The Ultimate Guide to Boiler and Central Heating Grants for Low-Income Households

If you have never had central heating in your home in the UK or have a boiler older than 2005, you may get a boiler grant or first-time central heating grant at absolutely no cost.

Energy efficiency has become a particularly important priority for UK households. Rising energy costs make it essential to improve home energy performance. To support this, the UK government offers boiler and central heating grants, helping low-income households upgrade outdated systems and reduce their energy bills.

This guide explains what boiler and central heating grants are helping low-income households access the support they need to upgrade their home.

What is the ECO Scheme for Low-Income Households?

The Energy Company Obligation (ECO) scheme is a UK government initiative that provides financial support to low-income households, enabling them to upgrade inefficient boilers and heating systems.

ECO, launched in 2013, aimed at the reduction of carbon emissions and alleviation of fuel poverty. The latest phase of this mission till 2026, as of 2022, is the ECO4 scheme. Over the years, it has assisted more than 3.1 million households in the UK with major improvements that save energy and make life more comfortable for families in need.

Objective of the ECO4 Scheme

ECO4 is at the heart of the new stage of the ECO program, which will run long-term until 2026. Having learned from the successes of the previous schemes, ECO 4 focuses on improving poor household energy performance and looks closely at the improvement of less energy-efficient homes.

One of the key objectives of the ECO4 scheme is to ensure that homes with Energy Performance Certificate (EPC) ratings of D, E, F, or G can benefit from energy-saving measures. By targeting these homes, the scheme advances the goal of reducing fuel poverty and carbon emissions in the United Kingdom toward a commitment to be carbon-zero by 2050.

What Are Boiler and Central Heating Grants?

Boiler and central heating grants are a key component of the ECO4 scheme, which is aimed at providing means by which low-income households can upgrade their aged and highly inefficient heating systems with modern, highly efficient ones.

These grants also cover the cost of installation of a new boiler and central heating system and related energy-saving measures, making it easier for households to upgrade their heating system without many financial burdens.

With the help of these grants, low-income families are able to greatly boost the energy performance of their homes.

What are Free Boiler Grants?

Free boiler grants are part of the government’s ECO4 scheme, which is meant to make a positive impact by reducing carbon footprints and energy bills. It enables those living in the most financially challenged homes to change their old, outdated, inefficient boilers to new, energy-efficient ones without requiring them to make any upfront payment.

Types of Free Boiler Grants

1. New Boiler Grant 2024 

It is supposed to cover the entire cost of purchasing new, energy-efficient models to replace the old ones. The qualifying households have the option of applying for grant funds of up to £10,000 to reduce energy spending and save money on heating bills.

2. Replacement Grants for Old Boilers

You might be eligible for a replacement grant for your old boiler if your existing one is simply not that efficient and costly to run. These grants have been designed to help cover the cost of replacement with a modern, efficient boiler that could save you thousands of pounds in energy costs.

What Are First-Time Central Heating Grants?

First-Time Central Heating Grants have been designed for low-income families that currently have no central heating arrangement. These grants are aimed at free central heating with the inclusion of a boiler, radiators, and its associated programmable controls, which are helpful for energy-saving improvements and, thereby, a reduction in heating costs.

Usually, this grant can fund an entire central heating installation in your home where, however, no previous central heating system exists. So, if you do not have central heating, you might be entitled to a grant to install it, which will lower your active energy bills and give you better comfort at home.

Which Heating System is Eligible for Central Heating Grant?

In order to qualify for a Central Heating Grant, a heating system must be decentralized, that is, not connected to radiators. These systems are generally replaced through the grant:

1. Non-Centralized Heating Systems:  Heating systems that do not connect with radiators.
2. Storage Heaters: Traditional storage heaters that are outdated and inefficient.
3. Wood/Biomass Room Heaters: These heaters release large quantities of carbon.
4. Oil/LPG Room Heaters: These are considerably expensive to run and not very efficient.
5. Gas-Fired Back Boilers: Outdated gas-fired back boilers can be replaced with a condensing model.

