• Cosy Home Solutions

ECO2t funding: what's it all about?

Funding for home insulation is so widely available yet so underrated. This is why we wanted to discuss the potential funding opportunities you can receive when moving forward with insulation.

There are a variety of funding opportunities available from government schemes for insulation but we're going to focus on the ECO fund which covers the main areas of insulation.


To tackle fuel poverty as well as reduce carbon emissions, the UK government introduced to Great Britain an energy efficiency scheme called The Energy Company Obligation or ECO).


With ECO, there are two obligations


1. Carbon Emissions Reduction Obligation (CERO).

2. Home Heating Cost Reduction Obligation (HHCRO).


The Home Heating Cost Reduction Obligation (HHCRO).


Under HHCRO, (also known as the Affordable Warmth Obligation), suppliers must promote measures which improve the ability of low income and vulnerable household to heat their homes. This includes actions that result in heating savings, such as the replacement or repair of a boiler.


You are eligible under this aspect of ECO if you receive at least one of the following benefits and satisfy the relevant income requirements, where applicable:

  • Income-related employment and support allowance (ESA)

  • Income-based jobseeker’s allowance (JSA)

  • Income support

  • Pension Credit Guarantee Credit

  • Tax Credits (on the condition that the household’s relevant income does not exceed the amount set out in our scheme guidance)

  • Universal Credit (on the condition that the household’s relevant income in any of the preceding 12 assessment periods does not exceed the amount set out in our scheme guidance).

The Carbon Emissions Reduction Obligation (CERO)


Under CERO, obligated suppliers must promote ‘primary measures’, including roof and wall insulation and connections to district heating systems. Some CERO must also be delivered in rural areas.


Measures installed under CERO include a wide range of insulation measures, such as loft insulation or solid wall insulation.


Under this element of the scheme, there are no specific eligibility requirements, except that a certain proportion of measures must be delivered in rural areas.

How do you benefit from these?


In order to benefit from ECO, you must either own your own home or have the permission of your landlord/council as well as being in receipt of the correct benefits/income.


To make this as easy as possible, Cosy Home Solutions' staff are trained in the requirements for both CERO and HHCRO. We can help you to see which funding you'd be entitled to and what your next steps are.


If you're a council tenant, Cosy Home Solutions can manage all the main work required to get permission from your council. If you wish to discuss this more, call us on 0191 516 6177.


If you would like advice on energy efficiency or to see if you can benefit, you should contact Cosy Home Solutions on 0191 516 6177 or complete our contact form for more information.


Please note, throughout this article, we mention the funding as ECO. Currently, the funding as of writing this article is ECO2t due to the funding being reviewed but the overall content of this article apply to both ECO and ECO2t.

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