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UK ECO5 Scheme 2026: Energy Grants & What to Expect

ECO5 Scheme UK energy grant support for insulation, boilers, and heating upgrades to reduce energy costs

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The British government has been working on energy efficiency supplements for more than a decade. Energy Company Responsibility (ECO) has been a key plan to help homes reduce low bills and carbon emissions. EOCO4 is the current stage lasting until March 2026. 

But from April 2026, the next chapter begins – the ECO5 scheme. Many houses, landlords, and installation programs already ask what Eco5 will cover, who will be qualified, and how it is linked to the UK’s broad net strategy.

This blog offers a clear guide for the ECO5 scheme 2026. It explains how the scheme develops from ECO4, describes new energy measures such as outline, heat pump, insulation improvement, solar panels, and smart thermostats, and also looks at the expected timeline. 

We will also find out the benefits of British houses, with the answers to some of the most common questions asked today.

The Background of the ECO Schemes

The responsibility of the energy company began in 2013. The purpose has always been to reduce domestic energy use, cut carbon emissions, and support low-income and weak homes. Each new phase of the scheme has been slightly different. 

ECO1 and EOCO2 focused more on insulation and heating. Eco3 made it easy to qualify low-income families. Eco4, which began in 2022, focused on a strong EPC criterion and a strong focus on long-term carbon savings.

The ECO4 scheme mainly supports insulation measures, boiler upgrades, and other heating systems for qualified homes. This boiler runs parallel to other government programs such as the Upgrade scheme (BUS) and the Great British Insulation Scheme (GBIS). Together, these initiatives aim to take the UK closer to its net strategy.

Now the ECO5 scheme will take the baton forward in 2026. This will build on EOO4, but will focus more on renewable technologies, intelligent energy controls and will help in homes with the highest carbon footprints.

What Will ECO5 Cover?

The most asked question is simple: What is the ECO5 cover? Although the government has not yet released all the details, the advisory task and industry discussion give us a good picture of what we can expect.

ECO5 will likely include:

  • Heat pumps: Both air source and ground source Heat pumps are expected to be an important part of ECO5. These systems are important to reduce dependence on fossil fuels. Air source pump supplements will help homes replace the old gas or oil boilers with cleaner alternatives. 
  • Solar panel: For the first time, the UK solar panel scholarship may be widely available under ECO5. Combined with smart thermostats and possibly storage of solar battery storage, it will give home more control over their energy consumption.
  • Improvement in insulation: Insulation has always been central to ECO. Eco5 will continue this, but with better technology and more focus on difficult to treat home. The caves of the caves, scaffolding and solid veg insulation core will be the remedy.
  • Smart heating control: Smart Eco5 thermostats will help home to manage heating more efficiently. This may include apps, programmable thermostats and even thermostats that learn smart controls that automatically fit.
  • High Carbon Print House: ECO5 will target home with the highest emissions. This means great savings for houses where upgrades can create the biggest difference. The EPC ranking of the home will be an important factor.
  • Low income and weak home: As usual, Eco5 will continue to prioritize these people. Family, home in fuel poverty, and weak residents will have access to free or heavily subsidized upgrades on the profits.
 

The combination of insulation, renewable heating, solar energy, and smart controls will help cut bills, improve comfort, and move the UK closer to net-zero.

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How ECO5 Differs from ECO4?

Eco4 is about upgrading the least energy-threatened home, focusing on EPC band D to G. It placed a strong emphasis on improvement throughout the house instead of one closed measure. Eco5 will retain many of these views, but will continue.

The biggest difference is the inclusion of solar panels and smart energy control. Eco4 did not cover the solar panel scholarship in the UK under the main structure. 

Eco5 will change that. Another difference is that Eco5 can allow existing EOCO4 upgraded houses to be reused, especially if they still need further improvement.

There will also be new criteria for carbon footprint. Instead of just looking at the EPC ranking, Eco5 is likely to consider the general emissions of a house. This means that old oil boilers, electric storage heaters, or homes that use fixed fuel systems can be preferred.

EPC Criteria Under ECO5

An Energy Performance Certificate (EPC) will be an important factor. ECO5 consultation documents show that houses in EPC bands D, E, F, and G will remain the main focus. The government wants to bring more and more homes to the EPC band C by 2035.

This means that bad EPC rankings will have the most benefits. For landlords, this is a chance to fulfill new legal standards and avoid fines. For household owners, there is an opportunity to improve the property value when reducing the bills.

Smart Heating Controls in ECO5

Smart thermostats are not just things. They play a big role in reducing wasted energy. Eco5 is expected to expand the support for smart control. This may include smart radiator valves, intelligent thermostats, and connected apps.

