Energy Grants for Landlords: What’s Available Right Now
LAST UPDATED: MAY 2026
The grant landscape has changed significantly in 2026. Several schemes have closed, new ones are launching, and the rules have shifted. This guide cuts through the confusion and tells you exactly what’s available, who qualifies, and what to do next.
If you’ve searched for landlord energy grants recently, you’ll have noticed something frustrating: most of the advice you find online is out of date, inaccurate, or written by companies with a financial interest in pointing you towards a particular scheme.
This guide is different. It’s written by an energy engineer with 15 years of hands-on experience, updated with current information, and has no commercial agenda. My only goal is to help you understand what’s genuinely available — and make the right decision for your property.
The honest truth about energy grants in 2026: the landscape is in transition. Some major schemes have recently closed. Others are still running but with changed rules. And the government’s long-term Warm Homes Plan is still rolling out unevenly across the country. I’ll explain all of this clearly below.
**Important notice:** Grant schemes can change at short notice. Always verify current eligibility with your local authority or an approved installer before committing to any work. This guide is reviewed regularly but should not be relied upon as a substitute for professional advice on your specific property.
What’s Changed in 2026?
Before we look at individual schemes, here’s the headline picture for 2026
**Closed (no new applications):**
– Great British Insulation Scheme — closed 31 January 2026
– ECO4 — closed to new applications March 2026, processing existing applications until December 2026
**Still running and open:**
– Boiler Upgrade Scheme — extended to 2030, rules recently improved for landlords
– Warm Homes: Local Grant — running until March 2028, delivered through local councils
**Coming but not yet confirmed:**
– ECO5 — a successor to ECO4 is expected but details are not yet finalised
Boiler Upgrade Scheme
OPEN — Runs to March 2028
Up to £7,500 towards a heat pump — no means testing required
The Boiler Upgrade Scheme is the most straightforward grant available to private landlords in England and Wales. Unlike most schemes, it is not means-tested — your income or your tenant’s income makes no difference. If you own the property and are replacing a fossil fuel heating system, you are likely eligible.
**What you can get:**
– £7,500 off an air source heat pump (air-to-water)
– £7,500 off a ground source heat pump
– £5,000 off a biomass boiler (rural, off-gas properties only)
– £2,500 off an air-to-air heat pump
– £2,500 off a heat battery
**Important update from July 2026:** The grant is due to increase temporarily to £9,000 for properties currently heated by oil or LPG. If your rental property is off-gas-grid, it is worth acting before March 2027 when this higher rate is currently scheduled to end.
**Who qualifies:**
– You own the property (landlords qualify — this is not owner-occupier only)
– Property is in England or Wales (Scotland and Northern Ireland have separate schemes)
– You are replacing a fossil fuel heating system (gas, oil, LPG) or direct electric heating
– The installer must be MCS-certified
**Important change from April 2026:** The previous requirement for a valid EPC has been removed. Properties that previously failed the eligibility test because of EPC issues can now apply.
**How it works:**
You do not apply yourself. Your chosen MCS-certified installer handles the entire application to Ofgem on your behalf. The grant is deducted from your installation quote upfront — you never handle the money. You simply need to give written consent as the property owner before work begins.
**Landlord-specific note:** The scheme requires that you notify your tenant in writing before installation begins. Written consent from the tenant is not legally required, but 28 days’ reasonable notice is recommended.
**Stephen’s honest assessment:**
The BUS is genuinely good value for landlords replacing oil or LPG heating. For gas-heated properties the calculation is more complex — a heat pump costs significantly more to install than a replacement gas boiler, and the £7,500 grant does not always close that gap. Before committing, get an EPC simulation from your installer to confirm whether a heat pump will actually improve your EPC rating under the current SAP methodology. It does not always, and this matters for your 2030 compliance planning.
Warm Homes: Local Grant
OPEN — Runs to March 2028 (postcode and council dependent)
Free upgrades for landlords whose tenants are on low incomes — up to £30,000 per property
The Warm Homes: Local Grant is the government’s main successor to the schemes that have recently closed. It is funded by central government but delivered entirely through local councils — which means eligibility, timing and what you can get varies significantly depending on where your property is.
**What you can get:**
– Up to £15,000 for energy efficiency improvements (insulation, glazing, draught-proofing)
– Up to £15,000 for low-carbon heating (heat pump, etc.)
– Total maximum: £30,000 per property
**Who qualifies (property):**
– EPC rating of D, E, F, or G
– Located in England
– Not social housing
**Who qualifies (tenant):**
– Household income of £36,000 or less, OR
– Receiving means-tested benefits (Universal Credit, Pension Credit, Income Support, Housing Benefit, JSA, ESA), OR
– Living in a qualifying postcode area (set by your local council)
**What landlords need to know:**
– Your first property is fully funded at no cost to you
– Additional properties require a 50% cost contribution from you as the landlord
– Tenants are not required to contribute anything, and landlords cannot raise rent as a result of upgrades
– You must obtain your tenant’s agreement before applying
– You apply through your local authority, not centrally
**The important caveat — postcode delivery:**
This is where many landlords get frustrated. Because the scheme is delivered locally, two landlords with identical properties and identical tenant circumstances can get completely different outcomes depending on their postcode. Some councils are actively processing applications; others have already allocated their funding and closed their waiting lists. This is not a failure of the scheme — it is simply how local delivery works.
