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Funding energy-efficient home improvements

Looking to make your home more energy-efficient but unsure how to fund it?

 

Discover your funding options for home improvements

Begin your journey towards a more energy-efficient home by exploring the various funding options:

  • Loans, remortgaging or additional borrowing.
  • Government grants and schemes.
  • A home energy saving tool to identify energy-saving solutions for your home.

Additionally, we provide information on extra government assistance for energy costs, such as Winter Fuel Payments and the Warm Home Discount Scheme.

Borrowing options to suit every budget

Whether you're buying a new home or improving your current one, here are some borrowing options to fund your energy-saving improvements.

A personal loan

You might want to consider a personal loan to fund improvements to your home to make it more energy efficient. They offer a fixed interest rate and a choice of repayment terms.

Personal Loans

Remortgage to us

Consider switching your mortgage to see if you could save money. If you have equity in your property, you may qualify for additional borrowing for home improvements, depending on application and assessment.

Remortgage

Increase your mortgage

Another option might be to borrow more on your mortgage. If you’ve had a mortgage with us for six months or more, you could apply for additional borrowing. Conditions apply.

Increase your mortgage

A credit card

For smaller home improvements, you might want to consider a credit card with a low-interest rate or promotional offer.

Credit card

Taking out any lending is a commitment, so it’s important to make sure it’s right for you.

It’s also important to work out the full cost of each option by looking at any interest and fees that will be charged.

All lending is subject to application and an assessment of your circumstances.

Funding through government grants and schemes

Find information on government and energy supplier schemes that could help fund your energy-saving upgrades.

  • Launched in 2013, the Energy Company Obligation scheme helps low-income and vulnerable households improve energy efficiency in their homes.

    If your energy company has signed up for the ECO scheme, you could get free wall and loft insulation. Plus, money off a replacement gas boiler. With this work done, you could benefit from lower energy bills.

    Who can apply?

    You may qualify for the ECO scheme so long as:

    • you own or privately rent your home and it has an EPC rating of D to G
    • you qualify for Universal Credit, Tax Credits, Child Benefits or another UK benefit allowance.

    Under the scheme, your energy supplier might offer to carry out the work for free. They might ask you to pay for some of it. You don’t have to go ahead with the work if you feel your contribution is too high.

    How to apply

    Use Ofgem’s supplier contact details to check if your supplier is part of the ECO scheme and get in touch with them. For more information visit ofgem.com.

  • Are you a property owner in England or Wales? If so, you could apply for a grant to install low-carbon heating systems such as heat pumps.

    The scheme is open from 2022 to 2028, and you could get:

    • £7,500 off the cost and installation of an air-source heat pump
    • £5,000 off the cost and installation of a biomass boiler
    • £7,500 off the cost and installation of a ground-source heat pump.

    For the latest information, including the eligibility criteria, visit GOV.UK.

  • If you have renewable energy systems in your home or are thinking about adding them, you could qualify for the Smart Export Guarantee (SEG).

    The following renewable technologies can generate electricity:

    • solar panels (photovoltaic, or PV for short)
    • wind
    • hydro micro combined heat and power
    • anaerobic digestion.

    Make sure you sign up to the SEG tariff to receive payment. If you don’t, your energy will go back into the grid, but you won’t get paid for it.

    Find the latest information and sign up to SEG.

  • The council will provide important improvements to families in lower council tax bands with less energy-efficient homes. These improvements may include roof insulation, loft insulation, or cavity wall insulation.

    This support will run alongside the existing Energy Company Obligation (ECO) scheme, which offers free home energy-efficiency improvements, such as insulation, heat pumps and solar panels to families on low incomes.

    Apply for support from the Great British Insulation Scheme through the government website.

  • If you've lived in Scotland for more than 6 months, you may be eligible for the Warmer Homes Scotland scheme. This applies whether you're a private tenant or you own your home. It offers financial help with home improvements such as heat pumps, wall and loft insulation and draught-proofing.

