Insulation Grants in 2026: ECO4, the Warm Homes: Local Grant and What Replaced GBIS

Update (June 2026): ECO4 has been extended to 31 December 2026, when it ends. GBIS closed on 31 March 2026. The Warm Homes: Local Grant is now the primary funding route for insulation — see our guide.

With energy bills remaining high, insulation grants 2026 UK programmes continue to be a lifeline for eligible homeowners. However, the landscape has changed. The Great British Insulation Scheme (GBIS) closed in March 2026, but the ECO4 scheme runs until December 2026, and the government’s Warm Homes Plan is beginning to take shape as the successor programme. This guide explains exactly which grants are available now, who qualifies, what measures are funded, and how to apply.

GBIS vs ECO4: Which One Is Still Open?

Both schemes provided free or subsidised insulation, but they targeted different households. GBIS was broader, open to many homes rated EPC D to G without means-tested benefits, but it closed on 31 March 2026. ECO4 offers more comprehensive upgrades including heating replacements until 31 December 2026, but requires the household to receive qualifying benefits or be referred through the council’s ECO Flex pathway. In England, the Warm Homes: Local Grant, run by councils, covers homes rated EPC D to G where the household has a gross income under £36,000, gets a means-tested benefit or lives in an eligible postcode; Scotland has the Home Energy Scotland grant and loan, Wales has Nest (means-tested) and Northern Ireland has the Affordable Warmth scheme (household income under £23,000).

GBIS Has Closed: What Happened and What Replaces It

The Great British Insulation Scheme (GBIS), previously known as ECO+, launched in 2023 to provide insulation upgrades to homes in the least energy-efficient council tax bands (A to D in England, A to E in Scotland and Wales). It ended as planned on 31 March 2026, and referrals closed before then so suppliers could finish their jobs.

GBIS was notable for being available to a wider group of homeowners than ECO4. You did not need to be on benefits to qualify; the scheme was targeted at properties based on their EPC rating and council tax band rather than the occupant’s income. However, with the scheme now closed, homeowners who missed it must look to ECO4 or the emerging Warm Homes Plan for support.

The government has announced the Warm Homes Plan as the overarching strategy for improving home energy efficiency from 2026 onwards. This plan incorporates multiple strands, including grants for insulation, heat pump support through the Boiler Upgrade Scheme, and local authority-led programmes. Full details of the Warm Homes Plan are expected to be confirmed in 2026, with delivery beginning from late 2026 into 2027.

ECO4: Still Running Until December 2026

The Energy Company Obligation 4 (ECO4) is the main insulation grant scheme currently accepting applications. It requires large energy suppliers to fund energy efficiency improvements in eligible households. ECO4 launched in April 2022 and runs until 31 December 2026.

ECO4 is a whole-house approach: a home starting in EPC band F or G must reach at least band D, and one starting in D or E at least band C, through a package of measures rather than a single improvement.

Who qualifies for ECO4?

To qualify for ECO4 through the standard route, you must meet all three criteria:

• Your home must have an EPC rating of D, E, F, or G
• You must receive a qualifying benefit (see list below)
• You must be the homeowner or have landlord consent

The qualifying benefits for ECO4 include:

• Universal Credit
• Pension Credit (Guarantee Credit)
• Income-based Jobseeker’s Allowance
• Income-related Employment and Support Allowance
• Income Support
• Child Tax Credit (income below GBP 16,190; now replaced by Universal Credit)
• Working Tax Credit (income below GBP 16,190; now replaced by Universal Credit)
• Housing Benefit
• Warm Home Discount (Core Group)

ECO4 Local Authority Flex (LA Flex)

Even if you do not receive one of the qualifying benefits, you may still be eligible through the LA Flex pathway. Local authorities can refer households that they identify as living in fuel poverty or on a low income, even if they do not receive the specific benefits listed above.

LA Flex criteria vary by council but typically include:

• Household income below a certain threshold (often around GBP 31,000)
• Living in a property with EPC D or below
• Receiving council tax reduction
• Living in an area identified as having high levels of fuel poverty
• Having a health condition made worse by cold housing

Contact your local council’s energy efficiency team to find out whether you qualify under their LA Flex criteria.

What Insulation Measures Are Funded Under ECO4?

ECO4 funds a range of insulation measures as part of a whole-house upgrade plan. The specific measures offered depend on your property’s current EPC assessment and which improvements would deliver the biggest rating uplift.

In addition to insulation, ECO4 can fund heating system upgrades including boilers, heat pumps, and heating controls as part of the whole-house package. However, insulation must typically be installed first or alongside heating upgrades, reflecting the fabric-first approach.

How to Apply for ECO4 Insulation Grants

The application process for ECO4 works differently from most grant schemes because it is delivered by energy suppliers through their appointed installers, not directly by the government.

