Home Improvement Grants in England 2026: The Complete Guide to Grants, Energy Efficiency Funding and Home Renovation Support

Last checked: 1 October 2026

If you are planning a home improvement project in England, you may be wondering whether the government can help with the cost.

The answer is yes, but there is currently no general government grant that will pay towards an ordinary house extension, new kitchen, bathroom, loft conversion or full renovation simply because you are improving your home.

The majority of home improvement grants in England in 2026 are targeted at specific objectives, particularly:

• improving energy efficiency
• reducing household energy bills
• replacing fossil fuel heating systems
• installing low-carbon heating
• supporting lower-income households
• adapting homes for people with disabilities

There are also important tax incentives, including 0% VAT on qualifying energy-saving materials, which can make a substantial difference to the final cost of an energy improvement project.

The purpose of this guide is to separate the schemes that are genuinely available from the large number of outdated or misleading "UK home improvement grant" articles still online.

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Home improvement grants in England: what is actually available?

The current funding landscape is relatively concentrated.

For homeowners in England, the principal schemes and incentives worth investigating are:

The schemes do not all work in the same way. Some are grants and some are tax incentives or payment mechanisms rather than grants.

Most importantly, the figures shown are maximum available contributions or scheme limits, not guaranteed cash payments for every homeowner.

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1. Warm Homes: Local Grant

The main energy efficiency grant for lower-income homeowners in England

The Warm Homes: Local Grant is currently one of the most significant government-funded home improvement schemes available to eligible homeowners in England.

It is designed to improve energy efficiency and install suitable low-carbon heating in lower-income households living in less energy-efficient homes.

The scheme is funded by the Department for Energy Security and Net Zero and delivered through local authorities.

The current programme runs from April 2025 to March 2028, with £500 million allocated to the scheme. The government says that 74 projects involving 271 local authorities, representing more than 97% of eligible local authorities, have been allocated funding.

Who can qualify?

For an owner-occupied home, the principal requirements include:

• the property must be in England
• it must be an existing domestic property
• it must have an EPC rating of D, E, F or G
• the household must meet one of the scheme's low-income eligibility routes

There are several routes to eligibility.

A household can qualify through specified low-income postcodes, qualifying means-tested benefits or the household income route.

The standard gross annual household income threshold is £36,000, although the scheme also has an after-housing-costs route based on household composition.

This means that simply earning more than £36,000 does not automatically rule a household out.

What can the Warm Homes: Local Grant pay for?

The scheme can support a range of energy performance improvements and low-carbon heating measures.

These can include:

• loft insulation
• wall insulation
• underfloor insulation
• solar PV
• air source heat pumps
• heating and hot water controls
• other qualifying energy performance measures

The actual package should be tailored to the property following assessment rather than the homeowner simply selecting whichever measure they want.

The government guidance states that owner-occupiers are not expected to contribute towards the cost of upgrades.

How much can you get?

This is an area where many online articles are now out of date.

Following the July 2026 update to the scheme, the government set maximum cost caps of £16,600 per home for energy performance upgrades and £16,600 per home for low-carbon heating.

That means a qualifying property could potentially have up to £33,200 of eligible work supported across both categories, where both categories are applicable.

However, this should not be presented as a guaranteed £33,200 grant.

These are scheme cost caps. The actual package depends on the property's condition, the measures identified, technical requirements, local authority delivery and the cost of the work.

A homeowner does not simply receive £33,200 to spend on improvements of their choice.

An important point about quality

The Warm Homes: Local Grant has been designed with stronger quality controls than some previous retrofit programmes.

Funded work must follow the relevant PAS 2035 requirements, while installers must meet the applicable TrustMark or MCS requirements. Measures must also be lodged with the TrustMark data warehouse.

This matters because energy efficiency work is not simply about installing the cheapest insulation available.

Poorly designed or poorly installed insulation can create problems with condensation, ventilation, damp and building performance.

For homeowners, the quality of the installation can be just as important as the value of the grant.

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2. Boiler Upgrade Scheme

Up to £9,000 towards an eligible low-carbon heating system

The Boiler Upgrade Scheme (BUS) is one of the main national grants available to homeowners in England who want to replace an existing heating system with an eligible low-carbon heating system.

