The Warm Homes: Local Grant can pay for a fully free solar panel installation if you're an English owner-occupier with a household income of £36,000 or less and a home rated EPC D–G. The grant is live now, runs until March 2028, and is delivered through your local council — but individual council allocations are finite, so applying sooner genuinely does matter.
This guide covers exactly who qualifies, what the EPC rules mean in practice, and the step-by-step process to claim solar funding before the money in your area runs out. No jargon, no sales pitch — just the facts you need to make a decision.
What is the Warm Homes: Local Grant?
According to GOV.UK, the Warm Homes: Local Grant is a government-funded fuel poverty scheme delivered by local authorities in England. It pays for energy-saving upgrades — including solar panels, insulation, heat pumps and smart heating controls — in lower-income, privately owned homes.
The scheme opened in April 2025 and runs to March 2028. The Energy Saving Trust confirms it will allocate £500 million across 270 local authorities over those three years — making it the largest direct grant available to English homeowners right now.
It is the successor to schemes like HUG2 (Home Upgrade Grant), and sits alongside ECO4 (which runs separately until December 2026). Unlike ECO4, which is funded by energy suppliers, the Local Grant is funded directly by government. You may be eligible for both — they are not mutually exclusive.
One important caveat: this grant covers England only. Scotland, Wales and Northern Ireland run their own separate programmes. See our broader guide on Solar Panel Grants UK 2026: What's Left and What's Coming for the full devolved-nation picture.
Do I qualify for the Warm Homes Local Grant for solar panels?
You are likely to qualify if you tick all three of the following boxes. You only need one income or postcode route — but you need all three property conditions.
- You live in England and the property is privately owned (owner-occupied or privately rented with landlord consent). Social housing is not covered.
- Your home has an EPC rating of D, E, F or G. Homes rated A, B or C are considered efficient enough and are excluded from the scheme.
- Your household income is £36,000 a year or less — OR you receive a qualifying means-tested benefit (such as Universal Credit, Pension Credit, Housing Benefit or Tax Credits) — OR your home sits within an eligible postcode (Income Deprivation Deciles 1–2 on the government's Indices of Multiple Deprivation).
The property must be your main residence. Second homes and holiday lets do not qualify. New builds that have never been occupied are also excluded.
It's worth knowing that individual councils can set slightly different income thresholds. The £36,000 figure is the headline used by most authorities, but some councils set it lower. Always confirm the exact threshold with your own local authority before applying.
What is the income limit for the Warm Homes Local Grant?
The standard income threshold is £36,000 gross household income per year — meaning the combined income of everyone living in the property. This is more generous than the £31,000 cap used under the earlier HUG2 scheme, so some households that were previously excluded may now qualify.
However, income is not the only route in. You may qualify regardless of income if:
- You or anyone in your household receives a qualifying means-tested benefit, or
- Your home is in an eligible postcode (based on deprivation data published by government)
The postcode route in particular is worth checking even if your income is above the threshold — some households in deprived areas qualify automatically without an income check.
What does the EPC requirement actually mean?
Your home needs an Energy Performance Certificate rating of D, E, F or G. Homes already rated A, B or C are ineligible — the scheme is deliberately targeted at properties that need the biggest efficiency lift.
If you don't know your EPC rating, you can look it up for free on the government's EPC register at gov.uk/find-energy-certificate. If your home has never had an EPC assessment, that is not necessarily a dead end — an assessment can often be arranged as part of the application process.
Millions of English homes sit at EPC D or below, so don't assume yours is too efficient to qualify without checking. Older properties — Victorian terraces, 1970s semis, homes with solid walls or no cavity insulation — frequently come in at D or E even if they feel comfortable to live in.
Curious how solar panels affect your EPC score? Our guide on Solar Panels & Your EPC Rating: How Many Points Do You Gain? explains what to expect after installation.
What does the grant actually cover?
If you qualify as an owner-occupier, the improvements are fully funded at no cost to you — there is no contribution required. The grant can cover solar PV panels, loft insulation, cavity wall insulation, solid wall insulation, underfloor insulation, air source heat pumps, and smart heating controls. The exact package is decided after a survey of your home, not in advance.
Importantly, the grant can fund solar panels alongside other measures as part of a whole-home package. You don't have to choose between solar and insulation — the assessor works out what combination will deliver the best improvement for your property.
The grant is not a loan. You do not repay it. Eligible owner-occupiers receive the upgrades free of charge, administered through your local council.
How do I apply for the Warm Homes Local Grant in 2026?
Applications go through your local council, not a single national website — but the GOV.UK portal at gov.uk/apply-warm-homes-local-grant is the right starting point. Enter your postcode and it will route you to your council's designated delivery partner. You can also call the national helpline on 0800 098 7950 (Monday–Friday, 8am–6pm; Saturday, 9am–12pm).
Here is what to expect, step by step:
- Step 1 — Postcode check: Visit the GOV.UK portal, enter your postcode and confirm your council is participating. Not every council has the same timeline, so check yours specifically.
