The government will consult this year on options for bringing the oversight of energy efficiency and microgeneration installations for government schemes under closer government control, and on the role of the Warm Homes Agency, according to a Commons Library research briefing published on 13 May 20261.
"We will consult this year on options for bringing the oversight of energy efficiency and microgeneration installations for government schemes under closer government control and on the role of the Warm Homes Agency."
The briefing sets out the delivery landscape the consultation would cover. The Warm Homes Agency is to "support the delivery of the Warm Homes Plan, and guide consumers through the transition", and will begin "initial operations" in 20271. Salix, an existing non-departmental public body, will close, and its functions, alongside some from within DESNZ and relevant roles in Ofgem, will be brought together into a single executive agency1. The briefing states that, subject to agreement with the devolved governments, the agency will work at both a national and a local level1.
The consultation follows published findings on installation standards. The briefing records that a majority (92%) of External Wall Insulation installations and a large minority (27%) of Internal Wall Insulation installations under the schemes examined were found to have at least one major technical non-compliance, with the report published in January 20261. The briefing also covers help with rectifying problems under MCS, the Renewable Energy Consumer Code and TrustMark, and reviews of consumer protection1.
The government published its Warm Homes Plan on 21 January 20261. The briefing states that low-income consumers will benefit from over £5 billion of investment in home upgrades by 2030, comprising over £4.4 billion grant funding plus £600 million from the Warm Homes Fund intended for low-income households1. The Warm Homes Fund will have a total of £5 billion in financial transactions to deploy, including £1.7 billion already allocated to low- and zero-interest consumer loans (supported by £300 million of capital investment) plus £0.6 billion of low-income funding; the residual £2.7 billion will be available as innovative finance for investments in and loans to the home upgrade sector1. Details of the consumer loan offer were not available at the time of writing, and the government said in February 2026 that it would set out further detail "in due course"1.
| Scheme | Status as recorded in the briefing |
|---|---|
| Energy Company Obligation (ECO4) | Extended to 31 December 2026; further funding through consumers' energy bills stopped after March 20261 |
| Great British Insulation Scheme (GBIS) | Closed to applications; not extended beyond March 20261 |
| Home Upgrade Grant (HUG) | Closed March 20251 |
| Boiler Upgrade Scheme | Grants up to £7,500, increased to £9,000 for oil and LPG heated properties1 |
| Warm Homes: Local Grant and Warm Homes: Social Housing Fund | To be integrated into a single low-income capital scheme from 2027/281 |
Why it matters for households
Consumer protection for home energy work currently sits across several bodies, including MCS, the Renewable Energy Consumer Code and TrustMark, alongside oversight arrangements for government schemes. The consultation concerns whether oversight of installations delivered under government schemes should sit closer to government, and what role the new agency should play. For a household, the practical question is who is accountable when an installation goes wrong, and how problems are put right. The briefing records that non-compliance findings have already been published for wall insulation installed under earlier schemes, and that help with rectifying problems is covered separately for ECO4, GBIS and closed schemes including the Green Homes Grant and Green Deal1.
The funding picture also bears on a home's energy independence. The Warm Homes Plan brings together grants, a loan scheme and supply-chain finance, with the stated aims of reducing bills and fuel poverty and enhancing energy security1. The briefing notes that the government decided to stop further funding of ECO4 through consumers' energy bills after March 2026, and that major suppliers are either no longer advertising ECO4 or accepting applications, while the scheme itself runs to 31 December 2026 to meet existing targets and remediate non-compliant installations1. GBIS closed to applications and was not extended beyond March 20261. The regulation and policy guide sets out how these frameworks fit together across the UK.
What happens next
The consultation is expected in 2026; no date has been reported1. The Warm Homes Agency is to begin "initial operations" in 20271. From 2027/28, the government intends to integrate the Warm Homes: Social Housing Fund and the Warm Homes: Local Grant into a single low-income capital scheme shifting toward area-based delivery1. Further detail on the consumer loan offer has not yet been published1.
Sources1 cited
- [](https://researchbriefings.files.parliament.uk/documents/CBP-9585/CBP-9585.pdf), researchbriefings.files.parliament.uk