The Warm Homes Plan 2026 — What It Means for Homeowners, Landlords and Businesses in Sussex
The UK government published the Warm Homes Plan on 21 January 2026 — the largest home energy upgrade programme in British history, backed by almost £15 billion of investment and targeting the upgrade of 5 million homes across the UK by 2030.
If you own a home, rent a property, manage a housing portfolio or run a business in Sussex, Surrey or the South East, this programme could significantly affect how you access funding for solar panels, battery storage, insulation, heat pumps and other energy efficiency improvements over the next five years.
This guide explains exactly what the Warm Homes Plan covers, what’s available right now in 2026, who qualifies, and how Electrotec Power Solutions — as a PAS 2030 accredited, MCS-certified and NICEIC-accredited contractor — can help you access the right scheme for your circumstances.
What Is the Warm Homes Plan?
The Warm Homes Plan is the UK government’s overarching strategy for improving home energy efficiency. It is not a single scheme you apply for directly — it is an umbrella programme that brings together multiple funding streams and schemes under one framework.
The plan has three core objectives:
- Reduce energy bills — helping households save up to £550 per year through efficiency upgrades and renewable installations
- Cut carbon emissions — accelerating heat pump, solar PV and battery storage adoption to support the UK’s net zero targets
- End fuel poverty — lifting up to 1 million households out of fuel poverty by 2030
Prime Minister Keir Starmer described it as a turning point that will “help slash energy costs and lift up to a million people out of fuel poverty.” Energy Secretary Ed Miliband called it a “national project to turn the tide” on the UK’s ageing, inefficient housing stock.
What Schemes Are Available Under the Warm Homes Plan in 2026?
The Warm Homes Plan is being rolled out in phases. Here is what is available right now and what is coming:
1. Warm Homes: Local Grant (Available Now — Via Your Local Council)
The Warm Homes: Local Grant is the most significant new strand of the plan for low-income households. It provides fully funded energy efficiency upgrades — including insulation, solar panels, battery storage and heat pumps — to eligible households via local councils.
Who qualifies:
- Household income of £36,000 or below, OR
- Property in an eligible postcode area, OR
- Receiving qualifying means-tested benefits
- Property must be privately owned with an EPC rating of D, E, F or G
What’s covered: Insulation, solar panels, battery storage, heat pumps, smart heating controls and other efficiency measures. Typical solar and battery packages costing £9,000–£12,000 can be covered in full for eligible households. Maximum upgrade value of up to £30,000 per property.
Important: This scheme is delivered through local councils — not directly through private installers. Contact your local council in West Sussex, East Sussex or Surrey to check your eligibility and register your interest.
2. ECO4 — Extended to December 2026
The Energy Company Obligation scheme (ECO4) has been extended to 31 December 2026. If you are on qualifying benefits or have an EPC rating of D or below, ECO4 remains the most accessible route to free energy efficiency upgrades right now — including insulation, solar panels and heating improvements delivered through accredited installers like Electrotec.
There is no successor supplier obligation after ECO4 closes. The government has shifted from supplier-funded programmes to direct grant funding through the Warm Homes Plan — so if you believe you may qualify for ECO4, it is important to act before December 2026.
3. Boiler Upgrade Scheme — Available Now Until 2030
The Boiler Upgrade Scheme (BUS) continues under the Warm Homes Plan, offering a £7,500 grant toward the cost of replacing a gas or oil boiler with an air source heat pump. This grant is available to all homeowners regardless of income and runs until 2030 with a budget of £2.7 billion.
4. Warm Homes: Social Housing Fund — For Housing Associations & Councils
The Warm Homes: Social Housing Fund (WH:SHF) supports housing associations and local authorities to improve the energy performance of social housing stock, with total funding of £754 million through 2026/27. Works can be delivered at street-scale or estate-scale to reduce costs and disruption.
Electrotec is a PAS 2030 accredited contractor eligible to deliver works under this fund for housing associations and local authorities across West Sussex, East Sussex and Surrey. If you manage social housing stock and are looking for a supply chain partner, contact us to discuss your programme requirements.
5. Consumer Loan Scheme — Launching April 2027
From April 2027 the government will introduce a Consumer Loan Scheme offering zero or low-interest loans for homeowners who want to install solar panels, battery storage or heat pumps but cannot afford the upfront cost. This scheme is aimed at households above the low-income threshold who do not qualify for free upgrades but still want to benefit from the programme.
What Technologies Does the Warm Homes Plan Cover?
The Warm Homes Plan specifically references and supports the following technologies — all of which Electrotec installs and maintains:
- Solar PV panels — rooftop solar is described as central to the government’s “rooftop revolution” ambition, with major growth targeted by 2030
- Battery storage — battery storage grants of £2,500 are referenced from 2026 to maximise self-consumption of solar energy
- Cavity wall insulation — a cornerstone of the fabric-first approach, with ongoing delivery through local grant schemes
- Loft insulation — part of the standard fabric improvement package
- Electric storage heaters — particularly relevant for off-gas-grid properties under local grant funding
- Heating controls — smart thermostats and programmable controls specified alongside heating measure upgrades
- Heat pumps — targeted at 450,000+ annual installations by 2030
What Does the Warm Homes Plan Mean for Landlords in Sussex?
The Warm Homes Plan has significant implications for private landlords. The government has confirmed that privately rented homes will be required to meet higher minimum energy efficiency standards by 2030 — meaning landlords who currently have properties at EPC E, F or G rating will need to invest in upgrades to remain compliant with forthcoming regulations.
For landlords, this means:
- Properties at EPC D–G rating should be assessed now to understand what works are required
- Accessing available funding through the Warm Homes: Local Grant (where tenants meet the eligibility criteria) could significantly reduce or eliminate the cost of compliance upgrades
- Electrotec provides EICR testing for landlord compliance alongside energy efficiency installations — offering a single contractor for multiple compliance requirements
- Early action is advisable — funding availability is not guaranteed and demand for accredited contractors is expected to increase significantly as the 2030 deadline approaches
What Does the Warm Homes Plan Mean for Local Authorities and Housing Associations?
The Warm Homes Plan represents what the National Housing Federation has described as an opportunity to invest in upgrades “at scale and pace” — offering long-term certainty for social housing providers planning decarbonisation programmes across their housing stock.
For councils and housing associations in West Sussex, East Sussex and Surrey, the Warm Homes: Social Housing Fund provides a funded route to delivering multi-measure retrofit works across housing portfolios — with PAS 2030 accredited contractors like Electrotec eligible to deliver the installation works within the PAS 2035 whole-house retrofit framework.
Electrotec welcomes enquiries from procurement teams, retrofit coordinators and housing managers looking to identify supply chain partners for Warm Homes Plan funded programmes across the South East.
What About the Great British Insulation Scheme?
The Great British Insulatio
