What is the ECO5 Scheme? Complete Overview for Winter 2025
As an energy efficiency analyst with over 12 years of experience guiding 7,000+ successful heating installations across the UK, I'm excited to walk you through the ECO5 scheme - the government's most ambitious energy efficiency programme to date.
ECO5 (Energy Company Obligation 5) is the UK government's flagship scheme providing FREE heating upgrades to eligible households. Running from April 2026 to March 2030 with a £4.4 billion budget, it's specifically designed to help low-income and vulnerable households improve their home energy efficiency and reduce fuel poverty.
But here's what makes this winter particularly important: with energy prices remaining elevated and temperatures dropping, qualifying households can access free boiler replacements, insulation improvements, and even air source heat pumps - all at absolutely zero cost.
WINTER 2025 PRIORITY:
During winter months, ECO5 applications from households without adequate heating receive priority processing. If your boiler has broken down or your heating is inadequate, you can access fast-track approval within 5-7 working days.
The ECO5 scheme represents a significant evolution from its predecessor ECO4. While maintaining the core principle of providing free energy efficiency improvements to those who need them most, ECO5 introduces enhanced targeting, expanded eligibility pathways, and a stronger focus on achieving meaningful energy savings for every installation.
ECO5 vs ECO4: Key Differences and What They Mean for You
Understanding the differences between ECO4 and ECO5 is crucial for maximising your chances of qualifying for free heating upgrades. Having worked through both schemes, here's my expert breakdown of what's changed and what it means for you:
| Feature | ECO4 (Ended March 2026) | ECO5 (April 2026 - March 2030) |
|---|---|---|
| Total Budget | £4 billion | £4.4 billion (+10%) |
| Duration | 3 years (2023-2026) | 4 years (2026-2030) |
| Free Boiler Replacement | ✓ Available | ✓ Available (+ Heat Pumps) |
| LA Flex Income Threshold | Up to £36,000/year | Up to £31,000/year (tighter targeting) |
| EPC Priority | D-G Properties | "Worst First" - F/G Priority |
| Heat Pump Focus | Limited | Significantly expanded |
The key takeaway: ECO5 continues to offer free boiler replacements but with a stronger emphasis on targeting the most fuel-poor households and properties with the worst energy efficiency ratings. If your property has an EPC rating of F or G, you're now at the front of the queue.
Importantly, free boiler replacements remain available under ECO5 - don't believe any misinformation suggesting otherwise. The scheme has simply expanded to include more options like air source heat pumps for suitable properties.
Who Qualifies for ECO5? Complete Eligibility Criteria Breakdown
ECO5 eligibility is broader than many people realise. Based on my experience processing thousands of applications, I'd estimate that over 40% of UK households could potentially qualify through one pathway or another. Let me break down each eligibility route:
If you receive ANY of these benefits, you're automatically eligible for ECO5:
- Universal Credit (any amount)
- Pension Credit (Guarantee or Savings)
- Child Tax Credit
- Working Tax Credit
- Income Support
- Income-based JSA
- Income-related ESA
- Housing Benefit
- PIP (Personal Independence Payment)
- DLA (Disability Living Allowance)
- Attendance Allowance
- Carer's Allowance
Important: Receiving even £1/month of Universal Credit qualifies you. You don't need to be on 'full' benefits - any amount triggers eligibility.
Don't receive qualifying benefits? LA Flex (Local Authority Flexible Eligibility) provides an alternative pathway:
- Household income under £31,000/year
Gross income (before tax) for the entire household
- Property EPC rating D, E, F, or G
Check free at gov.uk/find-energy-certificate
- High energy costs relative to income
Typically spending 10%+ of income on heating
- Council Tax Reduction recipient
In participating council areas
Pro Tip: Over 200 UK councils now participate in LA Flex. Even if you earn £30,000/year and work full-time, you can still qualify. This is the most underused ECO5 pathway.
If anyone in your household has a health condition worsened by cold, you may qualify through health-based LA Flex:
- Respiratory conditions (asthma, COPD, bronchitis)
- Cardiovascular disease
- Arthritis or mobility issues
- Diabetes
- Mental health conditions affected by cold/damp
- Immunocompromised conditions
Supporting Evidence: A GP letter confirming your health condition is worsened by inadequate heating significantly strengthens your application. Many GPs provide these letters free of charge.
Winter Priority Eligibility: Fast-Track Your Application
Winter brings both urgency and opportunity for ECO5 applicants. Based on my experience processing thousands of winter applications, here's what you need to know about priority processing during the cold months:
Winter Priority Groups (Fastest Processing)
If your boiler has broken down and you have no heating, you qualify for emergency fast-track processing.
All pensioners receive priority status with dedicated support throughout the application process.
Young children are particularly vulnerable to cold - families receive enhanced priority processing.
Respiratory, cardiovascular, or other conditions worsened by cold receive priority consideration.
Why apply during winter? Beyond priority processing, winter applications benefit from:
- Immediate benefit - get your new heating system before the coldest months
- Maximum savings - winter heating bills are 3-4x higher than summer, so savings are immediately apparent
- Shorter waiting times - fewer applications compared to the spring rush
- Health protection - cold homes increase illness risk by up to 40%
- Budget availability - ECO5 budget is fresh at scheme start, ensuring funding
DON'T WAIT:
Every winter, I see households delay their application "until after Christmas" or "when things calm down." The result? They suffer through another cold winter and face longer processing times when spring brings a surge in applications. If you're eligible, apply NOW.
