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Maximise Savings: Reduce Your Energy Bills With the ECO4 Scheme

With the rising cost of living, household budgets are taking a hit in almost every aspect. One of the fastest areas of price inflation is heating and fuel costs. Some estimates show that 6.5 million households in the United Kingdom are experiencing fuel poverty. The UK government has enacted the ECO4 scheme to bring relief to households across the nation by addressing rising energy costs.

The scheme accomplishes this by placing obligations on energy providers to fund energy-efficient improvements to homes. This article will provide information on the ECO4 scheme, who is eligible to participate, and how you can use it to reduce your energy costs.

What is the ECO4 Scheme?

The ECO in the ECO4 scheme stands for Energy Company Obligation. The scheme has had three previous iterations, with the fourth and final one beginning in April 2022 and running through March 2026. It was enacted as part of the United Kingdom’s commitment to net zero carbon emissions by 2050.

The ECO4 scheme aims to reduce carbon emissions and tackle fuel poverty by funding energy efficiency improvements in homes. These improvements can include insulation, boiler upgrades, and other measures to make homes more energy-efficient.

Through the ECO4 scheme, homeowners and tenants can receive these upgrades, which have been prohibitively expensive in the past. The UK government and energy companies provide the funds for the upgrades.

Who is Eligible?

Eligibility criteria for participation in the ECO4 scheme are based on several factors. These include household income, whether the people who live in the home receive certain government benefits, and the home’s current energy efficiency.

To determine individual eligibility for participation in the ECO4 scheme, it’s advisable to check with the relevant government departments, local authorities, or energy companies administering the program. They can provide specific details and assistance tailored to your situation.

Household Income

Your household income can qualify you to benefit from the ECO4 scheme, which is intended to help those struggling with fuel poverty. A household is said to be in fuel poverty when the tenants or homeowners are unable to heat the house for a reasonable cost. Addressing fuel poverty is important, as living in an underheated dwelling can present health risks.

If your home requires energy-efficient upgrades, you can qualify for the scheme if your household income is under £31,000. Local authorities can use various other criteria to identify low-income, vulnerable, and fuel-poor households, so even if you’re not sure, you should contact your local authorities to find out if you are eligible.

Do you receive government benefits?

If you receive government benefits, you are also eligible to participate in the ECO4 scheme. If you receive one of the following benefits, you have eligibility:

  • Child Benefit
  • Pension Guarantee Credit
  • Income-related Employment and Support Allowance (ESA)
  • Income-based Jobseeker’s Allowance (JSA)
  • Income Support
  • Tax Credits (Child Tax Credits and Working Tax Credits)
  • Universal Credit
  • Housing benefit
  • Pension credit saving credit

Your Home’s Current Energy Efficiency Rating

The current state of your home’s energy efficiency is essential in determining eligibility for participation in the ECO4 scheme. In the United Kingdom, a dwelling’s energy efficiency is determined by an Energy Performance Certificate (EPC) document. To receive an EPC, your home must be inspected by a domestic energy assessor.

The assessor takes into account factors such as the type and age of your property, current and projected heating costs, the types of windows you have, your current heating appliances, the presence of energy-efficient lightbulbs, and building insulation. The assessor then assigns the property a letter grade from A to G, with A being the most efficient and G the least.

To be eligible to participate in the ECO4 scheme, your home must have an EPC rating of D, E, F, or G. If you have a rating of C or higher, your house is already relatively energy efficient, and you do not qualify.

How Can ECO4 Reduce your Energy Bills? 

The main objective of the ECO4 scheme is to help make homes in the United Kingdom more efficient and to lower energy costs for homeowners and tenants. By participating in the scheme, you can lower your energy bills, increase your comfort in your own home, and reduce the impact your energy use has on the environment.

New Boiler

One of the best ways to reduce your energy bills is to upgrade your old, inefficient appliances to a new energy-efficient model through the ECO4 scheme’s boiler grant. Old or broken boilers are often some of the biggest energy wasters in a home. A new boiler, purchased and installed through the ECO4 scheme, can be a great way to reduce energy costs.

New boilers often incorporate advanced technology and design features that enable them to convert more of the fuel they consume into usable heat, thereby reducing waste and lowering energy consumption. They also have advanced controls, allowing better temperature regulation and efficient operation. A new boiler is also less likely to need costly repairs.

Investing in a new boiler can lead to significant long-term savings by reducing energy consumption, minimising maintenance costs, and providing greater control over your heating system.


Insulation is a crucial component of keeping your house warm in winter, cool in summer, and energy efficient. It works as a barrier that prevents heat transfer between your home and the outside. Insulation can be installed under floors, inside walls, and in the loft of your home. This helps your house maintain a more stable temperature throughout the year.

New insulation installed through the ECO4 scheme can help lower your energy costs, as your appliances don’t have to work as hard to maintain a consistent temperature. By minimising temperature fluctuations and drafts, insulation helps maintain a comfortable temperature throughout your home, regardless of external weather conditions.

First Time Central Heating

If you don’t have central heating, the ECO4 scheme can help you qualify for a brand-new system for your property. Installing a new central heating system can lower your energy costs by eliminating old, inefficient ways of heating your home. Besides reducing your energy use, a new central heating system can also make your indoor environment more comfortable, and a more efficient system means lowering your environmental impact as well.

Simply ECO Ltd. Can Help Lower Your Energy Costs 

Making your home more energy efficient is a great way to lower energy bills and contribute to a more environmentally friendly world. At Simply ECO Ltd., we are familiar with the many government programs, such as the ECO4 scheme, and we are ready to help you navigate the process of upgrading your home’s energy efficiency.

Contact us today to see what free programs you may be eligible for. Whether you need a new boiler, insulation, or central heating system, our experts can help you identify your needs, install energy-efficient upgrades, and ensure your long-term energy savings and reduced environmental impact.

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