Boiler and Central Heating Grants Eligibility Criteria

In order to benefit from such grants, it is important that you meet the eligibility criteria. Please find the key requirements outlined below to help you guide your eligibility:

Income Requirements

This varies with the household income, as usually, the yearly income of these households has to be less than a specified predetermined level to qualify. Other criteria may include receiving some form of government support, such as:

• Income-based Job seeker’s Allowance (JSA)
• Income-related Employment & Support Allowance (ESA)
• Income Support Allowance (ISA)
• Working Tax Credit (WTC)
• Child tax credit (CTC)
• Universal Credit (UC)
• Pension Guarantee Credit
• Pension savings Credit

Property Requirements

The kind of property one lives in is assessed to further determine eligibility. It includes:

• Types of Properties Eligible for Grants: Often, grants are available to low-income homeowners and private tenants. Grants, however, may be limited to old or disabled people under some circumstances.
• EPC Rating Requirements: Your property’s Energy Performance Certificate (EPC) rating may need to be D, E, F, or G.
• Non-Condensing vs. Condensing Boilers: Grants also can depend on whether you have the non-condensing or condensing type of boiler presently installed on your property.

Other Considerations

Other factors further influencing these grants are:

• Mains Gas Supply Requirement: Some of the grants may require the mains gas supply to run to your property. So, your gas meter must be installed before April 2022. 
• Homeowners vs. Tenants: Homeowners usually qualify for most grants, but some grants apply to private tenants as well—subject to the tenancy agreement.

Benefits of Upgrading Your Boiler and Central Heating System

There are many benefits to upgrading your boiler and central heating system; it makes your home more energy efficient, comfortable, and also more cost-effective.

1. Lower Energy Bills

Many newer models of boilers and central heating units have been designed to burn fuel more efficiently to produce a given quantity of heat, effectively resulting in much lower energy bills and savings on monthly overhead costs.

2. Increased Home Comfort

The updated central heating system will ensure that the whole house is uniformly heated. All the cold spots are eliminated this way, and that provides for a more uniform and comfortable living in the house during the cold season.

3. Lowered Carbon Footprint

The new and modern boilers and heating systems are much more effective in producing fewer emissions and hence lowering the total carbon footprint for your house. This becomes very important as the UK has committed to becoming Net Zero for carbon emissions by 2050.

4. Increased Property Value

An energy-efficient heating system will actually appeal to many potential buyers. By improving your boiler and central heating, your property may look modern and, above all, its market value soar.

5. More Reliable

The older a boiler, the closer to breakdown and inefficiency it is. A new system is unlikely to fail and gives you reliability in heating your house, saving you from expensive repairs any time of the year.

Application Process

Applying for a grant for a boiler or central heating under the ECO4 scheme is a simple procedure, set with an aim to provide energy efficiency upgrading to low-income families. Here’s a step-by-step guide:

1. Initial Eligibility Check

Eligibility is an important factor in finding out whether you can get the grant before applying. Eligibility is usually based on income, age, and the condition of the previous boiler, along with the Energy Performance Certificate rating of the property. You can check online or with the approved energy providers to see these criteria.

2. Documentation Needed

To complete your application, you will need to gather the following documentation:

• Proof of Income: Evidence of household income, such as payslips or statements of household benefits.
• EPC Certificate: This is the Energy Performance Certificate of your property, highlighting the current energy efficiency of your home.
• Details of Boiler: Information regarding your current boiler and its age and condition can be very useful; be prepared with any such paperwork to make the application process as easy as possible.

3. Application Submission

If you qualify for eligibility and have all the papers that you need; you go ahead and make the application. Make sure you fill in all the details correctly in order to avoid delays.

4. Home Survey

After you submit the application, it will be reviewed and verified. If approved, our Gas Safe Registered engineers will visit your home for a survey and conduct a home analysis to plan the installation of a brand-new boiler. 

The Bottom Line

In summery, upgrading your boiler and central heating system with such grants will be your opportunity to contribute to making life comfortable, ensuring energy efficiency, cutting the costs, and being greener for low-income households. You can easily apply for and benefit from the step-by-step guide within this blog.

Seize this opportunity to get a better quality of life while reducing your impact on the environment. Apply today and take a step toward a warmer, more efficient home.

Frequently Asked Questions (FAQs)

For how long will the ECO4 Scheme be available?

The ECO4 Scheme remains open until 2026. Applications are, nonetheless, advised to submit early, since grants are granted for a limited time.

Are there any grants for homeowners replacing old boilers?

Yes, the government provides grant funding for new boilers to those homeowners who receive additional benefits. And to those whose homes are graded D or lower on the energy performance certificate.

Am I entitled to a free boiler on Universal Credit?

Yes, Universal Credit homeowners are entitled to a free boiler replacement whose current boiler is over 15 years old or a property that has an EPC rating of D or below.

Which properties are not eligible for a boiler grant?

Properties owned by the government, and those that do not meet the target’s eligibility criteria-for example, an EPC rating greater than D – are excluded from a boiler grant.