paperwork confirming what was installed, who carried it out, and their registration details.

Practical tip, Keep copies of all paperwork from your ECO4 installation, including the completion certificate, new EPC, and installer accreditation details. You may need these if you sell the property, apply for a green mortgage, or need warranty work in future.

How to Verify Your Installer Is Properly Accredited

One of the most important things you can do when engaging with any ECO4 installer is to verify their accreditation before any work begins, and this is more important now than at any previous point in the scheme’s history.

Under ECO4, all installations must be completed by TrustMark-registered businesses. TrustMark is the government-endorsed quality scheme for tradespeople working in and around the home, and it is the overarching accreditation requirement for all green home improvements funded through government schemes. An unaccredited installer cannot legally claim ECO4 funding, meaning any work they carry out will not count towards the scheme and will not be guaranteed in the same way.

To check a company’s TrustMark registration, visit trustmark.org.uk and search by the company name or postcode. Confirm that the trader holds a valid licence number and that their listed scope of work includes the ECO4 measures they are proposing to carry out. Do not accept a verbal assurance, check it yourself on the register.

For heating measures involving heat pumps or other renewable technologies, MCS certification is an additional requirement. MCS (Microgeneration Certification Scheme) is the industry standard for the design, supply, and installation of renewable energy products in the UK. Any contractor installing a heat pump under ECO4 must hold current MCS certification for that technology. You can verify this at mcscertified.com by searching the installer database. When you receive your written improvement plan, the contractor’s MCS certificate number should be listed. If it is not, ask for it.

For electrical work associated with any ECO4 measures, particularly those involving heat pump installations or heating controls, contractors should be registered with either NICEIC or NAPIT, both of which are government-approved competent person schemes for electrical installations. how to check installer accreditation for renewable energy work

Red flags that should prompt caution

Ofgem has specifically warned consumers about ECO4 fraud, which has increased as the scheme has grown. Be cautious if an installer does the following:

• Requests any upfront payment before work begins, genuine ECO4 work is free, and no legitimate installer should ask you to pay anything unless a financial contribution has been explicitly agreed in writing
• Pressures you to sign documents without giving you adequate time to read them
• Cannot provide their TrustMark or MCS certificate number when asked
• Cold-calls you claiming you are definitely eligible without having carried out any eligibility check
• Offers to split the value of the grant with you in cash

If you suspect fraudulent activity, report it to Citizens Advice (0808 223 1133) or the Ofgem consumer helpline. You can also raise concerns directly with the installer’s TrustMark registration body.

Practical tip, Before any installer sets foot in your home, search their company name on the TrustMark register and screenshot the result. It takes less than two minutes and gives you documented proof of their accreditation status.

Other Grants That Work Alongside ECO4 in 2026

ECO4 does not exist in isolation, there are several other grant schemes running in 2026 that can complement it, and understanding how they interact could unlock additional support for your home.

The Great British Insulation Scheme

The Great British Insulation Scheme (GBIS) is a separate but related government programme running concurrently with ECO4. Where ECO4 targets the most vulnerable households with a whole-house package of measures, GBIS is designed for a slightly broader group of households, those in EPC bands D and E, and funds a single primary insulation measure per home. Some households may qualify for both ECO4 and GBIS, though not for duplicate measures on the same part of the home. If your home qualifies for ECO4, you should pursue that route first, as it typically delivers more comprehensive improvements. GBIS may be worth exploring if you have already received one ECO4 measure and a separate part of your home remains uninsulated. Great British Insulation Scheme explained

The Boiler Upgrade Scheme

The Boiler Upgrade Scheme (BUS) is administered by Ofgem and is available to owner-occupiers who want to replace a fossil fuel boiler with a low-carbon heating system. As of 2026, BUS provides a £7,500 voucher towards the cost of an air source heat pump. This scheme is particularly relevant for households who do not meet ECO4 eligibility criteria but still want to transition away from gas heating, and for those whose homes are not suited to a heat pump under the ECO4 whole-house assessment. BUS requires your home to have adequate loft and cavity wall insulation in place before the voucher is issued, which is another reason to pursue ECO4 insulation measures first if you qualify. Boiler Upgrade Scheme full guide and how to apply

The Warm Home Discount

The Warm Home Discount is an annual £150 payment credited directly to your electricity bill if you receive Pension Credit or meet the income and energy cost criteria for the Broader Group. While it is not an insulation or heating upgrade programme, it is worth mentioning here because receiving the Warm Home Discount (Broader Group) is itself a qualifying benefit for ECO4, so if you receive it, you should check your ECO4 eligibility immediately.

