Abstract map of Britain made of hundreds of glowing dots representing homes being upgraded under the £15 billion Warm Homes Plan

Warm Homes Plan 2026: The Complete Guide to the UK's £15 Billion Energy Upgrade Programme

Q: How do I apply for the Warm Homes Plan?

You don't apply for the Warm Homes Plan directly. It's an umbrella programme. Instead, apply to individual schemes such as the Warm Homes: Local Grant, ECO4, or the Boiler Upgrade Scheme.

Q: Will there be more funding after 2028?

The government has stated that further funding will be considered as part of Phase 2 of the Spending Review. Specific commitments beyond the current funding period have not yet been announced.

The Warm Homes Plan is the UK government's £15 billion flagship programme to improve home energy efficiency. Published January 2026, it includes the Warm Homes Local Grant (up to £15,000 for low-income households), the Boiler Upgrade Scheme (£7,500 for heat pumps), ECO4 (extended to December 2026), and planned government-backed loans for solar panels.

The Warm Homes Plan is the UK government's flagship programme to improve the energy efficiency of Britain's housing stock. With just under £15 billion in capital investment, it is described by the government as "the biggest energy efficiency programme in British history."

Published on 21 January 2026, the Warm Homes Plan sets out how the government intends to help households save money on energy bills and transform ageing buildings into comfortable, low-carbon homes.

This guide breaks down the entire programme: what it includes, which schemes fall under it, who's eligible, and how to access the funding.

Key Facts

Just under £15 billion in total capital investment
Published: 21 January 2026, as a 152-page policy paper by DESNZ
£500 million allocated to the Warm Homes: Local Grant (2025–2028)
£1.5 billion extra in grant funding announced at the November 2025 Budget
No successor to ECO4 — the government is shifting from supplier obligations to direct grant funding
Multiple schemes: Includes the Warm Homes: Local Grant, ECO4, Boiler Upgrade Scheme, and more

What Is the Warm Homes Plan?

The Warm Homes Plan is an overarching government strategy — not a single scheme you apply for directly. It brings together multiple programmes and funding streams aimed at:

Cutting household energy bills through improved insulation and efficient heating
Reducing carbon emissions from the UK's building stock
Tackling fuel poverty by targeting support at low-income households
Upgrading Britain's housing stock to make homes fit for a net-zero future

Source: Warm Homes Plan (gov.uk)

How Much Funding Is Available?

The government has committed just under £15 billion in capital investment to the Warm Homes Plan. This includes:

£500 million for the Warm Homes: Local Grant (2025–2028)
£1.5 billion in additional grant funding (announced at the November 2025 Budget)
Existing funding for the Boiler Upgrade Scheme and other programmes
Further funding to be considered at Phase 2 of the Spending Review

The £1.5 billion addition is particularly significant. When the government confirmed there would be no successor supplier obligation to ECO4, it committed this sum directly to the Warm Homes Plan.

Which Schemes Fall Under the Warm Homes Plan?

1. Warm Homes: Local Grant

The centrepiece of the Warm Homes Plan for low-income households in England.

Budget: £500 million (2025–2028)
Delivered by: Local councils in England
Eligibility: Household income ≤£36,000, or eligible postcode, or qualifying benefits. Property must be privately owned with EPC D–G.
Measures: Insulation, air source heat pumps, solar panels, smart controls
Cost: Free to eligible owner-occupiers
How to apply: gov.uk/apply-warm-homes-local-grant

Full guide to the Warm Homes: Local Grant →

2. ECO4 (Extended to December 2026)

The final iteration of the Energy Company Obligation, running since July 2022.

Delivered by: Obligated energy suppliers
Available in: Great Britain (England, Scotland, Wales)
Eligibility: Low-income and fuel-poor households, typically on qualifying benefits
Measures: Insulation, heating upgrades, and other energy efficiency measures
Cost: Free
Ends: 31 December 2026 (extended from March 2026)
Key fact: No successor supplier obligation after ECO4

Full guide to the ECO4 extension →

3. Boiler Upgrade Scheme (BUS)

Grants towards replacing fossil fuel heating with low-carbon alternatives.

Available in: England and Wales
Grants: Up to £7,500 for air source or ground source heat pumps; up to £5,000 for biomass boilers
No income test — Open to all eligible property owners
Requirement: Must be replacing a fossil fuel system; property needs a valid EPC
How to apply: Through an MCS-certified installer

Learn more about the Boiler Upgrade Scheme →

4. Great British Insulation Scheme (GBIS) — Now Ending

GBIS was designed to deliver single insulation measures quickly. It ends on 31 March 2026 and is not being replaced with a like-for-like successor.

What happened to GBIS →

5. Social Housing Decarbonisation Fund

Funding for social housing providers to improve the energy efficiency of social homes. Not available to individual homeowners directly.

6. Public Sector Decarbonisation Scheme

Funding for public buildings (schools, hospitals, council buildings) to reduce energy use. Not directly available to homeowners.

What Does the Warm Homes Plan Mean for Homeowners?

If You Own Your Home

Your situation	Best scheme to explore
Low income (under £36,000) in England	Warm Homes: Local Grant
On qualifying benefits anywhere in GB	ECO4
Want a heat pump (any income) in England/Wales	Boiler Upgrade Scheme
Not sure which applies	Use our eligibility checker

If You're a Private Tenant

You can apply for the Warm Homes: Local Grant and may benefit from ECO4. Your landlord will need to agree to improvements and may need to contribute towards certain costs.

