What is ECO4? We explain the scheme and reveal regional disparities that are emerging

New data has revealed sharp regional disparities in the adoption of energy efficiency measures under the ECO4 scheme.

Research from the City Energy Network (CEN) shows significant differences across regions, with the North-West leading the nation – 135 out of 1,000 homes receiving energy efficiency upgrades – while the South-East lags with only 58 per 1,000 homes.

One reason for this disparity may be that many homeowners are unaware they qualify for the scheme, which helps combat energy price rises. We explain how to check if you qualify and guide you through applying for the ECO4 scheme.

What is the ECO4 scheme?

ECO4 is a government programme aiming to improve energy efficiency in the UK's least efficient homes, cutting energy usage and reducing bills.

By installing better heating systems and improving insulation in homes it helps families and individuals keep warmth in, reducing the need for electricity and gas.

Joining ECO4 means saving money on utility bills and contributing to environmental conservation by creating more eco houses.

Participants can receive free upgrades like a new heating system, loft, underfloor and cavity wall insulation, smart thermal controls, solar panels, or air source heat pumps, all fully funded by ECO4.

Regional differences in ECO4 uptake

The CEN has revealed significant regional disparities in the uptake of energy efficiency improvements under the government's ECO4 scheme.

According to CEN's analysis, while 135 homes per 1,000 in the North-West of England have benefitted from upgrades like insulation and heat pumps, the South-East lags far behind with just 58 per 1,000 homes receiving improvements. The full list for installations per 1,000 homes is as follows:

• North-West England 135
• Scotland 131
• North-East England 128
• Wales 96
• East of England 63
• South-East England 58

CEN’s CEO, Paul Screen, highlighted the scheme's overall success but pointed out that certain regions are missing out on its benefits. "ECO is a fabulous scheme that makes homes warmer and greener, and we’re delighted to be one of the leading providers nationwide," said Screen. "But not all parts of the country are seeing the full benefit yet, so we’ve all got more work to do."

As energy prices rise, Screen emphasised the importance of accelerating efforts across all regions: "Everyone feels the pinch from rising energy prices. The cheapest energy is the energy you don’t use, so doing more to make Britain’s homes warmer and greener is a no-brainer."

Who is eligible for the ECO4 scheme?

If you receive certain benefits like Pension Credit, Universal Credit, or Housing Benefits, you're eligible for the ECO4 scheme.

You can also qualify if you get Child Benefit and your yearly income is below a certain level.

If you don't receive these benefits, you might still qualify through your council's ECO4 Flex rules. These rules apply if your yearly income is under £31,000, you have a health condition worsened by living in a cold home, or you're vulnerable to cold home effects.

To be eligible for the ECO4 scheme, your Energy Performance Certificate rating (EPC), must be D, E, F, or G. You can use the energy performance certificate register to find your property’s energy efficiency rating.

To receive an ECO grant a registered installer will also need to survey your home to ensure it meets all necessary criteria.

How to apply for the ECO4 scheme?

You can contact your local council to find out if they’re taking part in the Energy Company Obligation (ECO) scheme.

You can also contact an energy supplier directly or see which suppliers are taking part in the scheme on the Ofgem website.

The scheme is active until March 31, 2026.