Local authority schemes and referral programmes

Many local councils in England, Scotland, and Wales operate their own fuel poverty and energy efficiency programmes that sit alongside national schemes. These are often funded by local authority housing budgets, the Shared Prosperity Fund, or Nest (the Welsh Government scheme). Contact your local council’s housing or energy team to ask what is available in your area. In Scotland, the Scottish Government’s Warmer Homes Scotland programme provides additional support for owner-occupiers and private renters on qualifying benefits, running parallel to ECO4 obligations north of the border.

Practical tip, Do not assume you can only access one scheme. Run your eligibility across all the programmes listed above using the Simple Energy Advice service, and ask any installer who visits for an ECO4 assessment whether you might also qualify for GBIS measures on parts of the home not covered by ECO4 funding.

Understanding the Whole-House Approach and What to Expect During Installation

The whole-house approach introduced under ECO4 is one of the most important differences compared to earlier iterations of the scheme, and understanding it helps you get the most from your entitlement.

Under previous ECO schemes, it was common for an installer to fit a single measure, such as loft insulation, and consider the job done, even if the home had significant heat loss through its walls or floor as well. This approach often produced disappointing results for residents because fixing one pathway for heat loss while leaving others unaddressed limits the overall improvement. ECO4 changed this by requiring installers to adopt a whole-house approach, sometimes described using the concept of a fabric first methodology. This means addressing the building’s thermal envelope, its walls, roof, floor, windows, and doors, in a joined-up way before or alongside heating system changes.

In practical terms, this means your surveyor should be considering your whole home during the assessment, not just one room or one element. If your loft is already insulated but your cavity walls are empty and your heating system is inefficient, a competent ECO4 assessor should be recommending the combination of measures that delivers the best overall outcome. You are entitled to ask questions and to understand why specific measures have been included or excluded from the proposed package.

During the installation period itself, the level of disruption depends entirely on the measures being carried out. Loft insulation and cavity wall insulation are relatively non-disruptive, you may need to clear your loft space, and cavity wall work produces some noise from drilling, but neither requires you to move out or empty rooms. Internal solid wall insulation is considerably more disruptive, as it involves fitting insulation boards to the inner faces of external walls, re-skimming, and redecorating, meaning furniture and belongings need to be moved, and rooms will be unusable during the work. External solid wall insulation takes place largely outside the home, though scaffolding will be erected and some access to the external walls is needed.

A first-time central heating installation is one of the most significant ECO4 measures in terms of both impact and disruption. Running new pipework, fitting a boiler or heat pump, and installing radiators throughout a home that has never had central heating is a substantial job, typically taking two to five days. The long-term benefit, a warm, comfortable home with controllable heat in every room, is transformative for households that have previously relied on one or two electric heaters or an open fire, but you should plan for meaningful disruption during that period.

Practical tip, Before installation begins, ask the installer for a day-by-day work schedule and confirm arrangements for dust protection, furniture removal, and daily cleaning. A reputable TrustMark-registered contractor will have clear processes for managing disruption and should not leave your home in a worse state than they found it at the end of each working day.

Taking the time to understand ECO4 fully before you apply, who qualifies, what is available, how the process works, and how to protect yourself from fraud, puts you in the strongest possible position to receive the improvements your home needs. For households living in cold, inefficient homes on limited incomes, these upgrades represent a genuine and lasting improvement to health, comfort, and financial security. The scheme exists because the cost of not acting, in terms of energy waste, fuel poverty, and carbon emissions, is too high. If you think you might qualify, there is no good reason to wait. complete guide to fuel poverty support in the UK how to read your EPC and what the ratings mean