• Step 1: Check your eligibility using the criteria above or contact your local council’s energy team for LA Flex.
• Step 2: Find an ECO4-accredited installer. These are companies authorised by energy suppliers to carry out ECO4 work. You can search via the TrustMark register or contact your energy supplier directly.
• Step 3: The installer will arrange a home assessment, including an EPC if you do not already have one, to determine which measures qualify.
• Step 4: The installer submits the application to the energy supplier on your behalf. If approved, the work is scheduled.
• Step 5: Installation is carried out at no cost to you (in most cases). Some complex measures may involve a small co-payment depending on the energy supplier’s terms.

The entire process from initial enquiry to completed installation typically takes four to twelve weeks, though this varies by area and demand.

The Warm Homes Plan: What Is Coming Next?

The government’s Warm Homes Plan is intended to take over from ECO4 and from GBIS (which closed on 31 March 2026) as the main framework for home energy efficiency improvements from 2026 onwards. While full programme details are still being finalised, the key elements announced so far include:

• Warm Homes Local Grant: Delivered through local authorities, targeting fuel-poor households with insulation and heating upgrades funded at up to GBP 16,600 for energy efficiency and GBP 16,600 for low-carbon heating per home.
• Warm Homes Social Housing Fund: Continuing the Social Housing Decarbonisation Fund to upgrade social housing to EPC C.
• Boiler Upgrade Scheme (BUS) extension: Grants of GBP 7,500 for heat pumps continue alongside the insulation programmes.
• No new ECO: the government has confirmed there will be no successor supplier obligation when ECO4 ends on 31 December 2026, and it is putting the money into Warm Homes Plan grants instead.

Homeowners who do not qualify for ECO4 but have EPC D-rated properties should keep an eye on the Warm Homes Local Grant, which may have broader eligibility criteria than ECO4.

Other Insulation Funding Sources in 2026

Beyond ECO4 and the Warm Homes Plan, several other funding sources may help with insulation costs.

• Local authority grants: Many councils run their own energy efficiency grant programmes; in England many are now funded through the Warm Homes: Local Grant, which replaced the Home Upgrade Grant (HUG) when it ended in March 2025. Check your council’s website or phone their housing team.
• Wales: Nest scheme: Welsh Government’s Nest programme provides free energy efficiency improvements to eligible households in Wales.
• Scotland: Warmer Homes Scotland: Provides free insulation and heating improvements to homeowners and private tenants who receive qualifying benefits.
• Northern Ireland: Affordable Warmth Scheme: Provides grants for insulation and heating to low-income households.
• Energy supplier offers: Some energy suppliers offer discounted or free insulation outside of ECO4, particularly loft and cavity wall insulation, as part of their customer retention or corporate social responsibility programmes.

What If You Do Not Qualify for Any Grant?

If your income is above the ECO4 thresholds and your property does not qualify for other schemes, self-funding insulation improvements still delivers excellent returns. The payback periods for common insulation measures are among the shortest of any home improvement:

• Loft insulation: GBP 300 to GBP 600 with payback in 1 to 2 years
• Cavity wall insulation: GBP 500 to GBP 1,500 with payback in 2 to 4 years
• Draught-proofing: GBP 100 to GBP 300 with payback in under 1 year

Some local authorities and Green Finance providers offer interest-free or low-interest loans for energy efficiency improvements, which can spread the upfront cost while you benefit from reduced energy bills from day one.

For ECO4, check your eligibility with your energy supplier or council as set out above; for self-funded insulation, request a free quote: up to three approved installers who cover your area may contact you.

Frequently Asked Questions About Insulation Grants 2026

Is the Great British Insulation Scheme still running?

No. GBIS ended on 31 March 2026. The GOV.UK referral service closed before then so suppliers could finish their jobs, and no GBIS installations are still to come. ECO4 is the main remaining supplier scheme, running until 31 December 2026, and in England councils run the Warm Homes: Local Grant.

Can private landlords get ECO4 grants for rental properties?

Yes, provided the tenant qualifies based on their benefits or the property qualifies through LA Flex. The landlord must give consent for the work and cannot charge the tenant. Landlords should be aware that ECO4 measures are designed to benefit the occupant, so the tenant must be in receipt of qualifying benefits or be referred through LA Flex.

Do I need an EPC to apply for ECO4?

Yes, an EPC assessment is required to verify that your property is rated D, E, F, or G. If you do not have a current EPC, the ECO4 installer will typically arrange one as part of the application process at no cost to you. The EPC is valid for 10 years.

Can I get free loft insulation in 2026?

Yes, if you qualify for ECO4 through benefits or LA Flex, loft insulation can be installed at no cost. If you do not qualify, DIY loft insulation costs as little as GBP 200 to GBP 400 for materials, making it one of the most affordable and highest-return home improvements available.

What happens after ECO4 ends in December 2026?

There is no successor scheme. The government has confirmed there will be no new supplier obligation after ECO4 ends on 31 December 2026, and it is putting the money into Warm Homes Plan grants instead, such as the Warm Homes: Local Grant in England. If you are eligible for ECO4, apply before it ends: there is nothing to wait for.