Home Energy Scotland Scheme enhanced with new grants

7th December 2022

This month, the Scottish Government has introduced measures to make it simpler and more affordable for people to install low carbon heat and energy technology in their homes.

The update to the Home Energy Scotland Scheme includes enhanced offers to consumers with both a grant scheme and a supporting optional interest-free loan scheme. There is a particular focus on making heat pump installation more affordable for lower and middle income households.

There is also an additional uplift to grants for people in rural areas, which are often off the gas grid.

Consumers can now apply for:

  • A grant of up to £7,500 to install a heat pump; if the household is eligible for the rural uplift, the grant value is up to £9,000.
  • An optional interest-free loan of up to £7,500 towards the remaining cost of a heat pump installation.
  • A grant of up to £7,500 to cover up to 75% of the combined cost of home energy efficiency improvements; if the household is eligible for the rural uplift, the grant value is up to £9,000.
  • An interest-free loan of up to £6,000 for battery storage systems.

Ian Rippin, CEO of MCS, said: “It is promising to see the Scottish Government develop and promote a scheme to make renewable home heating more affordable for families living through the cost-of-living crisis. Home-grown energy and heating will continue to be a reliable solution in the future and now is the time for governments and individuals to invest in growing the potential of energy and heat independence that renewable technologies offer. Scotland has raised the bar set by the Boiler Upgrade Scheme in England and Wales, helping to give more people in the UK confidence in renewables.

“Our recent report, Low Carbon Landscapes, highlights the outstanding performance of Scotland in installing domestic renewables compared to the rest of the UK. A huge 70% of the top 10 UK areas for renewable technology installations were in Scotland last year; this means 1.3% of all Scottish homes now have some type of renewable installation. The financial support offered by Home Energy Scotland creates an environment in which it is even easier for Scotland’s homewowners to install reliable green technologies in their homes.”

For more information, including how to apply for a loan and example cost breakdowns of what is covered, visit the Home Energy Scotland website.