LA Flex Routes in ECO5: Qualifying Without Benefits
LA Flex (Local Authority Flexible Eligibility) is perhaps the most underutilised pathway to free heating upgrades. Many working households assume they won't qualify because they're not on benefits - but LA Flex exists precisely for this situation.
Here's how LA Flex works and why you should consider this route:
LA Flex Eligibility Criteria
Income Threshold
Gross household income under £31,000/year. This is total household income before tax - including all adults in the property.
Property EPC Rating
Your property must have an EPC rating of D, E, F, or G. Around 60% of UK homes fall into this category.
Fuel Poverty Indicators
Your council will assess whether you're in or at risk of fuel poverty - typically spending 10%+ of income on energy.
Council Participation
Your local council must participate in LA Flex. Over 200 UK councils now do - covering the vast majority of the population.
Real-world example: A couple earning £28,000 combined with an E-rated property in Manchester. They don't receive any benefits but qualified through LA Flex based on their income and EPC rating. Result: brand new A-rated boiler, completely free.
I've successfully helped thousands of working households access ECO5 through LA Flex. The key is understanding that employment doesn't disqualify you - it's about your income relative to your energy costs and property efficiency.
Property Requirements: Does Your Home Qualify for ECO5?
Beyond personal eligibility, your property must meet certain criteria for ECO5. Here's what you need to know about property requirements:
- Houses (detached, semi-detached, terraced)
- Bungalows
- Flats (with appropriate permissions)
- Park homes (in some cases)
- Owner-occupied properties
- Private rentals (with landlord consent)
- EPC rating D, E, F, or G
- New-build properties (typically A-C rated)
- Properties with EPC rating A, B, or C
- Social housing (different scheme applies)
- Listed buildings (case-by-case basis)
- Properties without gas supply (for boilers)
- Commercial properties
CHECK YOUR EPC RATING:
Not sure of your EPC rating? Check free at gov.uk/find-energy-certificate. Simply enter your postcode to find your property's current rating. Most UK homes built before 2000 have ratings of D-G.
ECO5 "Worst First" Priority: Properties with the poorest energy efficiency (EPC F and G) receive priority under ECO5's enhanced targeting. If your home is F or G rated, you're at the front of the queue for free upgrades.
How to Apply for ECO5: Step-by-Step Guide
Ready to apply? I've streamlined the ECO5 application process based on 7,000+ successful installations. Follow these steps to maximise your approval chances:
Complete Free Eligibility Check (60 Seconds)
Start with our instant eligibility checker:
- Visit freeboilerupgrade.uk/eligibility
- Answer 8 simple questions about your circumstances
- Get instant result: ELIGIBLE / POTENTIALLY ELIGIBLE / CALL US
Gather Required Documents
📋 Essential Documents:
- ✓ Photo ID (passport or driving license)
- ✓ Proof of address (utility bill dated within 3 months)
- ✓ Proof of home ownership or tenancy
- ✓ Benefit statements (if applicable) - dated within 3 months
- ✓ Last 3 months payslips OR P60 (if LA Flex route)
Submit Full Application (15 Minutes)
Complete the detailed application with your documents:
- Use our secure online form at freeboilerupgrade.uk/apply
- Upload clear photos of documents (phone camera works fine)
- Double-check all information for accuracy
Application Review (1-2 Weeks)
Our team verifies your eligibility. You'll receive email updates at each stage.
Home Survey (2-3 Weeks)
A qualified surveyor visits your property (45-60 minutes) to assess your heating system and confirm suitability.
Installation Day (6-8 Hours)
Gas Safe registered engineers install your new A-rated boiler. Includes system flush, new controls, and full certification.
£0 Cost to You
The entire process - from eligibility check to installation - is 100% free under ECO5. No hidden fees, no contributions, no repayments.
Expected Savings & Benefits from ECO5 Heating Upgrades
Let me break down exactly what you can expect to save with ECO5 heating upgrades, based on real data from installations I've overseen:
Annual Savings by Upgrade Type
A-Rated Boiler Replacement
£800 - £1,020
Replacing G-rated (60% efficiency) with A-rated (94% efficiency)
Air Source Heat Pump
£600 - £1,200
For suitable properties, renewable heating with lower running costs
Cavity Wall Insulation
£300 - £500
Reduces heat loss through walls by up to 35%
Loft Insulation
£250 - £400
Prevents 25% of heat escaping through the roof
Lifetime value: A new A-rated boiler typically lasts 15-20 years. At £800/year savings, that's £12,000-£16,000 in total energy savings over the boiler's lifetime - plus the £3,000-£4,000 value of the boiler itself. That's potentially £15,000-£20,000 in total value for eligible households.
PROPERTY VALUE BOOST:
Beyond energy savings, improved EPC ratings increase property value. Research shows moving from EPC G to EPC C can add £2,000-£8,000 to your home's value - a hidden bonus of ECO5 upgrades.
What Our Customers Say
Margaret Thompson
73, Leeds
Pension Credit recipient
"Hamza helped me through the ECO4 process and the team installed my new boiler completely free. Now I'm paying just £55 a month instead of £140."
Robert Jenkins
68, Manchester
LA Flex approval
"I only get basic State Pension, but through LA Flex, they approved me. The installation was professional and my heating bills have halved."
Sarah Williams
34, Birmingham
Universal Credit recipient
"As a single mother, this scheme has been life-changing. Free boiler, professional installation, and my energy bills are now manageable."