Government Grants for Storage Heater Upgrades: What You Need to Know in 2025
As energy prices continue to fluctuate and the UK government pushes for greener, more efficient homes, upgrading to modern electric storage heaters is a timely and cost-effective solution. Fortunately, several government-backed schemes in 2025 are helping households and landlords make the switch without bearing the full financial burden. If you have outdated heaters, here’s everything you need to know about available grants, eligibility, and how to apply.

As energy prices continue to fluctuate and the UK government pushes for greener, more efficient homes, upgrading to modern electric storage heaters is a timely and cost-effective solution. Fortunately, several government-backed schemes in 2025 are helping households and landlords make the switch without bearing the full financial burden. If you have outdated heaters, here’s everything you need to know about available grants, eligibility, and how to apply.
What Are Electric Storage Heaters?
Electric storage heaters are devices that store heat during off-peak electricity hours (usually at night) and release it gradually throughout the day. This system works best with time-of-use tariffs like Economy 7 or Economy 10. However, traditional models from the 1970s to early 2000s are often inefficient, bulky, and lack smart features.
Why Upgrade?
Older storage heaters often:
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Waste energy due to poor insulation and lack of control
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Provide inconsistent room temperatures
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Increase electricity bills unnecessarily
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Cannot be programmed or monitored remotely
Modern high heat retention (HHR) storage heaters are designed to fix these problems. They include features such as digital thermostats, open window sensors, and even Wi-Fi integration—making them far more energy-efficient and user-friendly.
Government Support for Storage Heater Upgrades in 2025
In 2025, there are several funding routes you can explore to help cover the cost of replacing your outdated storage heaters.
1. GBIS (Great British Insulation Scheme)
Although primarily focused on insulation, the GBIS scheme also includes secondary measures like high heat retention electric storage heaters for eligible households. To qualify, your home must typically:
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Be in a lower council tax band (A–D in England, A–E in Scotland and Wales)
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Have a low EPC rating (E, F, or G)
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Be occupied by someone on a low income or vulnerable to the cold
Under the GBIS, grants can cover a large portion—or even all—of the installation cost. Find more about storage heater upgrades under GBIS here:
👉 Simple Green Energy – Electric Storage Heater Grants
2. ECO4 Scheme
The Energy Company Obligation (ECO4) is a major government program running through March 2026. It aims to help low-income and fuel-poor households improve energy efficiency. Measures include:
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Loft insulation
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Cavity wall insulation
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Boiler replacements
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Electric storage heater upgrades
If your home currently uses electric heating and you’re receiving qualifying benefits (such as Universal Credit, Income Support, etc.), you may be eligible. More about Simple Green Energy’s participation in ECO4 can be found here:
👉 Simple Green Energy – Official Website
What Makes You Eligible for These Grants?
Eligibility varies slightly depending on the grant scheme, but common requirements include:
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Low household income (typically under £31,000/year)
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Receiving government benefits, such as:
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Pension Credit
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Child Tax Credit
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Housing Benefit
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Health or vulnerability-based conditions, verified through a GP letter
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Poor EPC rating (E, F or G)
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Council Tax Band A-D (England) or A-E (Scotland & Wales)
Even if you don’t receive benefits, you may qualify through routes like the flexible eligibility (Flex) pathway if your household is considered vulnerable to cold or damp living conditions.
Benefits of Upgrading to Modern Storage Heaters
1. Energy Savings
High heat retention storage heaters are up to 30% more efficient than older models. That translates into lower bills and reduced carbon emissions.
2. Smart Controls
New systems offer digital programming, Wi-Fi control, and automatic temperature adjustment. You can manage your home’s heating via an app—maximizing comfort and cost-effectiveness.
3. Improved Home Value
Energy-efficient appliances boost a property’s EPC rating, which can positively affect resale value and make rental properties more compliant with MEES (Minimum Energy Efficiency Standards).
4. Safety and Compliance
New installations follow the latest safety standards and are often required to meet government technical specifications. See the official government guidance here:
📄 Technical Document: Electric Storage Heaters – GOV.UK (PDF)
How to Apply for a Storage Heater Grant
Applying is easier than you might expect. Reputable installers like Simple Green Energy handle much of the process for you, including the assessment, funding application, and installation.
Step-by-step process:
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Eligibility Check – Fill out a quick online form or speak to an advisor
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Home Survey – A free property assessment is arranged
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EPC and Qualification – The installer determines if your EPC rating qualifies
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Funding Application – Submitted on your behalf to the grant scheme
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Installation – Approved installers carry out the work professionally and safely
Start your application with Simple Green Energy here:
👉 Apply for Electric Storage Heater Grant
Landlords and Private Tenants: Can You Apply?
Yes. Private tenants can benefit from the schemes, but the landlord’s permission is required. In many cases, landlords are open to grant-funded upgrades since it boosts the property’s EPC rating and helps meet regulatory standards.
What to Watch Out For
While these grants are highly beneficial, be cautious of:
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Unaccredited installers – Always choose TrustMark or PAS2030 certified contractors
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Hidden charges – Legitimate grants will not ask for large upfront fees
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Scam calls or texts – Only apply through official sources or vetted partners
Final Thoughts
Government grants for electric storage heater upgrades in 2025 are making it easier and more affordable for households to improve energy efficiency and comfort. Whether you’re a homeowner struggling with old inefficient heaters or a landlord trying to upgrade a property, now is the time to explore these fully or partially funded options.
Let trusted partners like Simple Green Energy guide you through the process—from eligibility checks to hassle-free installation.
Visit them here to learn more: 👉 www.simplegreenenergy.org