    Usually, the Scottish government covers the costs. However, if the work is extensive, you may need to contribute.

  • The Home Energy Scotland scheme, offering government grants of up to £7,500 to help residents of Scotland make their homes more energy-efficient. Learn more about the financial support available to you.

    Or you may qualify for a government grant of up to £7,500 through the Home Energy Scotland Scheme for residents of Scotland.

    Find out more about financial support available through the Energy Saving Trust.

    Don’t meet the criteria for Warmer Homes Scotland? You could try a HES loan instead.

    It’s an interest-free loan to help make energy and money saving improvements to your home. These can range from installing loft insulation to upgrading your home’s heating system. The Scottish government offers the interest-free loan.

    Visit Energy Saving Trust to find out if this applies to you.

  • Open to all households in Wales, Nest offers advice on saving energy, money management, energy tariffs and benefit entitlement.

    They aim to make Welsh homes warmer and more energy-efficient. The exciting part is that all their advice is completely free!

    Plus, if you or someone in your household receives means tested benefits, you may get home improvements for free.

    Find out more about Nest.

  • You could receive up to £7,500. This amount can help cover insulation costs. It can also help with double-glazed windows and heating updates. This support comes from the Affordable Warmth Scheme in Northern Ireland.

    You may be eligible for this scheme if you:

    • live in Northern Ireland
    • own and occupy your house
    • rent from a private landlord
    • earn less than £23,000 a year.

    See the latest information and criteria Affordable Warmth Scheme.

Home energy saving tool

We'll create a personal action plan to help you identify the type of changes you could make to reduce your energy bills. Just answer a few questions about your home and budget to get started.

Start your action plan

The tool is quick and easy to use. Just answer a few questions about your home and it’ll give you a personalised action plan on where you could save energy.

Create my action plan

Retrieve my action plan

Already made a start in creating your customised action plan? Then pick up where you left off.

Retrieve my action plan

Need further support?

If you don't qualify for any benefits, visit our support and wellbeing page for other assistance.

Support and wellbeing

We have the tips and tools to help you manage your money. Whether you're budgeting, borrowing, saving or supporting others we're here to help.

Help managing your money

Additional government assistance for energy costs

If you’re worrying about paying your energy bills, you’re not alone. See what support is available from the government and various energy suppliers.

  • What is the Winter Fuel Payment?

    The Winter Fuel Payment is money you could get from the government to put towards heating your home each winter.

    Am I eligible for the Winter Fuel Payment?

    Eligibility for Winter Fuel Payments depends on a few things including where you live and your age. Get the latest information and check your eligibility on GOV.UK.

    How to apply for the Winter Fuel Payment

    If you’re eligible, you shouldn’t need to apply. The government will be in touch with you, but there are exceptions. 

  • What is the Warm Home Discount?

    The Warm Home Discount Scheme offers an annual discount on your winter electricity bill, applied by your energy supplier.

    Am I eligible for the Warm Home Discount Scheme?

    Eligibility depends on things like your income, energy costs and whether your energy provider is part of the scheme. Get the latest information and check your eligibility on GOV.UK.

    How to apply for the Warm Home Discount

    If you're eligible, the system automatically applies the discount to your bill. Each electricity supplier may set its own criteria in addition to the government's. It can offer only a limited number of discounts. Check on the government's website to find out which suppliers are part of the scheme by visiting GOV.UK.

  • What is the Cold-Weather Payment?

    If the average temperature is due to be zero degrees celsius or lower for seven consecutive days in your area, you’ll receive the Cold-Weather Payment.

    Who gets the Cold-Weather Payment?

    You may get the payment if you’re getting certain benefits. You can check which benefits qualify and find more information on GOV.UK.

    How do I apply for a Cold-Weather Payment?

    There is no need to apply. If you qualify, you’ll automatically receive the payment every year.

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