Formally launched in January 2026, the Warm Homes Plan is equipped with GBP 15 billion in funding. The government strategy aims to improve energy efficiency and cut energy bills by upgrading up to 5 million homes. It replaces the Energy Company Obligation (ECO) scheme.
Eligible households can receive up to GBP 30,000 (up to 15,000 for low-carbon heating and up to 15,000 for energy-efficiency improvements).
The plan includes a mix of grants and loans, with additional and grant-based support for low-income households. The plan also earmarks funds for the existing Boiler Upgrade Scheme, and makes grants available for air-to-air heat pumps.
It also includes a target to more than double the amount of heat provided via heating networks, supported by GBP 1.1 billion for heat networks (GBP 195 million annually) by 2030 through the Green Heat Network Fund.