Households in Wales in Council Tax bands A to E will be able to receive support under the Great British Insulation Scheme, after the government expanded eligibility beyond the A to C bands it had proposed in consultation. The decision was set out in the government response to the Energy Company Obligation, ECO+ 2023-2026 consultation, published in March 2023, which also renamed the scheme from ECO+ to the Great British Insulation Scheme1.
The scheme, which runs from 2023 to 2026, applies in England, Scotland and Wales1. Its general group covers homes with an Energy Performance Certificate rating of D or below that sit in Council Tax bands A to D in England and A to E in Scotland and Wales1. The government said the Welsh change was made to "better align the proportion of eligible homes in each nation"1. Eligibility in Wales moves from the A to C bands consulted on to A to E, raising the proportion of eligible homes in Wales from 57% to 87%1.
"Government has decided to expand eligibility in Wales from homes in Council Tax bands A-C, as proposed in the consultation, to Council Tax bands A-E."
The scheme has two eligibility groups. The general group covers homes with an EPC rating of D to G in the Council Tax bands above. The low-income group covers homes with an EPC rating of D to G that broadly mirror the household eligibility requirements of ECO4, meaning households on means-tested benefits or living in the least efficient social housing1. At least 20% of each supplier's annual phase target must be delivered to households in the low-income group1.
| Nation | General group Council Tax bands |
|---|---|
| England | A to D |
| Scotland | A to E |
| Wales | A to E (moved from A to C) |
The government estimates the scheme will make around 300,000 homes more energy efficient, primarily through insulation measures such as cavity wall insulation, and that households receiving insulation upgrades will see bills fall by around £300 to £400 a year on average1. A 20% rural off-gas uplift will apply in Scotland and Wales for the low-income group across all measure types1. The scheme has a £1bn budget, of which £59m, or 5.9%, is allocated to administration1.
Why it matters for households
For a home in Wales, the practical effect is that a household in Council Tax band D or E with a poor EPC rating now falls inside the general eligibility group, where previously the consulted proposal would have excluded it. That widens the pool of Welsh homes able to seek insulation grants in Wales and other home energy grants in Wales without needing to meet the means-tested benefit conditions attached to the low-income group. Insulation reduces the heat a home loses, which lowers the amount of energy needed to keep it warm and so reduces exposure to wholesale price movements over time. The scheme sits alongside ECO4 and other programmes rather than replacing them, and the government has said a minimum of 20% of support will go to low-income and vulnerable households1.
What happens next
The government said it would lay affirmative regulations in Parliament, which it expected to come into force later this year, and that it planned to launch a self-referral service in summer 2023 as part of GOV.UK1. Suppliers were permitted to begin delivering measures from the date the response was published, but the government said it would not allow acceptance of measures delivered ahead of that publication1.
Sources1 cited
- Great British Insulation Scheme (2023-2026) and Amendments to ECO4 regulations: government response, assets.publishing.service.gov.uk