For more than a decade, the British government has been running energy-efficiency schemes to assist low-income households in lowering bills and carbon emissions. One of the important schemes is the Energy Company Obligation (ECO), which major energy suppliers fund energy-saving home upgrades. The current stage, ECO4, will end in March 2026. However, the ECO5 Scheme UK 2026, the next chapter, starts in April 2026. The questions of what Eco5 will cover, who will be eligible, and how it relates to the UK’s broad net strategy are already being asked by homeowners, landlords, and installation programs.
This blog provides a brief description of the ECO5 scheme, along with new energy-saving features including heat pumps, solar panels, smart thermostats, insulation upgrades, and more. Check your ECO5 eligibility today with the Free Boiler Scheme. Don’t wait until 2026 to start preparing.
A Quick Look Back: The History of Eco Schemes
The eco scheme was started in 2013 with several phases.
- ECO1 and ECO2: Mainly focused on providing low-income households with free boiler upgrades and free insulation.
- ECO3: Expanded eligibility, making it easier for low-income families to apply.
- ECO4 (2022-2026): Prioritises long-term carbon savings and requires homes to have an EPC rating of D, E, F, or G to qualify. It mainly covers boiler upgrades, insulation, and some heating systems.
The Great British Insulation Scheme (GBIS) and the Upgrade Scheme (BUS) are two government-backed schemes that work alongside Eco4. This will assist the homes to work on energy controls and renewable solutions. As we discussed above, the Eco5 scheme will launch in April 2026, with mainly focus on renewable energy saving upgrades and high carbon homes.
What Is Included in the ECO5 Scheme?
Said, the most frequently requested question is: What is the ECO5 cover? We have a clear idea of what to expect from the industry conversation and advisory job, even though the government has not yet made all the details public.
ECO5 will probably consist of:
- Heat pumps (Ground-Source and Air-Source): It is anticipated that heat pumps would play a significant role in ECO5. Reducing reliance on fossil fuels is made possible by these systems. Supplements for air source pumps will assist households in switching to greener alternatives to outdated gas or oil boilers.
- Solar panel: Under ECO5, the UK solar panel scholarship might become broadly accessible for the first time. It will allow homes more control over how much energy they use, especially when combined with smart thermostats and even solar battery storage.
- Insulation Upgrades: ECO has always placed a strong emphasis on insulation. With improved technology and a greater emphasis on hard-to-treat homes,
- Smart heating control: Smart Eco5 thermostats will make it easier for homes to control their heating. Apps, programmable thermostats, and even thermostats that pick up smart controls and install them automatically may fall under this category.
Smart controls, solar energy, insulation, and renewable heating will all work together under the Eco4 scheme to save costs, increase comfort, and get the UK closer to net-zero.
What Makes ECO5 Different from ECO4?
With an emphasis on EPC bands D through G, Eco4 aims to upgrade the least energy-threatened home. Instead of focusing on a single, closed metric, it strongly emphasised improvement across the house. Eco5 will continue to have many of these opinions.
- The addition of solar panels and intelligent energy control is the primary distinction. The UK solar panel scholarship was not covered under Eco4’s primary structure.
- Eco5 will alter that. Another distinction is that Eco5 permits the reuse of existing EOCO4 improved homes, particularly if they still require modification.
This makes ECO5 one of the most ambitious government energy efficiency schemes the UK has ever launched.
ECO5 Eligibility Criteria
Although final rules are pending, eligibility is expected to look like this:
- Your home has an EPC rating of D, E, F, or G.
- You are a homeowner or a private tenant with landlord permission.
- You receive qualifying means-tested benefits such as Universal Credit, Pension Credit, or Child Tax Credit.
- Your property has outdated or inefficient heating (e.g., gas boilers over 15 years old, oil boilers, or storage heaters).
- You live in England, Scotland, or Wales (ECO5 is not expected to apply in Northern Ireland).
Check your EPC certificate today to see where your home stands.
ECO5 Application Timelines
- March 2026: Eco Scheme will end.
- April 2026: The Eco5 scheme will officially start.
- 2025: Eco5 consultation is expected, where the government will publish final details.
Free Boiler Scheme connects you with local ECO-approved installers in England, Scotland, and Wales.
How can you prepare for ECO5 Today?
Even if Eco5 doesn’t start until 2026, homes can get ready now.
- To start, find out your EPC ranking. You have a better chance of qualifying if your house is on leash D, E, F, or G.
- Next, think about the heating system you currently have. ECO5 can assist you with replacing your outdated gas boiler, oil boiler, or storage heater with a heat pump.
- Since these steps will still be covered, homes with inadequate or no insulation should also be ready.
In conclusion, adhere to the ECO5 consultation. Although there may be some changes to the regulations, the primary goal will still be the same: high-carbon homes that contribute to lower emissions and expenses.
Final Words
For households in the UK, the ECO5 Scheme 2026 is a significant milestone. Building on ECO4, it adds support for smart controls, renewable technology, and homes with a high carbon footprint. With funding for solar panels, smart thermostats, insulation upgrades, and heat pumps, ECO5 will be a key component of the UK’s net-zero plan.
Now is the time to get ready if you are a landlord or homeowner. Check your heating system, check your EPC rating, and monitor the ECO5 consultation. Check your eligibility with the Free Boiler Scheme now to see if your home could qualify for free heating or insulation upgrades.
