ECO 4 – Bite Size

ECO 4 – Bite Size … Update.

The latest data:

• 14.5 million properties have cavity wall insulation circa 70%.
• 16.8 million properties have loft insulation circa 66%.
• 794,000 properties have solid wall insulation circa 9%.

The funding:

• ECO will run from 2022- March 2026 and will cost £4 billion, £1 billion per year.

What you need to know:

• Only homes with an energy efficiency band of D to G will be eligible for ECO 4.
• The minimum requirement will be for F & G bands to be increased to D and for E & D bands to be increased to C.
• For Social Housing and the Private Rented Sector (PRS), ECO 4 will support the least efficient homes in bands E to G only.
• A broken boiler and electric storage heating (ESH) replacement cap for efficient heating will be set at  5,000 per year. Inefficient heating systems upgraded with efficient heating will not be subject to a cap. Repairs will be capped at 5,000 homes per year, subject to certain conditions.
• A minimum target of improving 150,000 private tenure homes in E, F & G bands to a minimum target of D.
• A solid wall minimum target of 90,000 solid wall measures over the 4-year scheme, this will include both internal wall and external wall insulation.
• In order to get first time central heating, you will be required to have solid wall insulation, either internal wall or external wall insulation.
• ECO 4 will be a PAS (Publicly Available Specification) led fabric first approach, therefore compliance with PAS 2030 and PAS2035 will be required.
• There will no longer be the replacement or installation of Oil or LPG tanks.
• A new higher uplift of 45% for improved innovation measures.
• 35% off-gas rural uplift for Scotland and Wales.
• LA-Flex, which will be known as ECO4-Flex will be increased to 50% for energy companies. Energy companies are allowed to use ECO4 Flex to obtain up to 50% of their obligation, which is designed to target households on low incomes, but not in receipt of benefits.
• A new higher uplift for innovation measures of 45%.
• There will be a score uplift of 35% for off-gas rural areas in Scotland and Wales.
• 10% of ECO3 delivery may be carried over into ECO4, between 1 April 2022 and 30 June 2022, measures may be installed to ECO3 rules, subject to certain measure exclusions.

The target:

• 800,000 measures.
• 450,000 homes will be treated.
• 360,000 homes upgraded to Band C.