Home Upgrade Grant 2

Home Upgrade Grant 2 (HUG2) is a government funded scheme. The scheme is for homes that do not have mains gas heating systems.

Such homes could be heated by:

  • oil
  • coal
  • LPG gas
  • electric heaters
Logo - Agility Eco
Logo - HUG

If your application is successful, you will get free energy saving upgrades to your home. These will help you to reduce your energy bills and your carbon footprint.

If you struggle to heat your home effectively and pay your energy bills, you might be eligible.

Eligibility criteria

To be eligible, you must meet both of the following criteria:

  •  be a homeowner or private tenant in a home without mains gas
  •  live in a hard to heat home 

If you live in a hard to heat home, Agility Eco (our partner), can help you with this part of the criteria. 

Must also meet one of the following criteria:

  • live in a household with a combined annual income of less than £36,000
  • receive certain income related, means tested benefits such as Universal Credit
  • your home is in an Index of Multiple Deprivation area

What you could get

If eligible, you may be offered one or more free energy saving improvements to help cut your energy bills and reduce your carbon emissions.

These include: 

  • insulation and ventilation upgrades to keep you warm in winter and cool in summer
  • a low carbon upgrade to your current heating system such as an air source heat pump
  • heating controls which make sure you only use heat when you need it
  • an energy efficient hot water solution to keep your water warm for longer
  • photovoltaic solar panels to generate electricity
  • energy efficient lighting which is cheaper to run

A survey will identify what is suitable for your home. This will include a free updated Energy Performance Certificate (EPC) assessment.

If you are a landlord, who has 4 or less properties, you will be able to apply. You will need to contribute at least one third of the cost of the upgrades in addition to the funding provided. This will be agreed before work begins.

How to apply

Eligibility summary

Before you apply, check that you meet the eligibility criteria.

You must live in a:

  • home that is not heated by mains gas
  • hard to heat home

One of the following must also apply to you.

You:

  • live in a household with combined annual income of less than £36,000
  • are receiving an income related, means tested benefit such as Universal Credit 
  • live in an Index of Multiple Deprivation (IMD) area

HUG2 funding is available until March 2025, but will be allocated on a first come, first served basis. 

To learn more about this grant and to apply: