Sustainable Warmth Fund
Funding for low-income households to improve energy efficiency and reduce fuel poverty
The Sustainable Warmth Fund initially began life as a funding opportunity which combined two existing fuel poverty schemes and provided around £500m to Local Authorities across England and Wales to implement energy efficiency upgrades in homes that were occupied by low-income residents over the 2022-2023 financial year.
The two schemes that were combined to receive sustainable warmth funding were Local Authority Delivery Phase 3 (LAD3) and Home Upgrade Grant Phase 1 (HUG1). LAD3's objective was to improve the energy efficiency rating of mains gas heated homes that were occupied by low-income residents, while HUG1's scope extended to delivering energy efficiency upgrades to low-income households whose properties were not connected to the mains gas grid.
The sustainable warmth funding was to be used by successful applicants to purchase and install energy efficiency measures and low carbon heating solutions into domestic properties, with private and social landlords contributing towards the total cost of the upgrades where appropriate. Appropriate solutions included air source heat pumps, ground source heat pumps, biomass boilers and various types of home insulation, such as loft insulation and cavity wall insulation. All of these measures are designed to reduce heat loss, harness renewable energy sources, and improve residents' comfort while minimising the harmful effects of carbon emissions.
Why the Sustainable Warmth Fund Was Necessary
The UK government expressed its commitment to reducing fuel poverty in its 2021 fuel poverty strategy. In this strategy, it detailed a plan to reduce energy bills for low-income households and to improve the energy performance of the poorest performing properties in the UK's housing stock.
The subsequent Heat and Buildings Strategy allocated £950m to the Home Upgrade Grant project over a period spanning from April 2022 to March 2025. This funding recognised the hardship experienced by a large proportion of the general public as rapidly escalating energy costs drove hardworking families to make difficult financial decisions during the cost of living crisis, which began in 2021 and is still ongoing today.
Applications for HUG1 closed in 2023, but a new scheme, known as HUG2 has recently been announced and should be of interest to many UK households.
What is HUG2?
The Home Upgrade Grant Phase 2 (HUG2) is a new government grant scheme that aims to install energy efficiency and decarbonisation measures into eligible properties to reduce resident energy bills and air pollution. Enviro Energy are committed to helping install energy efficiency measures in homes across our service area.
HUG2 sticks closely to the guiding principles of the Sustainable Warmth Fund, delivering energy efficiency upgrades to low-income residents who are occupying owned or privately rented accommodation that has an EPC of D or below and that is not connected to mains gas.
For the purposes of HUG2, low-income is defined as a total annual household income of no more than £36,000. Finally, in order to be eligible for energy efficiency upgrades under this scheme, the property must be located within an eligible postcode area as set by the central government.
HUG2 will provide funding to install insulation and modern, renewable energy heating systems in order to deliver energy efficiency performance improvements and to decarbonise domestic systems.
How to Apply
As with all government grant schemes, full eligibility criteria is published online, and the team at Enviro Energy is always very happy to help interested parties to explore their eligibility for this, and any other government grant scheme for which we are an approved installer.
The application process is simple, and we are happy to guide you through it, step by step, ensuring that all necessary information is included to support your application and increase your likelihood of success. As approved installers, we are very keen to help our local residents to access the grant funding to which they are entitled and to perform the retrofit activities that will improve their comfort, health and finances.
If you think you may be eligible for the scheme, or would like to find out more, please contact us today.
What Our Customers Say
"My energy bills were so high until I found out about a boiler grant. The local installation company made the process quick and easy and I could not be happier with my new boiler. I've saved a significant amount!"
— Mrs Davis, Liverpool
"The whole process took just a few weeks. After applying, a local company contacted me within a few minutes to check my details and book my survey. In less than a fortnight my new boiler was installed."
— Mr Woods, Liverpool
"The engineers that fitted the new boiler were friendly and professional. Our heating system is now running efficiently and has already provided us with savings."
— J. Hughes, Liverpool
"We were unable to fund purchasing a new boiler ourselves, so we are so grateful to Enviro Energy. Our bills are now much more affordable – I would highly recommend checking if you are eligible for this scheme."
— K. James, Liverpool
Our Accreditations
Ready to Apply?
Find out if you're eligible for the Sustainable Warmth Fund and start saving on your energy bills today.