What Is ECO4?
Living in Scotland sometimes means dealing with cold weather and high energy bills. Staying comfortable can be a challenge, especially if you’re from a vulnerable or low-income household. Fortunately, the UK government-backed ECO4 scheme can help. But what is ECO4, and how does it benefit you? Find out here.
What Is the ECO4 Scheme?
ECO4 is the fourth phase of the Energy Company Obligation (ECO) initiative, a scheme designed to tackle residential energy efficiency issues. It primarily targets homes with low Energy Performance Certificate (EPC) ratings, aiming to upgrade them to at least a band D rating.
Funding for ECO4 comes from major energy companies, which are mandated to provide grants that support energy efficiency improvements in the least efficient homes. These upgrades help reduce energy bills and carbon emissions so homes are warmer and more affordable to heat.
What Is the Main Aim of ECO4?
The primary goal of the ECO4 scheme is to cut carbon emissions and alleviate fuel poverty by improving energy efficiency in homes. This is particularly crucial for low-income households that often struggle to pay high energy costs.
What Does ECO4 Cover?
The ECO4 scheme covers the following home energy improvements:
Insulation: Loft, cavity wall and solid wall insulation are all covered. These improvements help retain heat and reduce energy consumption.
Solar panels: These can be installed on rooftops or other eligible locations to harness the sun’s power. Solar solutions reduce reliance on traditional energy sources for lower operating costs.
Boiler upgrades: Replacing an old, inefficient boiler with a new, high-end model lowers heating costs.
Air-source heat pumps: These efficient heating systems extract heat from the outdoor air and deposit it into your home. Since they move heat rather than generating it from a fuel source, heat pumps can be far more efficient than boilers.
Electric heating systems: High heat retention storage heaters utilise off-peak electricity during the night and store it for use during the day. They are cheaper to install and easier to maintain than a central heating system.
Who Qualifies for ECO4?
ECO4 primarily supports owner-occupied homes, private renters (with landlord permission) and inefficient social housing. Qualifying households receive certain government benefits, such as Income-based Jobseeker’s Allowance, Working Tax Credit or Pension Credit Guarantee.
Even if you don’t receive benefits, you might still qualify under the Local Authority Flexible Eligibility (LA Flex) scheme. This route allows local councils to recommend households that don’t meet the standard criteria but still need assistance. Qualifying households must have an annual income of less than £31,000 and demonstrate health issues worsened by cold environments. Residences must also fall within Energy Bands E to G and meet additional criteria.
For more information, check out our article titled Who Qualifies for ECO4?
Is ECO4 Legit?
Yes, ECO4 is a legitimate government scheme drafted by the Department for Business, Energy & Industrial Strategy and overseen by Ofgem. With a substantial £4 billion funding pool, the scheme has already benefited many homes across the UK.
When Does ECO4 Start and End?
The ECO4 scheme officially started on 27 July 2022 and is set to run until March 2026. Depending on future needs and other factors, the government may extend the scheme beyond this date. Discussions about a potential successor, possibly named ECO5, have already begun.
Learn more in our article titled When Does ECO4 Start and End?
Is the ECO4 Scheme Free?
Applying for ECO4 is free, but the subsidy varies. While some households receive free home upgrades, others only get partial subsidies based on their income and other factors. Be wary of companies that charge for handling the application on your behalf. MPC Energy Ltd can manage the application process for free, granting you the support you need without additional costs.
How to Apply for an ECO4 Grant
You can apply for an ECO4 grant yourself or through a trusted company like MPC Energy Ltd. If you apply on your own, the first step is to confirm if you qualify based on government benefits or the LA Flex scheme. Fill out the online application form with details about your property and current heating system. Once approved, a qualified surveyor will assess your home to identify eligible improvements. Approved upgrades will be installed at no cost to you.
If you prefer a hassle-free experience, MPC Energy Ltd can handle the entire process on your behalf, from eligibility checks to installation. Simply provide a few details to start your application. This free service is available to Scotland residents only.
Find out more by reading our page on How to Apply for an ECO4 Grant.
Apply for ECO4 Today
MPC Energy Ltd are one of the UK’s most trusted installers of home energy efficiency improvements. With over 30 years of combined experience, our dedicated teams ensure top-quality workmanship and customer service. Contact us today to learn how the ECO4 scheme can make your home warmer and more efficient.
