The ECO4 Scheme is an energy-saving scheme that helps UK households by providing free energy-efficient heating systems, like boilers, air-source and ground source heat pumps. These measures are funded by major energy companies obligated by the UK government under the Energy Company Obligation scheme.
This scheme specifically helps underprivileged and low-energy efficiency households. Since its launch in July 2022, over 723,000 energy efficiency measures have been installed by 2025.
Households with an EPC rating below D are qualified for the ECO4 scheme by the UK government. Many families also benefit through free boiler grants, which makes upgrading to modern, efficient heating systems far more affordable.
This guide will provide detailed information on how the ECO4 scheme actually helps low-income UK households. So, stick to this article as we dig deeper into the details.
What is an ECO4 Scheme?
The ECO4 is an Energy Company Obligation scheme funded by the major energy companies in the UK. Imagine getting a complete home makeover , for free. That’s ECO4 in a nutshell.
ECO4 stands for Energy Company Obligation Phase 4. It’s a government program that’s been helping UK families since July 2022. The best part? You don’t pay a penny.
Here’s how it works: Energy companies fund these improvements based on how much of the market they control. So instead of taxpayers footing the bill, the energy giants pay up.
The program targets families who need help most. If you’re struggling with high energy bills, living on benefits, or your home feels like an icebox, ECO4 could be your answer.
Who Can Get ECO4?
Benefits Recipients
Do you receive any of these benefits?
- Universal Credit
- Child Tax Credits
- Jobseekers Allowance
- Pension Credit
- Child Benefits (depending on income)
If yes, you’re likely eligible.
Not on Benefits?
Don’t worry. Your local council can still help through Local Authority Flexible Eligibility (LA Flex). They can approve you if you’re facing financial hardship.
Your Home Matters Too
ECO4 especially helps homes with:
- Poor energy ratings (D, E, F, or G)
- Electric heating systems
- Electric storage heaters
Whether you own, rent privately, or are a landlord, you could qualify.
What Free Improvements Can You Get?
New Heating Systems
Over 60,000 families already have brand-new heating systems. More than 25,000 got renewable heating that’s better for the planet.
Picture this: 22,000 households went from having no central heating to staying cozy all winter. Life-changing.
Better Insulation
Cold rooms driving you crazy? ECO4 has fixed this for thousands:
- 85,600 loft insulation installations
- 61,000 solid wall insulation projects
- 24,000 cavity wall insulation upgrades
No home is too tricky. They’ve even helped park homes and unusual properties.
Solar Panels
Want to make your own electricity? Over 43,500 households now have solar panels. Imagine watching your bills shrink while helping the environment.
Smart Controls
Nearly 374,000 homes now have smart heating controls. These clever systems learn when you’re home and adjust temperatures automatically. No more heating empty houses.
How Much Can You Save?
The government says you could save hundreds of pounds every year on energy bills. For families already struggling, that’s huge.
But it’s not just about money:
- No more shivering in your living room
- Healthier air (less damp and mold)
- Smaller carbon footprint
- Increased home value
Recent Problems and Fixes
Let’s be honest , ECO4 hit some bumps in January 2025. Some external wall insulation wasn’t installed properly. This caused damp and mold in some homes.
But here’s what matters: The government acted fast. They:
- Suspended 38 problem companies
- Made checking procedures stricter
- Created plans to fix affected homes
- Launched a full investigation
These fixes mean future installations will be even better.
How to Apply
Ready to see if ECO4 can help you?
Step 1: Check Eligibility
- Are you on qualifying benefits?
- Could LA Flex help you qualify?
- Is your home’s energy rating D, E, F, or G?
Step 2: Find Approved Installers
Contact certified installers in your area. They’ll assess your home and suggest the best improvements.
Important: Only use official ECO4 installers. After recent quality issues, this matters more than ever.
Step 3: Get Your Assessment
The installer will visit your home and create a plan. They’ll handle the paperwork too.
What’s Next for ECO4?
ECO4 Scheme runs until March 2026. While ECO5 details aren’t confirmed yet, the government remains committed to helping families and fighting climate change.
Future programs will likely have:
- Even stricter quality controls
- More renewable technology options
- Continued support for struggling households
Should You Apply?
If you’re eligible, why wouldn’t you try? You get:
- Free home improvements
- Lower energy bills
- Better comfort
- Reduced environmental impact
Yes, there were some problems. But the government’s quick response shows they’re serious about getting it right. Over 700,000 households have already benefited.
With energy bills staying high and climate change demanding action, ECO4 offers a fantastic opportunity. Your warmer, more efficient home could be one application away.
Final Thoughts
Don’t wait. If ECO4 could transform your home with free improvements, isn’t it worth exploring?
The worst case? You find out you’re not eligible. The best case? You get a warmer home, lower bills, and peace of mind.
With better quality controls now in place, there’s never been a better time to apply. Your family deserves a warm, comfortable home, and ECO4 might be the key to getting it.
