The ECO4 scheme is a UK-wide government programme that funds energy-saving home improvements for low-income households.
The Energy Company Obligation (ECO4) is a legal requirement placed on larger energy suppliers to help households reduce their energy bills and carbon emissions. It is not a cash grant that is paid to you. Instead, suppliers arrange and pay for qualifying improvements such as insulation, boiler upgrades, or heat pump installations directly with approved installers. The scheme runs from 2022 to March 2026, and all applications and installations must be completed before the end date (GOV.UK, 2026). ECO4 is available in Wales, England, and Scotland, with the same core eligibility rules applying across all three nations.
ECO4 is a UK-wide government scheme funding home energy improvements for low-income households in Wales. It covers insulation, boiler upgrades, and heat pumps with grants up to £10,000, but you must qualify via benefits or local authority referral and complete work before March 2026.
- ECO4 funds insulation, boiler upgrades, and heat pumps for low-income homes.
- Eligibility requires a means-tested benefit or local authority referral.
- Your home must have an EPC rating of D, E, F, or G to qualify.
- Heat pump grants can cover up to £10,000 per installation.
- All ECO4 installations must be completed by March 2026.
- The ECO4 scheme is a UK-wide government programme that funds energy-saving home improvements for low-income households.
- Who qualifies for ECO4 depends on your household income and the energy efficiency of your home.
- Quick numbers key figures for ECO4 eligibility and funding in 2026
- You do not qualify for ECO4 if your home is already efficient, you are in social housing, or you receive no qualifying benefits and no local authority referral.
- The simplest way to confirm your eligibility is to check your benefits and EPC rating online.
- The ECO4 scheme in Wales is the same as in England, but local delivery and installer registration may differ.
- You must use an MCS-certified installer for any ECO4-funded heat pump or renewable heating system.
Who qualifies for ECO4 depends on your household income and the energy efficiency of your home.
The primary route to eligibility is if you receive one of several means-tested benefits. These include Pension Credit, Universal Credit, Income Support, Income-based Jobseeker’s Allowance, Income-related Employment and Support Allowance, Working Tax Credit, or Child Tax Credit (with a low household income) (GOV.UK, 2026). If you do not receive a qualifying benefit, you may still qualify under the “flexible eligibility” route. This applies if your local authority refers you based on low income, fuel poverty, or a health condition made worse by a cold home. The property must also have a low Energy Performance Certificate (EPC) rating, typically D, E, F, or G, to be eligible for funded measures. The scheme is for owner-occupiers and private tenants (with landlord permission). Social housing tenants are generally not eligible.
Quick numbers key figures for ECO4 eligibility and funding in 2026
| Item | Figure | Source |
|---|---|---|
| Maximum grant value per measure (heat pump) | £10,000 | Ofgem ECO4 scorecard, 2026 |
| Minimum EPC rating to qualify | D or below (E, F, G) | Energy Saving Trust, 2026 |
| Number of qualifying benefits listed | 7 | GOV.UK, 2026 |
| Typical annual bill saving from full package | £300–£600 | DESNZ impact assessment, 2026 |
| Scheme end date | 31 March 2026 | GOV.UK, 2026 |
You do not qualify for ECO4 if your home is already efficient, you are in social housing, or you receive no qualifying benefits and no local authority referral.
Homes with an EPC rating of C or above are not eligible for ECO4 funding, as the scheme targets the least efficient properties. Social housing tenants are excluded because their landlords are responsible for upgrades under separate schemes. Households that do not receive a listed benefit and are not referred by their local authority under flexible eligibility cannot apply directly. If you have already received ECO3 or other government-funded improvements in the same home, you may be ineligible for duplicate measures (Ofgem ECO4 guidance, 2026).
The simplest way to confirm your eligibility is to check your benefits and EPC rating online.
Check if you receive any of the qualifying benefits by reviewing your most recent award letter from DWP or HMRC. Find your EPC rating by searching the Welsh Government’s online EPC register (or the national register for England and Wales) (GOV.UK, 2026). If you think you may qualify under flexible eligibility, contact your local Welsh council’s energy or housing department to ask about a referral. You can also use the official “ECO4 eligibility checker” on the GOV.UK website, which asks simple questions about your income and home.
How to check your EPC rating and find grants for home improvements
The ECO4 scheme in Wales is the same as in England, but local delivery and installer registration may differ.
The rules, funding amounts, and eligible measures are identical across England, Scotland, and Wales, as set by UK government legislation. Installers carrying out work in Wales must still be MCS-certified for heat pumps and TrustMark-registered, but some local Welsh suppliers may have different accreditations. The Welsh Government runs its own “Nest” scheme for fuel-poor households, which can complement ECO4 but is a separate programme (Welsh Government, 2026). If you live in Wales, your energy supplier must still meet its ECO4 obligations, and you can apply through any supplier that serves your area.
You must use an MCS-certified installer for any ECO4-funded heat pump or renewable heating system.
For heat pumps, solar thermal, and biomass boilers, the installer must be certified under the Microgeneration Certification Scheme (MCS). For insulation and boiler upgrades, the installer must be registered with TrustMark, the government-endorsed quality scheme. You can check an installer’s MCS certification on the MCS register website or their TrustMark registration on the TrustMark website (MCS, 2026). Using an uncertified installer can void the grant and leave you liable for the full cost of the work.
What to check before hiring an installer for government-funded home improvements
Frequently Asked Questions
You qualify if you receive a means-tested benefit like Pension Credit or Universal Credit, or if your local authority refers you under flexible eligibility for low income or health reasons. Your home must also have an EPC rating of D or below, as per GOV.UK guidelines.
ECO4 covers energy-saving improvements including loft insulation, cavity wall insulation, boiler upgrades, and heat pump installations. The scheme pays for these directly through approved installers, not as a cash grant, according to Ofgem.
The ECO4 scheme runs until March 2026, as confirmed by GOV.UK. All applications and installations must be completed before this end date to receive funding.
Yes, private tenants can qualify for ECO4 if they meet the income and EPC criteria and have their landlord's permission. Social housing tenants are generally not eligible, according to the Energy Saving Trust.
Yes, ECO4 is available in Wales as part of the UK-wide Energy Company Obligation programme. The same core eligibility rules apply across England, Scotland, and Wales, as stated by GOV.UK.