**What to do:**
1. Check the government’s eligibility checker at gov.uk/apply-warm-homes-local-grant (this will redirect you to the WHLG checker)
2. Contact your local council directly to find out their current position
3. If your council’s funding is exhausted, register your interest — councils can receive additional allocations
**Stephen’s honest assessment:**
For landlords with lower-income tenants in EPC D-G properties, this is potentially the most valuable scheme available. Free upgrades to your first property — including insulation and a heat pump — represents significant value and directly addresses your 2030 compliance requirements. The frustration is the postcode lottery element. I would encourage every eligible landlord to register interest with their local council now, even if they are not currently processing applications.
ECO4 (Energy Company Obligation)
CLOSED — No new applications after March 2026
Still processing existing applications until December 2026 — act now if you haven’t already
ECO4 has now effectively closed to new applications, but existing applications are still being processed until December 2026. If you were already in the ECO4 pipeline, make sure your installer has submitted your application before this deadline.
For landlords who missed ECO4, a successor scheme (sometimes referred to as ECO5) is expected, but as of May 2026 the details have not been formally confirmed by government. I will update this page as soon as firm information is available.
**Who ECO4 was designed for:**
ECO4 targeted properties where at least one tenant receives means-tested benefits, OR where the property was in an area of high fuel poverty. It covered insulation measures and heating upgrades, and in many cases the work was fully funded with no cost to landlord or tenant.
**If you think you may have been eligible for ECO4 and never applied:**
Contact your energy supplier directly — British Gas, EDF, E.ON, Octopus and others all ran ECO4 programmes. There may still be a small window to get an assessment submitted before December 2026.
0% VAT on Energy Efficiency Improvements
ONGOING — No end date confirmed
Often overlooked — but worth hundreds of pounds on every installation
This is the grant that most landlords don’t think about — but it adds up.
Since April 2022, energy-saving materials installed in residential properties qualify for 0% VAT rather than the standard 20%. This applies to:
– Heat pump installations
– Solar panel installations
– Insulation (loft, cavity wall, solid wall)
– Draught-proofing materials
– Heating controls and thermostats
– Hot water system controls
On a £10,000 heat pump installation, this saves £2,000 compared to the pre-2022 position. Combined with the Boiler Upgrade Scheme grant of £7,500, the effective landlord contribution can be significantly reduced.
**Important note:** The zero rate applies to the installation and the materials together, when supplied and installed by the same contractor. Make sure your installer is applying the correct VAT rate — not all do automatically.
What About Scotland, Wales and Northern Ireland?
The schemes covered above apply to England and Wales (or England only in the case of the Warm Homes: Local Grant). Landlords with properties elsewhere should be aware of the following:
**Scotland:**
Home Energy Scotland offers grants of up to £7,500 plus interest-free loans of up to £7,500 for heat pumps, biomass boilers and insulation. Rural properties may qualify for an additional £1,500 grant. This is separate from and in addition to any UK-wide schemes. Contact Home Energy Scotland on 0808 808 2282.
**Wales:**
Wales has the Nest scheme, administered by Warm Wales, offering free energy improvements to households on low incomes. The Boiler Upgrade Scheme also applies in Wales. Contact Nest on 0808 808 2244.
**Northern Ireland:**
The Affordable Warmth Scheme provides grants for insulation and heating for households on low incomes. Northern Ireland has separate energy efficiency programmes. Contact the NI Housing Executive for current availability.
Not Sure Where to Start? Here’s What I’d Recommend
01
Check your EPC
Log on to the government’s EPC register (find a certificate on gov.uk) and look up your rental properties. If any are D or below, you have the most grant options. If any are already C or above, you may not need to do anything for 2030 compliance.
02
Check Warm Homes: Local Grant eligibility
If any of your tenants are on low incomes or receiving means-tested benefits, this should be your first port of call. The potential value — up to £30,000 per property at no cost to you — makes it worth investigating immediately.
03
Consider the Boiler Upgrade Scheme for oil and LPG properties
If you have any properties currently heated by oil or LPG, the July 2026 increase to £9,000 makes the heat pump route significantly more attractive. Get quotes from MCS-certified installers now.
04
Don’t assume a heat pump is always the right answer
For many rental properties — particularly poorly insulated terraced houses — there are cheaper routes to EPC C than installing a heat pump. Insulation upgrades, a new condensing gas boiler and heating controls can often achieve EPC C for under £5,000. Get independent advice before committing to an expensive installation.
05
Get professional advice on your specific properties
Every property is different. The right upgrade path depends on construction type, current heating system, existing insulation, EPC rating and your tenant profile. A one-size-fits-all approach is expensive and often unnecessary.
NEED PERSONALISED GUIDANCE?
Book a One-to-One Consultation
Not sure which grants apply to your properties, or whether a heat pump really makes sense for your portfolio? I offer one-hour video consultations for landlords who want clear, independent advice tailored to their specific situation — with no sales agenda and no referral fees.