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Thousands of homes to get energy saving upgrades helping families stay warm and cut bills

Up to 170,000 homes in England will benefit from energy efficiency upgrades as the rollout of the Warm Homes Plan gathers pace, helping more families lower their energy bills and improve their homes.

£1.8 billion in government support will from 11 March be allocated to local authorities and social housing providers, in a new boost which will support them to deliver warmer, more energy efficient homes in local communities across England.

This funding will be targeted towards low-income households and tenants living in social housing, with thousands of families set to receive energy performance and clean heating upgrades in the form of insulation, solar panels and heat pumps.

At a time when many are experiencing high energy bills driven by the UK’s reliance on international gas markets, this funding through the Warm Homes: Local Grant and the Warm Homes: Social Housing Fund schemes could now help households save hundreds of pounds a year.

This move will help deliver a milestone of higher living standards in every part of the UK by the end of Parliament by boosting people’s Real Household Disposable Income – a key part of our Plan for Change.

Minister for Energy Consumers, Miatta Fahnbulleh, said: “Living in a warm, comfortable home should not be a luxury. It is a right that has been out of reach for too many people for too long.

“By giving this funding to local authorities and social housing providers we are delivering on our promise to improve the homes of thousands of people across England.

“As part of our Plan for Change, we are powering on with our Warm Homes Plan, upgrading cold and draughty homes so they are warmer, cleaner, and cheaper to live in.”

The Warm Homes: Social Housing Fund will deliver up to £1.29 billion of funding to 144 projects across England with the Warm Homes: Local Grant allocating £500 million to 73 projects across 270 local authorities over the next three years.

The West Midlands Combined Authority (WMCA) and the Greater Manchester Combined Authority (GMCA) will receive an allocation of this funding as part of the Warm Homes and Public Sector Decarbonisation Devolution Programme.

This funding complements the government’s mission to make Britain a clean energy superpower, delivering energy security and bringing down bills for good.

The expected rise in the price cap shows once again the cost of remaining reliant on the unstable global fossil fuel markets that are driving price increases.

The funding allocations follows the recent announcement on the Warm Homes Discount with almost 3 million more households, including almost 1 million households with children, becoming eligible for £150 to pay their energy bills next winter, as the government consults on proposals to offer more support to consumers across the country.

This comes after other government support to deliver warmer, more energy efficient homes and protect consumers, including:

• Consulting on plans to mandate private landlords in England and Wales to improve the energy performance of their properties by 2030, saving private renters £240 per year on average on their energy bills.

• Setting out a £500 million Winter Package with Energy UK to help customers with their energy bills.

• Extending the Household Support Fund to help vulnerable households with essential costs like food, energy, and water bills.

• Helping more families get a heat pump by almost doubling the budget for the Boiler Upgrade Scheme in the next financial year to £295 million, along with allocating an extra £55 million for the rest of this financial year. And removing the rule requiring heat pumps to be installed at least one metre from a property’s boundary.

 

11 March 2025

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