External Wall Insulation Grants: A UK Guide

Uninsulated walls in UK homes are one of the bigger culprits behind the ongoing energy crisis. The Solid Wall Insulation Guarantee Agency (SWIGA), estimates that a staggering 90% of solid wall properties in the UK remain uninsulated or under-insulated.

Uninsulated walls are responsible for more than 33% of home heat loss. This is reflected in whopping energy bills, damp drafty homes, and a huge carbon footprint exasperated by an overworked heating system. Unfortunately, not everyone can afford the price tag of proper wall insulation, but that’s where wall insulation grants come into play. 

To reach Net Zero by 2050, the UK government is laser-focused on improving the energy efficiency of the national housing stock. A big way they are doing this is by introducing government grant schemes to help fuel-poor and low-income homes with efficiency upgrades, including free insulation or partial cost coverage. 

This complete guide by GreenMatch UK will dive into everything you need to know about external wall insulation grants, including qualifying criteria, provisions, and how to apply.

Ready to insulate your external walls? Look no further than GreenMatch UK to land the best bargains with the most professional installers. By filling out our simple 30-second form, you can receive up to 3 free home-tailored quotes straight from our nationwide network of accredited professionals. Click below to begin!

External wall insulation grants are financial assistance schemes to make external wall insulation more affordable and accessible for low-income, energy-inefficient and fuel-poor homes. Currently, the UK government backs two nationwide insulation grants; the Great British Insulation Scheme (GBIS) and the Energy Company Obligation (ECO4). 

The GBIS and ECO4 provide free or reduced-cost external wall insulation for qualifying households, amongst other insulation and home efficiency upgrades. Financial coverage on the cost of insulation depends on your circumstances and installation complexity. Low and mid-tier upgrades are normally fully covered, whilst complex high-tier upgrades may require a household contribution. 

Nonetheless, external wall insulation is a very effective long-term insulation upgrade that boosts the heat retention of your home, leading to more energy bill savings, fewer carbon emissions, and a much healthier planet overall.

External wall insulation, like any home insulation measure, is a game-changer for your home’s energy efficiency. With a wealth of benefits, here are just some of the key perks you could enjoy:

With all things considered, insulating walls is a home efficiency upgrade that is sure to help you save money and help save the planet, all with one investment.

There are currently two nationwide grant schemes in the UK that provide government grants for external wall insulation. These are the Great British Insulation Scheme (GBIS) and the Energy Company Obligation (ECO4). 

Whilst providing full and partial external wall insulation cost coverage, these schemes do not provide external insulation cladding grants, but just external wall insulation alone. Both schemes also have differences in their application methods, provisions, and coverage.

The Great British Insulation Scheme (GBIS) is a government initiative to make home insulation upgrades more affordable and accessible for low-income, fuel-poor, and energy-inefficient homes throughout the UK. 

The scheme works by providing a single insulation measure per qualifying household, which is decided upon after a home assessment to determine the best course of action to boost a property's energy efficiency. 

The GBIS scheme provides a full range of home insulation upgrades, including free external wall insulation. Apply for the scheme by visiting the official UK government website and filling out the online application form.

The Energy Company Obligation (ECO4) scheme is more of a legal demand placed upon energy providers throughout the UK that obliges them to create accessible options for domestic energy efficiency upgrades. 

Unlike the GBIS, the ECO4 takes a more whole-house approach to energy efficiency, providing a range of upgrades including energy system repairs, replacements, smart controls and more. 

The ECO4 also provides a wide range of home insulation upgrades, including free external wall insulation. To apply, contact your energy provider to learn more about qualifications, the application process, and the grants you may benefit from.

The eligibility criteria for the GBIS and ECO4 schemes are generally the same. This is because the UK government intends to make both schemes complementary to each other. 

There are slight differences in qualification criteria if you are a homeowner or home renter, but regardless, the main qualification criteria expected for external wall insulation are:

In the UK, the low-income threshold is generally understood to be around £31,000 or less. Therefore, homeowners with a (collective) gross annual income of less than £31,000 a year would be considered part of the Low-Income Group. 

This makes them eligible to benefit from a government grant scheme for external wall insulation.

External wall insulation grants are only available to homeowners and property landlords. It’s technically possible to apply as a tenant, but you will need written permission from the landlord that allows for insulation work to be carried out on the property.

If you are applying as a private tenant, you must also make sure you meet certain qualification criteria. These are; being a recipient of government benefits, qualifying as a low-income individual, and residing in a property with an EPC rating below E.

For both the GBIS and ECO4 schemes, applicants who receive certain government benefits and allowances are considered eligible for benefits from exterior insulation grants. These benefits and allowances may indicate that an applicant is part of the Low-Income Group.

The current list of benefits and allowances that are considered eligible are:

To qualify for free external insulation grants, your property must have an Energy Performance Certificate (EPC) rating of F or G. In the UK, landlords and homeowners are legally obliged to raise home efficiency to at least an E grade, in line with the UK’s goals of achieving Net Zero by 2050.

The Energy Performance Certificate (EPC) is a rating system that tells you the energy efficiency of a property. Properties are scored from A (most efficient) to G (least efficient).

Specific to the ECO4 grant scheme, you will be required to qualify for a heating upgrade, or heating controls if you would like to get free external wall insulation. 

This is because the ECO4 scheme focuses on a more whole-house energy efficiency upgrade that combines various approaches to benefit you for years to come. 

You can apply for a heating upgrade with external wall insulation if you have main heating in your property that is via:

You can also apply for a heating upgrade if you have no gas central heating, no heating controls, or no heating at all on your property.

If you meet the aforementioned criteria for either the GBIS or ECO4 schemes, you can go ahead by applying for free external wall insulation grants. 

The application process can differ slightly depending on the scheme you are interested in, but in general they follow a similar process:

While the process seems straightforward enough, finding the right installer for the job can be a tedious and draining process. Prospective clients often find themselves spending weeks on end surfing websites and arranging phone calls with installers, only to reach indecision. That’s where GreenMatch UK can step in to help you out! 

Through our nationwide network of trusted professional installers, we can provide you with up to 3 free home-tailored quotes for insulation. All you have to do is fill out our simple 30-second online form, and we’ll make sure you get the best bargains. No hidden charges or extra obligations apply. Click below to begin!