The scheme is available in England and Wales, so it is included here because it is available to homeowners in England.

The important thing to understand is that the BUS payment is a grant contribution towards the installation cost. It is not a promise that the government will cover the entire installation.

Maximum grant contribution by technology

The £9,000 maximum applies to qualifying off-gas-grid properties where an eligible air-to-water or ground source heat pump is replacing an oil or LPG heating system. The increased grant came into effect on 21 July 2026 and is available until 31 March 2027.

The standard £7,500, £5,000 and £2,500 amounts are the applicable maximum contributions for the relevant technologies and circumstances.

Can you get the grant yourself?

The homeowner does not normally submit the grant application directly.

The installation must be carried out by an appropriately certified installer, and the installer applies for the grant on the property owner's behalf. MCS certification is required for relevant installations.

Ofgem explains that the grant is paid to the installer and reflected in the homeowner's quotation and invoice.

Important restrictions

There are several eligibility rules.

For example, the scheme does not provide funding simply because a homeowner wants to install a heat pump.

The existing heating system and property must meet the scheme requirements.

You cannot receive a BUS grant to replace an existing low-carbon heating system.

Some property types are also excluded. New-build properties are generally not eligible, although certain qualifying self-build properties are treated differently.

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3. Disabled Facilities Grant

Up to £30,000 for eligible disability adaptations in England

The Disabled Facilities Grant (DFG) is one of the most substantial home improvement grants available to homeowners in England.

Unlike energy grants, the purpose of the DFG is to make a home suitable for a disabled person's needs.

Eligible work can include adaptations such as:

• ramps and improved access
• widening doors
• stairlifts
• accessible bathrooms
• adapted kitchens
• improving access to bedrooms
• downstairs bathing or sleeping facilities
• improving access to or use of the home
• extensions where an extension is necessary to meet the disabled person's needs

In England, the maximum mandatory grant is £30,000.

Is it means-tested?

Usually, yes.

For adults, the amount available generally depends on household income and savings.

Disabled children under 18 are treated differently under the means test.

The council assesses whether the proposed work is necessary and appropriate to meet the person's needs and whether the work is reasonable and practicable.

Can a DFG pay for an extension?

Potentially, yes.

This does not mean that the government will fund an ordinary home extension.

An extension can form part of a Disabled Facilities Grant where it is necessary to meet the disabled person's needs and is considered the appropriate solution.

For example, an extension might be necessary to create an accessible bedroom and bathroom on the ground floor where adapting the existing layout is not reasonably practicable.

The local authority must approve the work.

Do not start the work before the grant has been approved. GOV.UK specifically warns that starting work before approval can mean you do not receive the grant.

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4. 0% VAT on energy-saving materials

Not a grant, but potentially a substantial saving

One of the most valuable incentives for homeowners improving the energy performance of their property is not actually a grant.

It is VAT relief.

Qualifying energy-saving materials installed in residential accommodation are currently subject to 0% VAT until 31 March 2027.

The relief includes qualifying installations such as:

• air source heat pumps
• ground source heat pumps
• insulation
• wood-fuelled boilers
• central heating and hot water controls
• draught stripping
• certain other qualifying energy-saving materials

How much can this save?

Suppose an eligible installation costs £10,000 before VAT.

At the standard 20% rate:

£10,000 + £2,000 VAT = £12,000

At 0%:

£10,000 + £0 VAT = £10,000

That is a £2,000 saving.

The precise VAT treatment depends on the materials, installation and circumstances, so homeowners should confirm the treatment with the contractor and HMRC guidance.

It is also important to understand that ordinary home improvements do not automatically qualify simply because they make a house more energy efficient.

For example, a standard extension or ordinary replacement kitchen is not suddenly zero-rated because it happens to improve the property's energy performance.

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5. 5% VAT for renovating qualifying empty properties

There is another VAT incentive that can be particularly valuable to homeowners undertaking substantial renovation work.

Certain renovation and alteration work to residential properties that have been unoccupied for at least two years can qualify for the reduced 5% VAT rate.

