ECO4 & Boiler Grants Eligibility Guide (2026)

What is the ECO4 scheme?

ECO4 is the fourth phase of the Energy Company Obligation. It is not a government cash grant scheme. Instead, it is an obligation placed on larger energy suppliers by Ofgem, the regulator. These suppliers must fund energy efficiency improvements in eligible homes to help reduce fuel bills and meet national carbon reduction targets. The scheme runs until 31 December 2026.

Under ECO4, suppliers work with TrustMark-registered installers to deliver measures. The scheme's priority is 'whole-house retrofit', which means improving a home's overall energy efficiency, with a strong focus on insulation first. Funding decisions for specific measures, including any heating upgrades, are made by the participating energy supplier and installer on a case-by-case basis.

Standard eligibility: benefits and EPC bands

The primary route to qualify for ECO4 support is for a household member to receive at least one qualifying income-related benefit. You must also live in a property with a low Energy Performance Certificate (EPC) rating. Simply applying for a benefit is not enough; you must be in receipt of it.

• Universal Credit
• Pension Credit Guarantee Credit
• Pension Credit Savings Credit
• Income Support
• Income-based Jobseeker's Allowance (JSA)
• Income-related Employment and Support Allowance (ESA)
• Child Benefit
• Housing Benefit

ECO4 eligibility for over-60s and pensioners

There is a common misunderstanding about eligibility for pensioners. Receiving the State Pension alone does not make someone eligible for ECO4, as it is not an income-related benefit. The main qualifying benefit for most pensioners is Pension Credit, either the Guarantee Credit or Savings Credit element.

A pensioner not receiving Pension Credit or another listed benefit may still qualify through the ECO4 Flex route (explained below), which is managed by their local council and can be based on a low household income or a health condition made worse by a cold home.

ECO4 Flex: The local authority route

ECO4 Flex, often called 'LA Flex', is an alternative route for households that do not receive any of the standard qualifying benefits. Eligibility under this route is determined by individual local councils within a framework set by Ofgem. You must apply through your local council, not directly through an installer.

Common criteria set by councils include a combined gross household income threshold; a figure often cited is around £31,000 per year, but this varies by area. Councils may also have a health vulnerability route for households where someone has a health condition worsened by cold, damp housing, such as cardiovascular or respiratory conditions.

Does ECO4 cover a new gas boiler?

ECO4 is not simply a 'free boiler' scheme. While boiler replacements can be included, it is under narrower circumstances and is subject to specific eligibility rules and funding caps within the scheme. A common scenario is where an existing boiler is broken or non-functioning.

First-time central heating installation, for a property with no heating system at all, operates under different, often more flexible, rules than replacing an existing boiler. All ECO4 installers must be TrustMark registered, and any gas boiler work must be done by a Gas Safe registered engineer. Meeting the general eligibility criteria does not guarantee you will be offered a boiler replacement.

How ECO4 differs from the Boiler Upgrade Scheme

It is important not to confuse ECO4 with the Boiler Upgrade Scheme (BUS). They are separate schemes with different goals and rules. The Boiler Upgrade Scheme provides a grant toward installing a heat pump or biomass boiler to replace a fossil-fuel system. It is administered by Ofgem but is not means-tested by income or benefits.

ECO4, in contrast, is a means-tested supplier obligation focused on insulation-led, whole-house retrofit for the least energy-efficient homes. Heating measures like a boiler can be included, but as part of a broader assessment. For a full guide to the Boiler Upgrade Scheme, please see this site's separate BUS guide page.

How to check eligibility and your next steps

To check if you qualify for ECO4, your first step should be to visit the official GOV.UK Energy Company Obligation page, read Ofgem's ECO4 guidance, contact a participating energy supplier, or approach your local council (for the ECO4 Flex route). Be cautious of headline 'free boiler' adverts and verify information through these official channels.

This company does not administer ECO4 funding, arrange finance, or process grant applications. We are a Gas Safe registered London boiler installation specialist. We offer a free, in-home survey followed by a fixed, written quote for a paid gas boiler replacement. We remain a straightforward option for those who do not qualify for ECO4, prefer a guaranteed route, or need a replacement without the uncertainty of scheme approval.