Are you eligible to receive a Government Energy Saving Grant to improve the EPC Rating of your property?
Andrew Williams from Energy Saving Grants explains about the Government grants available for private landlords to improve the energy efficiency of their properties and comply with Minimum Energy Efficiency Standards (MEES).
To meet carbon emission reduction targets and to help reduce fuel poverty in the private rental sector, the UK Government introduced MEES regulations, which currently require privately rented properties to achieve a minimum of an E rating – although this is proposed to increase to a minimum EPC rating of a C in the future.
The Government has also introduced a number of funding initiatives to help private landlords and homeowners improve the energy efficiency of their properties. These include the Energy Company Obligation (ECO) scheme, the LA Flex scheme, the Great British Insulation Scheme (GBIS), the Home Upgrade Grant (HUG) and the Boiler Upgrade Scheme (BUS).
Energy Saving Grants are able to guide landlords through the funding application process, which can often be very confusing.
What energy saving measures are available via the Government Grant schemes?:
To meet Net Zero, the Government is phasing out the use of fossil fuels and are providing grants for properties to switch to renewable energy including Solar and Heat Pumps. There is currently up to 100% funding available for the following energy saving measures for eligible properties:
- Solar PV panels: PV panels provide free electricity for the property. Landlords will also benefit from an additional income stream by being able to sell excess electricity back to the National grid, via the Smart Export Guarantee.
- Air Source Heat Pumps: An ASHP is powered by electricity and provides hot water and central heating for a property. An ASHP is normally installed in conjunction with Solar PV panels, as the solar provides the electricity to power the heat pump.
- Electric Storage Heaters: These are generally installed in smaller properties such as flats, which may not be suitable to have an ASHP installed.
- Loft Insulation
- Cavity Wall Insulation
- Solid Wall Insulation (both Internal Wall Insulation and External Wall Insulation)
Who can apply for a Government Grant?:
The various grant schemes have differing eligibility criteria.
The Great British Insulation Scheme (GBIS) provides funding for cavity wall insulation or internal wall insulation for eligible properties which have an EPC rating of D or below; and a Council tax band of A-D (in England) or A-E (in Wales and Scotland). The scheme also provides funding for additional heating controls such as thermostats or TRVs to be installed, if an insulation measure is being installed at the property.
The ECO Scheme provides funding to increase the energy efficiency of properties that are not connected to the mains gas grid and which have to rely on more expensive forms of fuel such as Oil, LPG, Solid fuel (including wood and Coal), or use electric room heaters or old inefficient storage heaters.
Although some of the grant schemes require applicants to be in receipt of a benefit to apply for funding, the good news is that Energy Saving Grants are able to help some people obtain funding even if they are not in receipt of any tax credit or benefit, although this funding scheme is dependent upon the Council area in which the property is situated. Another important requirement is that the property is occupied, as the eligibility for a grant is based upon the personal circumstances of the tenant. Therefore landlords are unable to apply for an energy saving grant for a vacant property.
There are three main criteria that have to be met for the property to qualify for funding:
- The property needs to have an Energy Performance Certificate (EPC) rating of D, E, F or G. Unfortunately the funding is not available to properties that have an existing EPC rating of A, B or C as these properties are already energy efficient. If the property does not have an EPC then Energy Saving Grants can arrange for an energy assessment to be carried out.
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The ECO Scheme funding is directed at properties which use Oil, LPG, Electric, Coal or Wood for heating.
If the property already has Mains Gas Central Heating it would not qualify for funding for Solar or Heating unfortunately. However, the Great British Insulation Scheme can provide funding for cavity wall insulation or internal wall insulation to be installed if the property meets the eligibility criteria. -
Any tenant living in the property must meet one of the following three conditions:
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A tenant with a long term health condition, for example asthma, arthritis, a disability, depression, diabetes etc (a G.P. is required to sign a form as evidence of this).
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The total income of the property is below £31,000 per year
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If any tenant living in the property is in receipt of one of the following tax credits or benefits:
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Child Tax Credit
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Working Tax Credit
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Universal Credit
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Housing Benefit
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Income Support
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Pension Credit
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Income based Job Seekers Allowance
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Income related Employment and Support Allowance
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Child Benefit* (*subject to number of children in property and income thresholds)
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How can a landlord apply for funding?:
For more information of the grants available, you can visit their website at: www.energysavinggrants.org and complete the Eligibility Grant checker. Landlords can also contact Energy Saving Grants on 03302230333
If your property and tenant meets the criteria listed above, they will arrange for a free, no obligation retrofit survey to be carried out on the property to assess its suitability for energy saving measures to be installed.
Important Information
The benefit criteria are based on the tenant and any other occupier who is registered as living in the property. The funding is only available in England, Scotland and Wales. Energy Saving Grants are unable to obtain funding in Northern Ireland. They are unable to obtain funding for listed buildings. Funding is only available for HMOs if the total area of the property is under 200m2. All grants are subject to a no-obligation survey of the property. Any work will be installed by a Trustmark accredited installation company and all work is guaranteed for up to 25 years (dependent on the measure installed). Funding is strictly allocated on a first come, first served basis. Any funding that the property receives does not have to be re-paid.