With smart heating control in Eco5, the family can better do when and how they warm. For example, heating can only be determined if necessary, or the system can learn user habits. It reduces bills and cuts emissions.

Renewable Heating Incentives

Heat pumps will be central to Eco5. The air source pump scholarship will help to replace the traditional boiler. It is consistent with the widespread renewable heating thread that was introduced by the British government. 

While the boiler upgrade scheme provides direct supplementation, ECO5 will make these techniques more accessible to low -income homes.

Ground source heat pump, although more expensive, may also be involved in some cases. Changes in electric heating from gas operated by renewal are one of the largest parts of the UK’s net-zero strategy.

Solar Panel Grants in the UK

Solar panels have become cheap over the past decade. Eco5 is expected to give more houses access to solar panel supplements in the UK. This will not only cut bills, but will also provide more energy relief to families.

In some cases, storage of solar batteries can also be included. Although the details are not final, industry experts believe that solar-ECO5 with battery storage can be an option for high-carbon homes.

Carbon Footprint Criteria

The Eco5 will focus strongly on the criteria for carbon footprint. This means to see how much carbon is produced in a house. 

A home that uses old, low-efficiency heating systems. The goal is to cut domestic emissions in the UK and meet the goals of the Net-Zero Strategy UK.

Application Timelines for ECO5

ECO4 concludes in March 2026. The Eco5 scheme is expected to be launched in April 2026. The government usually runs a consultation before finalizing the details, so the ECO5 consultation is likely to be in 2025.

Families interested in searching should be prepared quickly. Checking EPC rankings, detecting salability, and collecting documents in advance will make the process even. Once the official guide is published, the installer and the energy supplier will begin to market ECO5.

How to Prepare for ECO5 Today?

Although Eco5 starts in 2026, home can prepare today. The first step is to check your EPC ranking. If your home is on leash d, e, f or g, you are more likely to be eligible.

Then consider your current heating system. If you are still using an old gas boiler, oil boiler or storage heater, ECO5 can help you replace it with a heat pump. Home without insulation or poor insulation should also be prepared, as these measures will still be covered.

Finally, follow the ECO5 consultation. The rules may change a bit, but the main focus will remain the same: High carbon houses with high carbon that help cut low bills and emissions.

Benefits of ECO5 for UK Households

The ECO5 Scheme will provide many benefits for households:

  • Lower energy bills thanks to better insulation and renewable heating.
  • Warmer, more comfortable homes.
  • Access to modern technology like smart thermostats and solar panels.
  • Higher property values due to improved EPC ratings.
  • A direct role in reducing the UK’s carbon emissions and supporting the net-zero strategy.
 

For vulnerable households, ECO5 could mean safer, healthier homes. For landlords, it means meeting legal requirements. For the country as a whole, it means progress towards a greener future.

Final Thoughts

The ECO5 Scheme 2026 is an important step for UK households. It builds on ECO4 but expands support for renewable technologies, smart controls, and high-carbon footprint homes. With grants for heat pumps, insulation improvements, smart thermostats, and solar panels, ECO5 will play a major role in the UK’s net-zero strategy.

If you are a homeowner or landlord, now is the time to prepare. Check your EPC rating, review your heating system, and keep an eye on the ECO5 consultation. With the right preparation, you can benefit from energy efficiency grants in the UK and enjoy lower bills, warmer homes, and a cleaner future.

FAQs

Will ECO5 include solar battery storage?

Solar battery storage is not yet confirmed, but many industry experts expect it to be included for high-carbon footprint homes. It would work alongside solar panels to store excess energy and increase independence from the grid.

Can I apply for ECO5 if I’ve had ECO4?

Yes, in many cases. ECO5 is expected to allow households that received ECO4 measures to apply again if they still need upgrades. For example, if you received insulation under ECO4, you may still qualify for a heat pump or solar panels under ECO5.

What are smart controls?

Smart controls are modern systems that help you manage heating more efficiently. They include smart thermostats, radiator valves, and mobile apps. These controls reduce wasted energy and lower bills.

Can I combine ECO5 with GBIS or BUS grants?

Yes, it may be possible. ECO5 will likely work alongside the Great British Insulation Scheme and the Boiler Upgrade Scheme. Households may be able to use multiple grants to cover different parts of their upgrade.

What is the EPC criteria for ECO5?

Homes in EPC bands D to G will continue to be the focus. The government wants to raise homes to at least EPC band C by 2035, so lower-rated homes will benefit most.

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