Grants For Free Heat Pumps in Wales
- Home
- Heat Pumps
Free Heat Pump Grants in Wales
100% free heat pump grants are now available in Wales through the government Energy Company Obligation (ECO4) scheme.
ECO is a government-led scheme which provides grant funding for families deemed to live in fuel poverty. If a member of your household claims a means tested benefit, and you live in a house with a low energy rating, you may be entitled to a completely free heating grant. The grants are non-repayable so you won’t have to pay any money back.
What is a heat pump?
An air source heat pump (ASHP) is a renewable and energy efficient heating system that extracts heat from the air or ground and converts it to heat which can be used for your hot water and central heating. Heat pumps are becoming increasingly popular and are seen as the ECO-friendly alternative to traditional central heating systems which rely on a fuel source like gas, oil or LPG.

There are two main types of heat pumps:
- Ground source – which function by absorbing heat from the ground to provide hot water for your taps and radiators.
- Air Source – this type of heat pump absorbes heat from the air which is compressed and used to provide heat for your hot water and central heating system. It works a similar way to a boiler does to provide heating for your home. Air source heating is thee type of unit which is available through the government grant scheme.
Here’s how an air source heat pump typically operates:
- Heat Collection: The heat pump unit, usually fixed to the outside of the building, absorbs heat from the outside air using a refrigerant fluid. It even works in cold weather as there is still heat energy present in the air.
- Heat Conversion: The absorbed heat is transferred to a refrigerant circulating within the heat pump, causing it to evaporate into a gas.
- Heat Distribution: The gas is then compresse which results in increasing its temperature. The heat is then transferred to your central heating system, such as underfloor heating or radiators
- Heat Release: After releasing its heat energy, the refrigerant returns to liquid and flows back to the outdoor unit to repeat the cycle.

Benefits of air source heat pumps
- Energy Efficiency: ASHPs can produce more heat energy for heating than the electrical energy they consume (normally up to x5). They can achieve high coefficients of performance (COP), making them an efficient heating solution.
- Renewable Heating: Heat pumps utilize renewable energy from the air, which is constantly replenished by the sun. This makes them a more environmentally friendly alternative to fossil fuel-based boilers.
- Reduced Carbon Emissions: By using renewable energy, ASHPs help reduce greenhouse gas emissions associated with heating systems.
- Cost Savings: The long-term operational costs are generally lower compared to traditional heating systems. This can result in energy savings and lower utility bills. Especially when installed with a Solar Panel PV system which reduces the cost of the electricity required to power a heat pump.
It’s important to note that the performance of an air source heat pump can vary depending on factors such as climate, insulation, and system sizing. Professional installation and proper system design are essential for optimal efficiency and performance.

Heat pump annual cost savings in Wales

Heat pump annual carbon emisssion savings Wales
Air source heat pump benefits include that it’s a more sustainable option than traditional oil or gas heating, so can help your home to become more energy efficient and reduce your carbon footprint.
Heat pumps require electricity to run, but they use the electricity more efficiently than other heating systems, with a typical heat pump using only about a quarter of the energy needed for a traditional gas boiler. Plus, if the electricity comes from renewable sources, such as your own solar panels, emissions could be even lower. E.ON Energy
Who is eligible for a free heat pump in Wales
The ECO 4 grant scheme is part of the UK and Welsh governments environmental commitment to reduce CO2 emissions and help lower-income families in Wales cope with the rising cost of heating their homes.
The ECO scheme runs until March 2026. £4 Billion in grant funding has been put aside by the biggest energy companies to install energy efficiency measures incl;uding air source heating systems, solar panels, and wall insulation.
Free Heating Grants in Wales
How do Heat pump grants work?
Getting a free heat pump grant in Wales is easy. There is no complicated application or forms. If you are eligible and you live in a Welsh postcode area we do all the work for you. Provide a few details about you and your property and we do all the rest.
Step
01
Check your eligibility
Use our contact form to provide us with a few details about your property’s heating and construction. We also need to know is someone in the household claims a benefit.
Step
02
Arrange a home survey
If you live in Wales and you are eligible, one of our accredited energy efficiency surveyors will contact you to arrange a free central heating survey at your home. We will also check your insulation.
Step
03
Free installation
We install the heat pump and new radiators, pipework & water tank if required. We then claim the grant back from our ECO funder. You don’t have to do anything.
Heat Pump Grants Wales – FAQ’s
What is an air source heat pump?
An air source heat pump is a heating system that employs natural air as a source of heat. It absorbs heat from the outside air and compresses it to provide heat for your hot water taps and central heating. From this perspective it heats your home in a similar way to a boiler, but it does not burn a fuel source like gas or oil, so heat pumps are more ECO-friendly.
Do air source heat pumps work in Wales?
Yes air source heat pumps are good for properties in Wales. Some air source models are designed to function at temperatures as low as -25 degrees.
Are heating grants really completely free?
Yes, because the ECO scheme is designed to help vulnerable households cope with fuel poverty, you will never be asked to repay a grant or even make a financial contribution. All measures and work installed under the Energy Company obligation is covered by a 100% grant if you are eligible for the scheme.
Are ECO grants means tested?
- Universal Credit
- Child Tax Credits
- Working Tax Credits
- Income Support
- Income Based JSA
- Income Related ESA
- Housing Benefit
- Pension Savings Credit
- Pension Guarantee Credit
In addition to the above, families on a low income who claim basic child benefit may also be eligible if their total household income is below the following relevant thresholds:
1 Child | 2 Children | 3 Children | 4+ Children | |
Single Person | £19,900 | £24,800 | £29,600 | £34,500 |
Part of A Couple | £27,500 | £32,300 | £37,200 | £42,000 |
Grant funding for free air source heat pumps in Wales are available via the government-backed Energy Company Obligation scheme. Where possible they will be installed alongside solar panels to help further reduce energy bills. If your property has substandard insulation or ventilation this will also be installed for free. The cost will be covered by an ECO grant.