Landlords Apply for First-Time Heating

The ECO4 scheme helps landlords in Great Britain make their rental homes more energy-efficient. It’s part of the UK’s Energy Company Obligation and can pay for new heating systems in homes that don’t have them yet.

The scheme runs until March 2026. It aims to cut fuel bills for tenants and reduce carbon output while making homes warmer and more comfy. With support from central heating grants, landlords can upgrade their properties without bearing the full cost themselves.

This guide will show you how to get first-time heating support as a landlord through ECO4. You’ll learn:

  • Who can apply
  • What heating systems can you get
  • How to fill out forms and get approved
  • What happens during the installation

What is The ECO4?

The Energy Company Obligation (ECO) is a UK government plan that makes big energy firms help cut carbon and reduce fuel poverty. ECO4 is the newest version and builds on what worked in past programs.

Under ECO4, large energy suppliers must fund home energy upgrades. They focus mainly on homes where people with low income or other needs live.

Key features that make ECO4 stand out include:

  • It looks at the whole house, not just one part
  • It targets the coldest homes (rated D to G on energy tests)
  • Homes must get much better after work is done
  • It runs for four years (April 2022 to March 2026)

Why Should Landlords Consider ECO4?

As a landlord, you might wonder if ECO4 is worth your time. For most rental owners, it offers big gains with little downside.

ECO4 brings many perks that help your business and your tenants:

  • Your property value goes up
  • Tenants stay longer in warm, comfy homes
  • You meet the legal rules for rental homes
  • You get money for upgrades, but you might need to pay for them anyway
  • You help the planet by cutting carbon output

Have you thought about how much your tenants might save on heating bills? Or how a warmer home might make them stay longer? These benefits add real value to your rental business.

Eligibility Criteria for Landlords

Here is the simple criterion for the Landlords to qualify for the ECO4 scheme grants in 2025. 

Tenant-Based Eligibility

For your property to get ECO4 help, your tenants need to fit certain criteria. This is the first thing to check before you apply.

Your tenants can qualify if they get any of these benefits:

  • Universal Credit
  • Pension Credit
  • Child Tax Credit
  • Working Tax Credit
  • Income Support
  • Jobseeker’s Allowance (income-based)
  • Employment and Support Allowance (income-related)
  • Housing Benefit

Even if your tenants don’t get these benefits, they might still qualify if your local council thinks they have low income or other needs.

Property-Based Eligibility

Your rental property must also meet some basic rules to get ECO4 funding. The main things to check are simple but strict.

For your property to qualify, it must:

  • Have an Energy Performance Certificate (EPC) rating of D, E, F, or G
  • Not have central heating if you want first-time heating help
  • Or have very old, poor heating that needs replacing

First-Time Heating Specific Requirements

If you want to add heating where none exists, there are a few extra rules. These make sure the new system will really help the home.

To get a first-time heating system, your property must:

  • Do not have any working central heating now.
  • Get much better energy ratings after the new system goes in.
  • Be suited for the type of heating system you plan to install.

Types of Heating Systems and Upgrades Available

ECO4 can fund many kinds of heating systems and extras. This gives you options based on your property type and location.

The scheme helps pay for first-time installations of these systems:

Traditional Heating Systems

  • Gas central heating (if gas pipes run nearby)
  • Oil boilers (good for rural homes with no gas lines)
  • LPG boilers (another choice for homes far from gas lines)

Gas heating works well in towns and cities where gas pipes are in place. Oil and LPG systems help rural homes stay warm when there’s no gas nearby.

Renewable Heating Technologies

  • Air source heat pumps
  • Ground source heat pumps
  • Solar hot water systems

These green options cost more to install but less to run. They also cut carbon output, which helps the planet and may appeal to eco-minded tenants.

Supporting Upgrades

  • Heating controls (timers, room stats, valve controls)
  • Hot water tank wraps
  • New radiators
  • New pipes

These extras help the main heating system work better and save more energy. Good controls let tenants heat only the rooms they use, when they need them.

Heating System Setup Cost Running Cost Earth Impact Best For
Gas Central Heating Medium Low-Medium Medium Town homes with gas pipes
Oil Boiler Medium-High Medium-High High Rural homes without gas
LPG Boiler Medium Medium-High Medium-High Rural homes without gas
Air Source Heat Pump High Low Low Well-sealed homes
Ground Source Heat Pump Very High Very Low Very Low Homes with big yards

The Application Process for Landlords

Getting first-time heating through ECO4 takes several steps. Here’s a simple breakdown of what happens and when.

Initial Assessment

First, check if your property and tenants meet the basic rules we talked about earlier. This quick check saves time and prevents letdowns later.

Things to verify at this stage:

  • Your tenant’s benefit status or income level
  • Your property’s EPC rating
  • The lack of central heating in the home
  • Any local council schemes that might help

Finding an Approved Installer

Next, you need to find an installer who’s approved to do ECO4 work. Not all heating firms can access the funding, so this step matters a lot.

Look for installers who have:

  • TrustMark registration
  • PAS certification for the work they’ll do
  • Past success with ECO funding
  • Good reviews from other landlords

Many good installers will check your property for free to see what systems would work best and how much funding you might get.

Property Assessment

When you pick an installer, they’ll visit your property to check it thoroughly. This helps them plan the right system for your needs.

During this visit, they’ll:

  • Check how energy-efficient your property is now
  • Decide which heating system fits best
  • Figure out how much the energy rating will improve
  • See if other upgrades might be needed too

This survey usually takes a few hours. You or your tenant will need to let them into all rooms of the property.

Application Submission

Your installer will handle most of the paperwork for you. This is one of the biggest perks of the process – you don’t need to deal with complex forms.

The installer will typically:

  • Gather all needed proof (from you and your tenant)
  • Send forms to the energy company that will fund the work
  • Talk with others involved (energy firms, local councils)
  • Keep you updated on progress

The application might take a few weeks to process, so patience helps at this stage.

Approval and Installation

Once your application is approved, your installer will set dates for the work. The installation is the most hands-on part of the process.

During this phase, they will:

  • Install your new heating system
  • Add any extra items (controls, insulation)
  • Make sure everything meets safety rules
  • Tidy up after the work is done

The work could take from 1-5 days, depending on the system type and property size. Your tenant might need to be home during this time.

Conclusion

The ECO4 scheme gives GB landlords a great chance to add first-time heating to properties. By understanding the rules, following the steps, and working with good installers, you can make your properties warmer and worth more.

With the scheme running until March 2026, now is the perfect time to check if your properties qualify. You’ll help tenants stay warmer for less money, boost your property values, and do your bit for the planet.

By logan01