HMRC's construction VAT guidance confirms that the reduced rate can apply where a qualifying residential property has not been lived in for at least two years when the work starts.

For example, if £50,000 of work genuinely qualifies:

At 20% VAT: £60,000 At 5% VAT: £52,500

Potential saving:

£7,500

That is an illustration only.

Not every element of a renovation will necessarily qualify, and the rules around what constitutes qualifying renovation or alteration work are detailed.

Homeowners undertaking a substantial refurbishment should establish the VAT position before agreeing the contract, rather than assuming every item will receive the 5% rate.

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6. Electric vehicle chargepoint grants

The government also provides grants towards certain residential EV chargepoint installations.

The current EV chargepoint grant can provide up to £500 towards installation in qualifying circumstances.

However, this is not a universal £500 grant for every homeowner.

The current home schemes focus particularly on:

• people who own and live in flats
• renters
• households with only on-street parking that need a qualifying cross-pavement charging solution

For example, a homeowner with a conventional house and private off-street driveway should not assume that they qualify simply because they want a home EV charger.

The precise eligibility criteria depend on the property and parking arrangement.

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7. Smart Export Guarantee

A financial incentive for homes generating renewable electricity

The Smart Export Guarantee (SEG) is not a home improvement grant, but it is relevant when calculating the financial return from solar PV and other eligible small-scale renewable generation.

Under the SEG, participating energy suppliers pay eligible generators for electricity exported to the grid.

There is not one government-set SEG payment.

Each participating supplier offers its own tariff, and Ofgem publishes the current list of SEG licensees. The current seventh SEG year runs from 1 April 2026 to 31 March 2027.

For a homeowner considering solar panels, this means the financial calculation can potentially involve:

installation cost minus any eligible grant funding minus VAT savings where applicable plus the value of electricity generated and used in the home plus SEG payments for eligible exported electricity

This is a much more useful way to think about the economics of solar than simply asking whether there is a "solar panel grant".

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Home improvement grants that have closed

There is a considerable amount of outdated information online about UK home improvement grants.

Several well-known schemes should not be presented as current funding opportunities in 2026.

Green Homes Grant Voucher Scheme

The original Green Homes Grant Voucher Scheme closed to applications on 31 March 2021. The scheme is no longer available to new applicants.

Home Upgrade Grant

The Home Upgrade Grant is now closed.

GOV.UK directs homeowners towards the Warm Homes: Local Grant instead.

Great British Insulation Scheme

The Great British Insulation Scheme has also ended.

Installations had to be completed by 31 March 2026, so it should not be treated as a new grant opportunity for homeowners in October 2026.

These closures matter because search engines still return many pages describing these schemes as though homeowners can apply for them today.

They cannot.

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Can you combine different grants?

Sometimes, but not automatically.

Different schemes have different rules governing the interaction between funding sources.

For example, the Boiler Upgrade Scheme has restrictions around properties that have already received government or other relevant funding towards the purchase or installation of the heating system.

The safest approach is to consider funding before committing to the specification.

A homeowner planning a major renovation could have:

• architectural and planning costs
• building work
• energy efficiency measures
• a new heating system
• solar PV
• an EV charger

These elements do not necessarily have the same funding rules.

The fact that one element qualifies for a grant does not mean the entire project qualifies.

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How to maximise the funding available for a home improvement project

The most effective approach is not simply to search for "home improvement grants".

Instead, work through the project systematically.

1. Establish exactly what you want to build

Start with the actual project.

Is it an extension, renovation, loft conversion, heating upgrade, accessibility adaptation or whole-house retrofit?

Different funding routes apply to different types of work.

2. Check your EPC

For energy-related schemes, your EPC can be one of the first indicators of eligibility.

The Warm Homes: Local Grant, for example, requires eligible homes to have an EPC rating within bands D to G.

3. Look at your household circumstances

Income and benefits can make a substantial difference to eligibility.

A household that would not qualify through one route may qualify through another depending on household circumstances and location.

4. Check your local authority

The Warm Homes: Local Grant is delivered locally, and councils can have different application processes and delivery arrangements.

Funding can also become oversubscribed.

