The Energy Company Obligation (ECO4) is a government-led scheme to reduce energy consumption in the UK and assist those in fuel poverty.
This guide will examine the ECO4 scheme, from eligibility to application, we will explain the schemes most popular measures, the savings it generates, and the critical deadlines.
What is the aim of ECO4 funding?
Grants are offered to those who meet certain criteria to make homes more energy efficient and, as a result, reduce energy expenditures. The policy requires energy companies to provide energy-saving payments, and if they fail to fulfil their carbon-reduction targets, the government will fine them heavily.
The ECO4 scheme has two key goals:
- To minimise carbon emissions
- To combat fuel poverty
The fourth phase of this award program began in July 2022 and will end in March 2026. Energy companies must spend £4 billion to avoid fines.
Who can receive ECO4 funding? – Further useful information
The eligibility requirements for the ECO4 grant are straight forward, emphasising low-income and vulnerable households that stand to gain the most from energy-efficient upgrades.
In recognition of the widespread impact of fuel poverty, the ECO4 scheme has expanded its eligibility to include more middle-income households beginning in 2023. Additionally, it is now available to inhabitants of all housing types, from privately rented homes to public housing.
Read more on who can apply for ECO funding on our website.
ECO4 eligibility
If you receive any of the below means-tested benefits, you could be eligible for ECO4 funding.
- Income based job seekers allowance
- Income related employment and support allowance
- Income support
- Pension credit guarantee credit
- Working tax credit
- Child tax credit
- Universal credit
- Housing benefit
- Pension credit savings credit
- Child benefit (with dependencies)
What home upgrades are available?
- Boiler upgrades
- New heating technologies, including heat pumps and storage heaters
- Internal wall insulation
- Cavity wall insulation
- External wall insulation (with a contribution)
- Solar panels
Cost savings
The prospective ECO4 funding savings are substantial. Through energy efficiency measures installed under the ECO4 scheme, a household can save, on average, up to £300 per year on energy expenditures.
The ECO4 scheme accepts applications on an ongoing basis, with no strict deadline. However, because the funding is limited, it is distributed on a first-come, first-served basis. The ECO4 scheme runs until 2026, but you should apply as soon as feasible to increase your chances of receiving a grant.
Procedure for applying for ECO4 funding
Follow these procedures to apply for ECO4 funding:
- Gather any required documentation, such as confirmation of income, benefits received.
- Contact Consumer Rights for assistance in determining your eligibility and navigating the application process and we will go through it over the phone.
- Or you can do this via our online application form.
- Complete the application form and submit it with the necessary documentation.
- Consumer Rights will then contact you and arrange an installer for your case.
- If approved, the installers will schedule a date to assess the property and then carry out the improvements and make your home more energy efficient.
Consumer Rights is here to assist you in gaining access to the ECO4 funding, allowing you to install energy-saving measures in your residence. Determine your eligibility and submit an application immediately to gain access to these valuable resources.
Check your EPC Rating
Final Thoughts
In conclusion, the ECO4 scheme offers eligible households a one-of-a-kind opportunity to increase their energy efficiency, reduce their energy expenses, and contribute to a more sustainable environment. The ECO4 scheme is more than a grant; it is a pathway to energy resilience.
The application process can appear daunting, but Consumer Rights are committed to assisting applicants in understanding their eligibility and the energy-saving measures that may be appropriate for their residences.
Get in touch today to determine your eligibility.
People also asked...
Is there still ECO financing available?
Yes. ECO4 went into effect in July 2022. ECO4 applies to measures put in place on April 1, 2022, and will last for four years until March 31, 2026. If you fit into the eligibility criteria, you could get a government grant to improve your homes energy efficiency.
How does ECO funding operate?
Under ECO, these companies are required to provide a variety of subsidised renovations, known as measures, to homes to increase their energy efficiency. These methods are based on keeping a home warm and insulated, and they are intended to assist individuals in getting out of fuel poverty.
What's the difference between ECO4 and The Great British Insulation Scheme?
Unlike the Great British Insulation Scheme initiative, ECO4 aims to improve the energy efficiency of homes occupied by low-income and vulnerable households. The Great British Insulation Scheme initiative is intended for families with an EPC rating of D or lower or in a low council tax band.
Is PIP eligible for ECO4?
Disability Living Allowance (DLA) is a non-means-tested benefit that was previously accessible under ECO3 but is no longer available under ECO4.
What's the difference between ECO3 and ECO4?
ECO4 focuses on benefit recipients and low-income households, ensuring all homes can access less expensive energy. However, one significant difference between the ECO4 and ECO3 schemes is that some benefits previously available through the ECO3 scheme are no longer available under ECO4.
ECO4 Support Available:
- Department for Business, Energy & Industrial Strategy – Energy Company Obligation
- Ofgem – Energy Company Obligation (ECO4) Guidance: Delivery V1.1
- Ofgem – Energy Company Obligation (ECO)
- UK Government – Help from your energy supplier: the Energy Company Obligation
- Which? – Energy Company Obligation (ECO)
Other Support Available:
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