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New Welsh Government Warm Homes programme launched

A new Welsh Government Warm Homes programme began on 1 April 2024, shifting support towards low carbon measures such as heat pumps and solar panels, as Nest published its 2023-24 annual report.

A newspaper on a kitchen table beside a model of grants and schemes

The Welsh Government Warm Homes programme was replaced by a new scheme on 1 April 2024, with what the Energy Saving Trust describes as a greater focus on low carbon technologies, including heat pumps and solar panels1. The change was confirmed alongside the publication of the annual report for the previous Nest scheme, covering 2023-241.

Under the outgoing Nest scheme, 12,809 households received free and impartial energy saving advice and 4,816 households received a home energy improvement package, producing an average annual energy bill saving of £5951. Since 2011 the scheme has installed energy efficiency improvements in more than 60,000 homes across Wales1. One household in Caerphilly, identified only as Mr and Mrs Miles, saved approximately £487 a year after a new boiler, new radiators and solar panels were installed through Nest1.

Eligibility for the new programme covers residents of Wales who own their home or rent from a private landlord, where the applicant or someone they live with receives a means tested benefit, or has a chronic respiratory, circulatory or mental health condition, and has an income below defined thresholds1. The thresholds themselves are not given in the published material1. The programme supports the Welsh Government's ambition for Wales to reach net zero by 20501.

Cabinet Secretary for Housing and Local Government Jayne Bryant said:

"Our Warm Homes Programme has continued to make a significant contribution to improving the quality of our homes, supporting people struggling to meet their fuel costs. This year, we are investing more than £30 million in support for low-income households living in cold, damp homes and at the same time reducing carbon emissions."
Jayne Bryant, Cabinet Secretary for Housing and Local Government, via Energy Saving Trust1

Separate research commissioned by the Nest scheme and carried out by Beaufort Research between 1 and 10 November 2024, with a sample of 1,000 adults in Wales aged 16 and over, found that 53% of households in Wales say they experience stress when thinking about their energy bills1. Among the 23% of Welsh households that had not made energy efficient home improvements, 43% said renting their property was a barrier and 35% believed the cost of taking action was too expensive1. The findings were published as the energy price cap increased again in January1.

MeasureFigure
Households given energy saving advice, 2023-2412,809
Households given a home energy improvement package, 2023-244,816
Average annual bill saving from a package£595
Homes improved since 2011More than 60,000
Investment announced for low-income householdsMore than £30 million

Why it matters for households

For a household in Wales, the practical change is the type of measure on offer. The previous scheme's example installation combined a boiler, radiators and solar panels1; the new programme is described as leaning further towards heat pumps and solar panels1. That matters for energy independence because a heat pump running on a home's own electricity, and solar panels generating it, reduce the volume of gas a household buys, whereas a replacement boiler does not. The published figures also show the scale of the gap: 4,816 households received a package in 2023-24 against more than 60,000 improved since 20111, and 23% of Welsh households report making no energy efficiency improvements at all1. Cost and tenure are the barriers those households name1.

What happens next

The new programme is already running, having launched on 1 April 20241. No closing date, application window or future funding round for the new programme is given in the published material1.

Sources1 cited
  1. Nest scheme publishes 2023-24 annual report - Energy Saving Trust, energysavingtrust.org.uk