Therefore, national eligibility does not necessarily mean that a homeowner can receive funding immediately.

5. Check the VAT position

Do not wait until the final invoice to discover that an element of the project could have qualified for a different VAT treatment.

The VAT position should be considered before the contract is agreed.

6. Do not start grant-funded work prematurely

This is particularly important for schemes such as the Disabled Facilities Grant.

Starting work before approval can result in the grant being refused.

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Why getting the work right matters as much as getting the grant

A grant can reduce the upfront cost of a home improvement project, but it does not automatically make the project successful.

A badly specified extension is still a badly specified extension.

Poorly installed insulation can still cause problems.

A heating system that is incorrectly sized or poorly integrated with the rest of the property can fail to deliver the expected performance.

And a homeowner can still have a dispute with a contractor even when the original project was partly funded by government.

For larger projects, homeowners should therefore think about project structure, specifications, contractor selection, payment stages, documentation and quality control alongside funding.

This is particularly important where the project involves several different professionals, such as an architect, structural engineer, building contractor and specialist installers.

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How Fort can help protect your home improvement project

Finding the right grant is only one part of getting a home improvement project right.

Once the funding and plans are in place, homeowners still need to make sure the work is properly organised, clearly documented and paid for in a sensible way.

This is where Fort can help.

Fort is designed around the construction stage of a residential project, helping homeowners and tradespeople manage the work with greater transparency and accountability.

Homeowners can work with their existing contractor or find a verified company through the platform.

Projects can be broken into defined milestones, with funds for each milestone secured when the milestone starts and released when the agreed stage has been completed. This helps align payment with actual progress rather than requiring homeowners to make large unprotected payments in advance.

Fort also keeps important project information together, including plans, documents, photographs, communication and agreed variations.

If a disagreement does arise, Fort provides a structured dispute resolution process, including access to an independent RICS-chartered surveyor where appropriate.

The aim is simple: give homeowners greater protection and create a clearer record of what was agreed, what was completed and what was paid for.

That is particularly valuable on projects involving multiple professionals, changing specifications and significant sums of money.

Find out more about how Fort protects homeowners.

Learn more about Fort and our mission to make residential construction more secure, transparent and accountable.

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Home improvement grants England 2026: the key takeaways

There are genuine opportunities to reduce the cost of improving a home in England in 2026, but they are targeted.

The most important current schemes and incentives are concentrated around energy efficiency, low-carbon heating, lower-income households and disability adaptations.

Warm Homes: Local Grant

For eligible lower-income households living in homes with an EPC rating of D to G, the scheme can fund substantial energy efficiency and low-carbon heating improvements. The current scheme has maximum cost caps of £16,600 for energy performance upgrades and £16,600 for low-carbon heating, although this should not be interpreted as a guaranteed £33,200 payment.

Boiler Upgrade Scheme

Eligible homeowners can receive a maximum contribution of £7,500 towards an air-to-water, ground source or water source heat pump, with up to £9,000 available for qualifying off-gas-grid properties replacing eligible oil or LPG systems.

Disabled Facilities Grant

Eligible homeowners can receive up to £30,000 in England for necessary adaptations related to disability.

VAT relief

Qualifying energy-saving materials currently benefit from 0% VAT until 31 March 2027, while certain renovations of properties that have been empty for at least two years can qualify for the 5% reduced VAT rate.

EV chargepoint grants

Qualifying households can receive up to £500 towards certain home EV charging installations, but this is not a universal grant for every homeowner.

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The most important thing to remember

There is no single "UK home improvement grant" that will pay for your renovation.

The financial support available depends on what you are doing, where you live, the condition of your property, your household circumstances and whether the work meets the scheme's technical requirements.

For an ordinary extension or renovation, grants may be limited or unavailable. For an energy retrofit, heat pump installation or disability adaptation, however, the potential support can be substantial.

The best time to investigate funding is before you finalise your design, contractor and contract.

That gives you the opportunity to understand what you may qualify for, structure the work correctly, obtain realistic quotations, account for VAT and make sure any required approvals are in place before work begins.

Grant availability and scheme rules can change. Always check the latest government or local authority guidance before relying on a particular funding route.