Becoming a landlord: Landlord grants

There are various grants available to landlords, many of which focus on improving the energy efficiency of the least efficient homes in the UK. These grants include:

• Boiler Upgrade Scheme (external link)
• Energy Company Obligation (ECO) (external link)
• Great British Insulation Scheme (external link).

In addition to these, other grants address different needs beyond enhancing a property's EPC rating. For instance, Electric Vehicle (EV) Charge Point and Infrastructure Grants (external link) provide funding for the installation of EV charge points, enabling landlords to support sustainability by offering tenants a place to park and charge their EVs.

Disabled Facilities Grants (external link) can assist landlords with disabled tenants by funding essential modifications to make homes more accessible, promoting independent living for their tenants.

To legally rent out their properties, landlords must ensure their rental properties have an Energy Performance Certificate (EPC) rating of E or above, in accordance with the Minimum Energy Efficiency Standards (MEES) (external link). If a property has an EPC rating of F or G, landlords can access grants to upgrade it to an E or above.

The Energy Company Obligation (ECO) (external link) is currently in its ECO4 stage, running until 2026, and provides funding for installing energy-efficient measures in qualifying rental properties. These measures can include:

• Wall insulation grants  
• Loft or roof insulation grants
• Heating grants
• Greener heating systems installation grants.

To qualify for these grants, tenants must meet specific criteria and receive one of the listed benefits (external link). Alternatively, landlords can qualify if their rental property is located in an area of high fuel poverty.

The Boiler Upgrade Scheme (external link) can provide financial assistance to landlords in England and Wales who wish to replace fossil fuel heating systems in their rental properties with more sustainable options. Under this scheme, landlords can receive one grant per property, allowing them to apply for multiple grants if they own several rental properties.

If you choose to install an air source or ground source heat pump, you can receive up to £7,500. Alternatively, if you opt for a biomass boiler, the scheme offers up to £5,000 towards the installation costs.

Please note that these figures may change. For the most up-to-date information, visit GOV.UK (external link).

Eligibility for Boiler Upgrade Scheme

To qualify for the Boiler Upgrade Scheme, landlords must meet the following criteria:

• Own a rental property in England or Wales, including those used for business purposes.
• Replace an old fossil fuel heating system (oil, gas, or electric) with a more sustainable option.
• Have the new heating system installed on or after 1st April 2022.
• Ensure the property has a valid EPC certificate.
• Make sure there are no loft or wall cavity insulation recommendations for the property.

Landlords can apply for the scheme through a certified MCS installer. The installer will confirm eligibility, provide a quote, and handle the application process through the Ofgem (external link) website once the quote is confirmed.

One of the advantages of boiler grants for landlords is the potential for significant cost savings both in the short and long term. Firstly, these grants can reduce the upfront expenses associated with installing a new boiler. In addition, replacing an old heating system with a more energy-efficient option can lead to lower energy bills, as these systems require less energy to generate the same amount of heat.

Moreover, with an improved heating system, boiler grants can enhance a property's EPC rating. A newer heating system is also generally more reliable, reducing the likelihood of breakdowns and the associated repair and maintenance costs. Finally, an upgraded heating system can make a rental property more attractive to potential tenants.