Since it began in April 2022, the ECO4 scheme has assisted UK households in upgrading the energy efficiency of their homes through the installation of insulation and renewable energy measures, resulting in warmer homes and lower energy bills.
What is the ECO4 scheme?
ECO stands for Energy Company Obligation. It is an energy efficiency scheme for Great Britain that legally obliges energy suppliers to deliver energy efficiency measures to homes in the UK. In particular, low-income and fuel-poor households.
The primary obligation, the Home Heating Cost Reduction duty (HHCRO), requires energy suppliers to save a total of £224.3 million in yearly bills for UK homes.
ECO4 is Energy Company Obligation 4, the fourth round of government-led funding to be released. The scheme aims to lift low-energy-efficient houses out of fuel poverty while lowering carbon emissions to meet the UK’s target of Net Zero in 2050.
Under this scheme, eligible homeowners can access free funding for energy-saving measures in their homes. These ECO4 measures will help lower the property’s energy consumption and, in turn, decrease the household’s energy bills.
The ECO4 scheme predominantly focuses on home occupants with an Energy Performance Certificate (EPC) property rating of E, F, and G. ECO4 aims to bring houses in these bands up to at least an EPC rating of C through specific retrofit measures, with free funding available to eligible occupants.
ECO4 Eligibility: Who can apply for ECO4 funding?
The UK Government has earmarked £6 billion in ECO4 funding for homes and businesses. If your house has an EPC rating of E, F, or G and you receive benefits, you could qualify for free measures under the ECO4 scheme.
Ofgem sets the basic ECO4 scheme eligibility criteria: If you are a homeowner or renting a private home and you or someone living with you is receiving one of the following benefits, you can apply for ECO4 funding to see what free measures can be carried out in your home to increase its energy efficiency.
The eco 4 qualifying benefits include:
- Income-based Jobseekers Allowance (JSA)
- Income-related Employment & Support Allowance (ESA)
- Income Support (IS)
- Pension Credit Guarantee (PCGC)
- Working Tax Credit (WTC)
- Child Benefit (CB) (subject to income threshold eligibility)
- Child Tax Credits (CTC)
- Universal Credit (UC)
- Housing Benefit (HB)
- Pension Credit Savings Credit (PCSC)
Does child benefit qualify for ECO4 funding?
As mentioned above, if you receive Child Benefit, there are income thresholds that apply. We’ve listed these in the table below.
Does PIP qualify for ECO4?
The Personal Independence Payment (PIP) was eligible in the ECO3 scheme, which closed in 2022, but is not included in the current ECO4 scheme.
What is the DWP check?
Upon application, we will carry out a Department of Work and Pensions (DWP) check to receive a confirmation of your benefit status, allowing your application to move on to the next stage.
I don’t know the EPC rating for my property.
Don’t worry. Unless you’ve recently sold or rented a house, you may not even have an Energy Performance Certificate. SmartStone Energy can help when sending an assessor to your property.
What ECO4 measures might I expect to receive for my property?
Numerous retrofit measures are available under the ECO4 scheme, which takes into account a whole-house retrofit policy. Multiple measures, including insulation, renewables, and the upgrade of inefficient heating systems, could be applied for under the ECO4 scheme.
The ECO4 could cover the following measures.
- Solid wall insulation
- Cavity wall insulation
- Loft insulation
- Room in roof insulation
- First time central heating
- Inefficient gas boiler replacement (for non-condensing boilers)
- Air source heat pumps
- Solar PV
Remember, the main aim of the ECO4 funding is to improve your home’s energy efficiency. Specific retrofit measures like insulation can stop heat loss and reduce energy costs. As every property’s requirements vary, a retrofit assessor will be sent to your property for a free energy audit and assessment to see which measures you can benefit from the most.
This list is not comprehensive, and other ECO4 measures may be available for your property. All of the work carried out under ECO4 is completed by fully qualified and certified installers who will be PAS2030 and TrustMark certified. This means that the scheme’s installers will understand the importance of quality work and follow an approved process.
ECO4 scheme installers
Only a fully qualified PAS2030 and TrustMark-certified installer can carry out all ECO4 installation measures. This will ensure that the approved process is followed from the first retrofit assessment and energy efficiency measures installed to specifications set by the overarching certified body.
Am I eligible for the ECO4 scheme?
At SmartStone, we have assisted thousands of UK homeowners and tenants in reducing their energy bills by installing energy-efficient measures. With over 25 years of industry-specific experience, we’ve helped UK households receive thousands of pounds in funding, thanks to our in-depth understanding of funding and grants.
If you live in a poorly insulated house or could use some energy-efficiency measures to lower your energy bills, complete the form, and one of our team members will contact you to discuss your eligibility for the recent ECO4 measures available.