If You're in Social Housing

Contact your housing association or council directly. The Social Housing Decarbonisation Fund supports upgrades to social homes, but your housing provider manages the process. Many councils have dedicated energy teams — see our city guides for local contacts in areas like Hull, Manchester, and Nottingham.

If You're in Scotland or Wales

The Warm Homes: Local Grant is England only. However:

ECO4 covers Great Britain (including Scotland and Wales) until December 2026
The Boiler Upgrade Scheme covers England and Wales
Scotland has its own programmes through Home Energy Scotland
Wales has the Nest Warm Homes Programme — free boiler, insulation, heat pumps, and solar panels for eligible Welsh households

The Shift from Supplier Obligations to Government Grants

One of the most significant aspects of the Warm Homes Plan is the move away from supplier-funded energy efficiency programmes.

Since 2013, the ECO scheme has required energy suppliers to fund home insulation and heating upgrades. This cost was passed on to consumers through energy bills.

With the decision not to introduce a successor obligation after ECO4 (which ends December 2026), the government has chosen a different path: direct government funding through programmes like the Warm Homes: Local Grant.

What this means in practice:

For consumers: Energy bills should not include costs for a supplier obligation after ECO4 ends
For low-income households: Support continues through government-funded programmes
For the supply chain: The transition may affect how quickly installations are delivered

Timeline of the Warm Homes Plan

Date	Milestone
September 2024	Warm Homes: Local Grant announced
November 2024	£500 million budget allocation confirmed
2025	Local authorities begin delivering the Warm Homes: Local Grant
August 2025	DESNZ consults on extending ECO4
November 2025	Budget confirms no ECO successor; £1.5bn extra for Warm Homes Plan
21 January 2026	Warm Homes Plan published
31 March 2026	GBIS ends
31 December 2026	ECO4 ends
2025–2028	Warm Homes: Local Grant delivery period
TBC	Phase 2 Spending Review — further funding decisions

How to Access Funding

There is no single application for "the Warm Homes Plan." Instead, you apply to individual schemes:

Check your eligibility — Our tool assesses which schemes you may qualify for
Warm Homes: Local Grant — Apply online or call 0800 098 7950
ECO4 — Contact your energy supplier
Boiler Upgrade Scheme — Find an MCS-certified installer
Compare all schemes — See what's available side by side

Frequently Asked Questions

What is the Warm Homes Plan?

The Warm Homes Plan is the UK government's overarching strategy for improving home energy efficiency. Published on 21 January 2026, it brings together multiple schemes with just under £15 billion in capital investment — the largest energy efficiency programme in British history.

How much funding is in the Warm Homes Plan?

Just under £15 billion in total capital investment. This includes £500 million for the Warm Homes: Local Grant, £1.5 billion in additional grant funding announced at the November 2025 Budget, plus existing funding for the Boiler Upgrade Scheme and other programmes.

How do I apply for the Warm Homes Plan?

You don't apply for the Warm Homes Plan directly — it's an umbrella programme. Instead, apply to individual schemes such as the Warm Homes: Local Grant, ECO4, or the Boiler Upgrade Scheme. Use our eligibility checker to see which you qualify for.

Which schemes are part of the Warm Homes Plan?

The main schemes for homeowners are the Warm Homes: Local Grant (England, low-income households), ECO4 (Great Britain, ending December 2026), and the Boiler Upgrade Scheme (England and Wales, heat pump grants). It also includes the Social Housing Decarbonisation Fund and Public Sector Decarbonisation Scheme.

Is the Warm Homes Plan only for England?

The Warm Homes Plan is a UK government strategy, but individual schemes have different geographic coverage. The Warm Homes: Local Grant is England only. ECO4 covers Great Britain. The Boiler Upgrade Scheme covers England and Wales.

Will there be more funding after 2028?

The government has stated that further funding towards decarbonisation and tackling fuel poverty will be considered as part of Phase 2 of the Spending Review. Specific commitments beyond the current funding period have not yet been announced.

What happened to the supplier obligation (ECO)?

ECO4 is the final supplier obligation scheme. It ends on 31 December 2026 with no successor. The government has instead committed additional direct grant funding to the Warm Homes Plan.

Can I get help from more than one scheme?

Potentially, yes. Different schemes cover different measures. For example, you might receive insulation through the Warm Homes: Local Grant and separately apply for a heat pump grant through the Boiler Upgrade Scheme. However, you generally cannot receive duplicate funding for the same measure.

The Bottom Line

The Warm Homes Plan is the UK's largest-ever investment in home energy efficiency, with just under £15 billion in capital funding. It's not a single scheme but an umbrella programme — the main routes for homeowners are the Warm Homes: Local Grant (free upgrades for low-income households in England), ECO4 (ending December 2026), and the Boiler Upgrade Scheme (heat pump grants). Start with our eligibility checker to find out which schemes you qualify for.

Warm Homes Plan Grants in Your Area

Local councils deliver Warm Homes Plan funding differently. See what's available:

Grants in Hull — £3.4M WHLG funding secured
Grants in Nottingham
Grants in Manchester
Grants in Newcastle
Energy grants by city — all areas