The Warm Homes Plan: What it means for you (and how we can help)

The UK Government has announced the new Warm Homes Plan, a major programme aimed at cutting energy bills and tackling fuel poverty by funding and financing home energy upgrades across the UK. With investment expected to be close to £15 billion, the ambition is to improve up to five million homes by 2030 with a strong focus on households that need support the most.

If you’re a homeowner, landlord, or tenant wondering what this could mean in practical terms, here’s a clear breakdown and how we can help you plan your new heating system.

Warm Homes Plan: the headlines

At a high level, the Plan signals three big changes:

• Fully funded grants for some low-income households to install energy-efficiency and low-carbon measures.
• Low and zero-interest loans for homeowners (regardless of income) to make upgrades more affordable upfront.
• Updated standards for rented homes, pushing more properties to be improved so they’re warmer, safer, and cheaper to run.

Grants for low-income households

One of the most important parts of the Plan is the intention to provide UK Government-backed grants for low-income and fuel-poor households. These grants will cover measures such as:

• Heat pumps
• Home insulation
• Draught-proofing
• Smart heating controls
• Solar panels
• Battery storage

Why this matters: for many households, the biggest barrier isn’t the desire to reduce bills, it’s the upfront cost. Removing or reducing that cost can make long-term bill savings achievable, especially where homes are currently hard to heat.

The Government’s aim is to lift a significant number of households out of fuel poverty through these improvements. However, the Government estimates that these improvements could reduce energy bills by £850 a year compared to a gas boiler with no other upgrades. The saving has been based on a 3-bedroom detached house that has:

• Installed an air source heat pump alongside solar panels and battery storage
• Switched to a time of use tariff that charges the battery during off-peak hours.

Any savings will ultimately depend on your property type, insulation levels, your heating system, and how you use energy day-to-day.

Low and zero-interest loans

The Plan also points toward wider support for homeowners through a new Warm Homes Fund, including low and zero-interest loans to spread the cost of upgrades over time.

The types of improvements mentioned include:

• Heat pumps
• Smart controls
• Insulation and draught-proofing
• Solar PV and battery storage

This is significant for households who don’t qualify for means-tested support but still want to reduce bills and improve comfort without paying everything upfront.

What about existing heat pump support?

If you’re in England or Wales, eligible homeowners may also be able to access the Boiler Upgrade Scheme grant of £7,500.

How we can help: We can talk you through your options for installing an air source heat pump and check your eligibility for the Boiler Upgrade Scheme. Just fill in your details below this post and one of our consultants will get in touch.

Renters and landlords: higher standards are coming

Renters often face a frustrating reality – the person paying the energy bills (the tenant) isn’t always the person who decides on upgrades (the landlord). The Plan aims to address this by introducing stronger standards to ensure rented homes are warmer and more affordable to run.

A key proposal is that landlords will need to improve properties to an EPC rating of C by 2030, with a stated spending cap referenced in the Plan for necessary upgrades. The government estimates that these simple measures will lift 400,000 families who live in private rented accommodation our of fuel poverty by 2030.

This is likely to increase demand for:

• Heating system upgrades (and better controls)
• Insulation improvements
• Draught-proofing and ventilation measures (especially in homes affected by damp and mould)

How we can help: If you’re a landlord, we can help you look to see if any of your properties are suitable for an air source heat pump. Get in touch today with our team for help and advice and a free no obligation quote.

When will grants and loans be available?

At the time of writing, the Government hasn’t confirmed exact dates for when new grants and loan products will open, saying more detail will follow later in the year.

If you’re considering improvements, it’s worth preparing now. Planning your heat pump installation will take time, especially if you have multiple properties.

Will the Warm Homes Plan apply across the whole UK?

Unlike some past schemes that were limited by region, the Warm Homes Plan is intended to support homes across the UK, with allocations referenced for Scotland, Wales, and Northern Ireland. There are also existing support routes that may already be available depending on where you live, such as:

• Scotland: Home Energy Scotland
• Wales: Nest Warm Homes Programme

In summary

The Warm Homes Plan signals a major shift in how home energy upgrades will be funded and delivered across the UK. With grants for lower-income households, low and zero-interest loans for homeowners, and higher standards for rented properties, the direction of travel is clear: warmer homes, lower bills, and a faster move to low-carbon heating.

While full details and timelines are still to be confirmed, now is the ideal time to start planning. Whether you’re a homeowner looking to upgrade your heating system or a landlord preparing for tighter regulation understanding the future changes helps you prepare.

If you’re interested in an air source heat pump for your property, our team is here to help. Get in touch for clear, practical advice and a free, no-obligation quote.

Get in touch today

If you’re ready to take the next step towards a more efficient and sustainable home, get in touch today.