Home Insurance

New nationwide scheme to offer free home insulation - are you eligible?

Households will be offered home insulation to help them save hundreds of pounds on their energy bills as part of a new £1 billion campaign.

The ECO+ scheme could see families save about £310 a year, the Government estimates. Low and middle-income families in properties with an EPC rating of D or below will be eligible for grants to install cavity wall and loft insulation.

A fifth of the funding will go towards the most vulnerable households including those on means tested benefits or in fuel poverty, although the majority will go to families who do not currently get other support to improve their homes.

Eligible properties fall into the following council tax bands:

  • England: A-D
  • Scotland: A-E
  • Wales: A-C

Energy saving tips

The announcement comes alongside a number of energy saving tips being shared by the Department for Business Energy, Industry and Skills (BEIS) in a new £18 million campaign.

Tips include:

  • Turning down the 'flow temperature' on your boiler (how hot a boiler heats water before it's sent to radiators and taps) from 75C to 60C.
  • Turning down radiators in empty rooms.
  • Draught-proofing windows and doors to reduce heat loss from a property.

Reducing the flow temperature on a boiler and switching off radiators in empty rooms could save £160 a year, the Government estimates.

Solid wall insulation could save a billpayer:

DetachedSemi-detachedMid terraceBungalowMid-floor flat
Solid wall£930£540£315£420£240
Cavity wall£690£395£235£310£180

*According to Energy Saving Trust.

The Energy Company Obligation (ECO) has already seen 3.5 million energy saving measures added to 2.4 million homes since January 2013. The new ECO+ scheme extends the eligibility. It will run from Spring 2023 for up to three years.

The scheme will help the Government reach its target to reduce the UK's final energy consumption from buildings and industry by 15% by 2030.

Business and Energy Secretary Grant Shapps said he wanted to ensure the public is "never put in this position again" after facing soaring energy bills over the last 12 months.

He said: "A new ECO scheme will enable thousands more to insulate their homes, protecting the pounds in their pockets, and creating jobs across the country.

"And in the short term, our new public information campaign will also give people the tools they need to reduce their energy use while keeping warm this winter."

Chancellor Jeremy Hunt added: "In the longer term, we need to make Britain more energy independent by generating more clean, affordable, home-grown power, but we also need more efficient homes and buildings."

However, Shadow Climate Change Secretary Ed Miliband said: “This reheated announcement with no new resources, is far too little too late and will help only a tiny fraction of the millions of people facing a cost of living emergency this winter.”

To take advantage of the scheme, households should contact their council or energy provider to see if they are participating.

For cheap money saving tips you can do right now, check out our 11 ways to save energy in the home.

Erin Yurday

Erin Yurday is the Founder and Editor of NimbleFins. Prior to NimbleFins, she worked as an investment professional and as the finance expert in Stanford University's Graduate School of Business case writing team. Read more on LinkedIn.