Home Upgrade Grant

HUG2 is a new Government grant scheme to fund energy-saving upgrades for residents with off-grid gas heating systems who are most likely to be impacted by the high cost of energy bills. If your home was cold last winter and you struggled to pay your bills, you might be eligible.

This could help you to use less energy, reduce your carbon footprint and spend less on your energy bills.

Eligibility criteria

The Home Upgrade Grant Phase 2 (HUG2) is open to home-owners and private tenants in:

  • Homes not heated by mains gas which includes  oil, coal, LPG or only electric heating.
  • Households with a combined annual income of less than £36,000 OR receiving certain income-related means-tested benefits such as Universal Credit OR you live in an Index of Multiple Deprivation (IMD) area (eligible postcodes can be found here).
  • Hard to heat homes – this is based on your home Energy Performance Certificate (EPC). You will be helped with this part of the assessment and receive a free EPC assessment if you do not have one already.

Landlords, who have four or fewer properties, will be able to apply and will be required 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 will it help?

You may be offered energy saving improvements to help cut your energy bills and reduce your carbon emissions. These could include: 

  • Insulation and ventilation upgrades (to keep you warm in winter and cool in summer).
  • A low carbon heating system such as an air source heat pump (which will mean upgrading any existing heating system).
  • 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.
  • Solar panels (PV) to generate electricity.
  • Energy efficient lighting which is cheaper to run.

A survey will identify what is suitable for your home and you’ll get a free updated EPC assessment.

You can find links to other sources of help at:  Cost of living support  

How to apply?

HUG2 funding is now open to private tenants, landlords and home-owners and will be available until March 2025.

You can apply via: hugapply.co.uk/ or by calling Agility Eco on 0800 107 8883 


Sustainability Team contact information