
The Complete Guide to the ECO4 Scheme in Scotland
What is the ECO4 Grant?
ECO4 is the fourth and latest addition to the UK Government's Energy Company Obligation (ECO) scheme, which started in 2013. The government has decided to extend this grant for four more years, until March 2026, as part of its Sustainable Warmth Strategy. So, what's the ECO4 grant all about? At its core, it's designed to provide support to low-income or vulnerable households that struggle with the costs of upgrading their homes and heating systems. This way, people can enjoy warmer homes without high energy bills. However, the ECO4 grant is more than just a financial relief programme. It's a strategic effort to combat fuel poverty and reduce carbon emissions across the country. It's a win-win for both homeowners and the country. With the ECO4 scheme, Scotland residents can benefit greatly given the country's often harsh and cold climate, leading to high heating demands.

ECO4 Scheme For Heating Systems
ECO4 is here to support your shift to more sustainable heating options, like air-source heat pumps or combi boilers in your home. These are not only a smart update from older, less efficient boilers, but they can also cut your energy bills by 25%! However, not all boilers need to be replaced. Sometimes, a good repair is all they need. That's why ECO4 also offers funds to repair and upgrade current boilers, helping them last longer and work at their best. Plus, 'boiler repair' under ECO4 isn't just a quick fix. It encompasses a range of services, including diagnostics, cleaning, and necessary repairs. In addition to this, ECO4 also provides qualifying households who have never had a central heating system before with the chance to get an air-source heat pump. This aspect of ECO4 is known as the 'First Time Central Heating Grants Scheme'. Designed to replace traditional boilers, air-source heat pumps are the latest in renewable heating. They don't rely on gas or oil but use electricity to pull heat from the outside air. It's incredibly efficient and better for the planet.
ECO4 Scheme For Insulation
Proper insulation is key to keeping your home warm and your energy bills down. It keeps the heat inside, meaning you don't have to spend as much on heating. With the ECO4 scheme, the priority is a "fabric-first" approach. This means the focus is on making the building's very structure better at keeping heat in, even before thinking about updating the heating systems. If your home's energy-efficiency rating is 'E' or lower, it must have loft insulation, roof insulation, internal wall insulation, and cavity wall insulation installed. Did you know that roughly 25% of the heat generated by your boiler and heating system escapes through the roof and attic? It is a major loss, both in terms of warmth and energy bills. Thankfully, the ECO4 scheme covers the cost of adding insulation material to lofts to the recommended 277 mm depth. Additionally, if you have a functional room in your roof, like a loft conversion or attic room, you may qualify for a room in roof insulation too. What about the walls? They're just as crucial. Cavity wall insulation serves as a barrier to heat loss, helping to reduce your energy bills and carbon emissions. However, not all properties have cavity walls, especially older ones. Here, solid wall insulation offers a practical alternative.
ECO4 Scheme for Solar Panels
Solar panels are becoming an increasingly popular choice for many looking to embrace renewable energy. By using solar photovoltaic (PV) panels, you're both generating your own eco-friendly electricity and reducing your reliance on the national grid. Solar panels capture sunlight, transforming it into energy that powers household appliances, while even trimming heating bills by up to 60%. This makes them an excellent fit for buildings that receive regular sunlight, especially those in the southern regions of Scotland. For homes falling into the E, F, or G bands of the energy performance certificate (EPC) rating system, which typically face steep electricity bills, the ECO4 scheme might cover a major portion, if not all, of your solar panel costs.
Is the ECO 4 Scheme DifferentFrom the ECO 3 Scheme?
Who Qualifies for ECO4?ECO4 Scheme Eligibility
Now, how do you know if you qualify for this support?
Eligibility for this scheme depends on several specific criteria.
FAQs
Which energy suppliers fund ECO4?
Most of the large energy suppliers, specifically those with over 150,000 customers, fund the ECO4 scheme, including Scotland’s major energy suppliers like Scottish Power, OVO Energy, and SSE.
What types of energy-saving measures can be covered by ECO grants?
ECO grants can fund various home improvements for better energy efficiency, including insulation (like loft, wall, underfloor, or roof), heating upgrades, and renewable systems like air or ground source heat pumps. The exact options may vary based on your eligibility.