A new piece of the funding puzzle arrives in September: the UK Government’s Warm Homes Loan Scheme, part of its wider Warm Homes Plan. The scheme rules were published in June, so here’s what’s confirmed — and what’s still to land.
How it works
This one isn’t a grant paid to you. Instead, the government pays participating lenders a contribution of up to 20% of the loan amount, which the lender uses to cut the interest rate you pay on finance for low-carbon home upgrades. In effect: cheaper borrowing for the kit that cuts your bills.
- What it covers: heat pumps, solar PV and battery storage — including the ancillary works a heat pump install often needs, such as radiator, pipework and cylinder upgrades.
- Who it’s for: homeowners, with private landlords able to take part too.
- When: lenders are onboarding now, with loans expected to reach the public in September 2026.
- How you get it: through a participating lender, not a government application.
What it means in Scotland
Scotland already has the strongest funding in the UK — the Home Energy Scotland grant of up to £7,500 (up to £9,000 rural) plus an interest-free loan. The new scheme doesn’t replace any of that.
The honest answer on pairing: exactly how the Warm Homes Loan combines with Home Energy Scotland support is still being finalised. Our read is that it’s most interesting where HES support doesn’t reach — for example solar-and-battery projects beyond the HES loan cap, or landlords — but we’d rather confirm than guess. We’ll update our grants and funding guide the moment the rules are settled.
What to do if you’re planning a project
Nothing about September changes the sensible order of operations: get the design and the honest numbers first, then pick the funding route that fits. If you’re weighing up a heat pump, solar or a battery this year, ask us for a free estimate — we’ll tell you which funding applies to your project, including this one once it’s live.
Sources: UK Government Warm Homes Plan and the Warm Homes Loan Scheme rules published by the Department for Energy Security and Net Zero (June 2026).