March 2022: ECO4
The Energy Compliance Obligation (ECO) has entered its fourth iteration, which began in March 2022. This will run until 2026 and will help so many homeowners save money on their monthly bills.
What do we currently know about the scheme and how will it differ from the current ECO3 iteration? Let’s dive in to the most recent consultation as we give you a round up of what to expect in the next six months.
ECO4 Newsletter Round-Up
November 2021
This month saw the Committee for Fuel Poverty comment on the consultation released in September by the Government about their current plans for ECO4. We also take a look at how air-source heat pumps have shook up the media and got people talking about how they could save money and do their bit for the planet.
ECO4 Consultation Information - September 2021
Round-Up
The points listed below are not final and are part of the consultation. This will give you an idea of what the Government is looking to do with ECOs 4th iteration and what ECO might look like going forward.
ECO will run from 2022-2026 and will cost £4 billion, £1 billion per year.
During ECO4, the Government have a target to have all homes in the UK up to an EPC band of D (2025).
Under ECO3, 25% of measures are delivered under LA Flex. This is now changing to 50% to help more of those off of benefits but are still classed as a ‘low-income’ household.
Under ECO3, the grant awarded is based on the lifetime savings of the insulation/heating is installed, however, under ECO4, this will be changed to how big the difference is between energy performance ratings.
The Home Upgrade Grant (HUG) will work alongside ECO4 to help roll out of important measures for those most vulruable.
The list of qualifying benefits will be changing. The list can be found below.
No more LPG or Oil tanks can be installed. A larger focus is being put on repairing current heating systems such as mains gas central heating and modern electric storage heaters.
In order to get first time central heating, you will be required to have some sort of solid wall insulation- this could be internal wall or external wall insulation.
If you are offered first time central heating, you will be required to take all insulation measures offered.
Innovative Measures (IM) such as heat pumps and solar panels will now be more widely offered.
ECO4 Eligibility
You will qualify if you are on are in receipt of one of the following benefits:
If you don't have a qualifying benefit, you may qualify by:
Universal Credit
Child Tax Credit / Work Tax Credit
Pension Credit
Income-Based Job Seekers Allowance
Income Related Employment and Support Allowance
Income Support
Housing Benefit
Pension Credit Savings Credit
Being in a “low-income” household
Over the age of 65
Have a child under the age of 5
Have a serious illness
In receipt of child benefits
This means that a lot of benefits around disability will be removed.
The Government's rules have changed so that more people can qualify under LA Flex.
Child Benefit
One Parent Couple
1 Child
£19,800
£27,300
2 Children
£24,600
£32,100
3 Children
£29,400
£36,900
4 Children or more
£34,200
£41,700
Going Forward with ECO4
Why should I keep up to date with ECO4?
ECO4 is still in its consultation phase which means that it’s not been finalised yet. More funding may be available for those who currently don’t qualify for ECO3. With more funding due to be delivered by the Flex scheme, this means that more money will be available to claim who aren’t receiving a benefit.
4 Children or more
When the scheme kicks off in March 2022, we’ll immediately have to start following the guidelines set by the Government. This means that a lot of people who are currently on disability benefits may no longer be eligible. Apply today and we’ll find out if you’re eligible!
What can we offer you?
At AGH, we’ve been helping people keep warm for over 20 years. Now, with the ECO Government scheme, we are able to offer partially or fully-funded insulation, boiler services or even an entirely new central heating system. This has allowed us to install thousands of measures.
