This week’s budget announcement that a scheme designed to fund energy efficiency measures for those on low incomes will not be renewed next year means the government’s delayed Warm Homes Plan must be published in early 2026, says insulation specialist Actis
While the money saved by not renewing the Energy Company Obligation scheme will instead be used to help reduce fuel bills and thus offer immediate financial help, it is vital to tackle the root of the problem to provide a long-term solution, like the Warm Homes Plan renewal or replacement, to unnnecessary energy use, says Actis UK and Ireland sales director Mark Cooper.
“The reduction in energy bills is to be welcomed, but the announcement that the current ECO4 will not be replaced when it expires at the end of March means it’s important to come up with an alternative before we reach the cut-off date.
“The aim of the ECO scheme was to help lower income householders enjoy a more comfortable living environment and smaller energy bills for decades to come, as well as helping cut carbon emissions,” he said.
Many are still waiting to see what replaces the Warm Homes Plan
The Energy Company Obligation scheme, a government initiative which sees utility companies obliged to reinvest some of their profits into energy efficiency measures, was due to end on March 31st 2026, but a similar scheme was expected to be set up to replace it under the Warm Homes Plan.
Due to have been published in October and then November, and now pushed back to an unspecified date, this was to include details of funding available to help 300,000 households pay for measures such as insulation, as well as heat pumps and boiler upgrades.
“What is vital is to address the thermal efficiency of the fabric of any building under the ‘fabric first’ principle. We must insulate not generate. Fuel bills should be reduced at source – by not generating the energy in the first place,” said Mark.
“We hope the Warm Homes Plan, when it is published, will offer more fabric first options to help householders save money while also protecting the environment via fabric first measures,” said Mark.
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