- Step 2 — Eligibility screen: You will be asked about household income, any benefits received, and your EPC rating. Gather your last three months of utility or council tax letters, three recent payslips or your SA302 (if self-employed), your mortgage statement or Land Registry title, and your EPC certificate (must be less than 10 years old).
- Step 3 — Home survey: If your initial eligibility check passes, a retrofit assessor visits your home. They assess roof suitability, your electrical setup, and what system size makes sense. This takes two to four weeks to arrange after your application is processed.
- Step 4 — Written proposal: You receive a written proposal detailing the measures recommended for your home. You are not committed until you accept.
- Step 5 — Installation: Once approved, installation is typically scheduled within four to eight weeks. Solar panels take one to two days to fit. Your installer must be MCS-certified — the grant guidance is clear on this.
- Step 6 — Certification: After installation you receive your MCS certificate, warranty documents and guidance on registering for the Smart Export Guarantee (SEG) — the scheme that pays you for surplus electricity you send back to the grid.
Your council should contact you within 10 working days of submitting your application. The full timeline from application to completed installation varies by council and the complexity of the work required.
What happens after installation? The Smart Export Guarantee
Once your panels are installed and MCS-certified, you are entitled to register for the Smart Export Guarantee (SEG) — a government-backed scheme that requires large energy suppliers to pay you for every unit of surplus electricity you export to the grid. Registration is free and separate from the grant process.
SEG rates vary significantly between suppliers, so it pays to compare. For more detail on getting the best rate, see our guide to Best Smart Export Guarantee Rates UK 2026.
When solar panels are NOT worth pursuing through this grant
Being straight with you: the grant does not always result in solar panels being installed. The retrofit assessor recommends measures based on what will deliver the biggest improvement to your home's EPC rating. If your roof is structurally unsound, heavily shaded, or north-facing with no viable alternative, solar may not be recommended — and insulation may come first instead.
The grant also only covers England. If you're in Scotland, Wales or Northern Ireland, you'll need to look at your devolved-nation equivalent. And if your household income is above £36,000 and you don't receive qualifying benefits and aren't in an eligible postcode, you won't qualify for this grant — full stop. That doesn't mean solar isn't worth it for you, but you'd be funding it yourself. In that case, the 0% VAT relief (which runs until at least March 2027) still applies to every homeowner regardless of income — see our guide on 0% VAT on Solar Panels: What to Do Before March 2027 for how that saving works.
A note on funding running out
The Warm Homes: Local Grant runs to March 2028, but councils receive fixed allocations — and some areas have already seen high demand. Applying early is genuinely sensible, not a sales tactic. Demand has been high enough that some London boroughs temporarily paused their portals to clear existing applications before accepting new ones. The sooner you check your eligibility, the better placed you are.
If you qualify and solar is recommended for your home, the installation and all associated costs are covered. If you're not sure whether your home or income qualifies, the application itself is free and there is no obligation to proceed.
For homeowners who don't qualify for the Local Grant, comparing quotes from vetted, MCS-certified local installers is the next best step. Get free, no-obligation quotes through FairSolar — it costs nothing and connects you with installers who've been checked against MCS records, so you can compare prices with confidence and without the hard sell.
Frequently asked questions
Do I qualify for the Warm Homes Local Grant for solar panels?
You likely qualify if you live in England in a privately owned home (owner-occupied or privately rented), your EPC rating is D, E, F or G, and your household income is £36,000 or less per year — or you receive a qualifying means-tested benefit, or your home is in an eligible postcode. All three property conditions must be met, but you only need one of the income/postcode routes.
What is the income limit for the Warm Homes Local Grant?
The headline threshold is £36,000 gross household income per year, though individual councils can set it slightly differently. Even above that threshold, you may still qualify if your home is in an eligible deprived postcode or if someone in your household receives a qualifying means-tested benefit such as Universal Credit or Pension Credit.
How do I apply for the Warm Homes Local Grant in 2026?
Start at gov.uk/apply-warm-homes-local-grant — enter your postcode and you'll be routed to your council's delivery partner. You can also call the helpline on 0800 098 7950. Gather proof of income, an EPC certificate, proof of home ownership and proof of address before you start, as these are required at the eligibility stage.
Is the Warm Homes Local Grant a loan I have to repay?
No. It is a grant, not a loan. Eligible owner-occupiers receive the approved home improvements completely free of charge with no repayment required. Private landlords may be asked to contribute towards the cost for properties beyond their first eligible home.
What if I don't qualify — are there other ways to reduce the cost of solar?
Yes. Every UK homeowner currently pays 0% VAT on solar panel and battery installations (until at least March 2027), which typically saves £1,000–£2,000 on a standard system. You can also register for the Smart Export Guarantee once your panels are installed to earn money on surplus electricity. Comparing quotes from multiple MCS-certified installers is the most reliable way to avoid overpaying.