Given the fact that energy bills are a concern for the UK at the current time, many are wondering a pressing question: do electric heaters qualify for ECO energy schemes?
If you are already using electric heating, particularly electric storage heaters or portable electric heaters, you might be curious about whether it is possible to obtain any kind of government assistance to allow you to switch to a more economical and efficient alternative.
The answer is yes, but that depends on the type of electric heating you have and whether you and your household are eligible for the ECO4 scheme. In this guide, we’ll provide all the information, and that way, you’ll know where you stand and what help you could get.
What Is the ECO4 Scheme?
It is basically the Energy Company Obligation Phase 4. The ECO4 is a government-supported initiative in the United Kingdom that aims:
- Reduce carbon emissions
- Improve home energy efficiency
- Help low-income and vulnerable households lower their energy bills
ECO4 continues until March 2026, and its main emphasis is again on domestic properties that are expensive to heat or have inefficient heating.
Under ECO4, energy suppliers fund upgrades such as:
- Heating system replacements
- Insulation improvements
- Heating controls and efficiency measures
For any households that qualify, these heating upgrades are often fully funded, meaning no upfront cost.
What Counts as Electric Heating?
Before we look at the eligibility criteria, it’s important to understand what “electric heating” actually means under ECO4.
Electric heating usually includes:
- Old electric storage heaters
- Panel heaters
- Night storage heaters
- Portable plug-in heaters
- Electric radiators without smart controls
Many of these systems are also quite expensive to operate, especially when combined with poor-quality insulation or outdated tariffs.
Do Electric Heaters Qualify Under ECO4?
The short answer: Yes – but not all electric heaters qualify in the same way.
ECO4 generally does not provide funding for replacing existing electric heaters with newer electric heaters, with the exception that it results in a relatively great improvement in energy efficiency.
Instead, ECO4 mainly focuses on replacing inefficient electric heating with better systems, such as:
- High-retention electric storage heaters
- Renewable heating systems (in some cases)
- Hybrid or low-carbon alternatives
- Improved insulation to reduce heating demand
Therefore, if the electric heating you are currently using proves to be expensive and inefficient or out of date, you might qualify for help – although the available solution may not be what you expect.
Electric Storage Heaters and ECO4
Electric storage heater grants are one of the most common heating schemes targeted by ECO4, particularly in flats and off-gas domestic properties.
Under ECO4, those who qualify may be able to claim:
- New high retention storage heaters
- Smart controls and thermostats
- Upgrading insulation and heating improvements
Support of this type is commonly known as an Electric Storage Heater Grant; however, it is being provided under an ECO4 Scheme and not under its own program.
Modern storage heaters are much more efficient compared to the previous models. They store heat better, distribute heat evenly, and cut down energy wastage, which affects the energy bill positively.
Who Is Most Likely to Qualify?
You’re eligible to apply for ECO4 funding to install electric heating if:
- You qualify for some benefits (for example, Universal Credit, Pension Credit, or Income Support)
- Your sources of income are limited
- Your property has a low EPC rating, which might be E, F, or G.
- You use the electric heating system as your heating method
- Your home costs a lot to heat, and is not well-insulated
Both owner-occupiers and private tenants may be eligible, although the necessary approval must be obtained from the landlords if the property is rented.
What Upgrades Can ECO4 Offer Instead of Electric Heaters?
In many cases, ECO4 aims to move low-income households away from inefficient direct electric heating rather than replace it with similar systems.
Depending on your property, ECO4 may offer:
- Modern storage heaters
- High-retention models and efficient use of off-peak power by up-to-date control methods.
- Insulation measures, including:
- Loft insulation
- Cavity wall insulation
- Solid wall insulation (where appropriate)
Insulation can be retrofitted before or at the time of heating upgrade installations.
Alternative Heating Systems
In some households, ECO4 can help change their current heating source to a completely different one (like air source heat pumps) if it provides a long-term savings benefit and carbon emissions reductions.
What ECO4 Does Not Usually Cover
It is necessary to have realistic expectations. ECO4 does not finance these:
- Portable electric heaters
- Conventional panel heaters as replacement options
- Portable electric heaters without substantial efficiency enhancements
- Luxury or cosmetic heating upgrades
The aim is specifically the reduction of fuel poverty, rather than convenience enhancements.
Why ECO4 Is Careful With Electric Heating
Electricity is more expensive per unit than gas in the UK. Whereas an electric heater can be clean, it is often expensive to run if the system is inefficient or the home loses heat easily.
That’s why ECO4 focuses on:
- Reducing heat loss first
- Installing systems that use electricity more wisely
- Improving overall home efficiency
It’s not just about acquiring new and modern technology; it’s about reducing bills and having a warmer home.
Are Private Tenants Eligible to Apply for the ECO4 Electric Heater Scheme?
Yes, private tenants may qualify for support from the ECO4 scheme for upgrades to electric heating in their homes if:
- They meet the income or benefit criteria
- The property has a low EPC rating
- The landlord gives permission
ECO4 upgrades do have an added benefit as they can also improve a landlord’s EPC rating, which helps them meet legal rental requirements.
How to Apply for ECO4 Support
The application process is typically easy when working through an ECO-approved installation partner or energy supplier.
The process normally follows this order:
1. Eligibility check: Based on income, benefits, and property details
2. Home assessment: To confirm heating type and efficiency issues
3. Grant approval: Funding confirmed under ECO4
4. Installation: Work carried out at no or minimal cost
There’s no need for direct application to the government. It’s taken care of by the approved provider.
Is ECO4 Worth It If You Have Electric Heating?
If you’re currently using old electric heaters and finding it costly, you might benefit from what ECO4 has to offer:
- A warmer home
- Lower energy costs
- Safer and more reliable heating
- Payment is not required at signing
Although electric heaters themselves would not be replaced on a one-for-one basis, the difference that ECO4 offers is a huge one.
The Bottom Line
So, do electric heaters qualify for ECO energy schemes?
Under ECO4, the answer is yes – in the right circumstances. While traditional electric heaters aren’t always like-for-like replacements, households with ineffective electric heating might be eligible for upgraded storage heaters, insulation, or other measures to genuinely lower their costs.
If you have come across a Free Storage Heater Grant scheme, this will most likely be included as part of the ECO4 funding, and this could possibly be your best opportunity to switch from expensive and outdated methods of heating your home. If your home is heated by electricity and your energy bills are unaffordable, it is well worth exploring whether you are eligible.
ECO4 has one mission: to support households like yours. So, check if you qualify today!