The Nest scheme (Welsh Government)
Nest is the Welsh Government's free energy efficiency scheme for households across Wales. Unlike the UK-wide schemes, Nest is administered entirely by Welsh Government and is available to homeowners and private renters in Wales.
What Nest provides:
- Free boiler replacement for qualifying households
- Free loft insulation
- Free cavity wall insulation
- Free air source heat pump installation in some cases
- Energy advice
Eligibility: The scheme targets households in fuel poverty β typically those on means-tested benefits or with low incomes, and with a home that has an EPC rating of D, E, F, or G. Eligibility also covers households with a member who has a qualifying health condition affected by cold homes.
How to apply: Call 0808 808 2244 (free phone, MonβFri 8amβ6pm) or apply online at gov.wales/nest. Nest assessors visit your home to confirm eligibility and arrange the work.
Nest is particularly active in Welsh Valleys communities, rural areas, and coastal North Wales β areas with high fuel poverty rates. Blaenau Gwent, Rhondda Cynon Taf, Neath Port Talbot, and Anglesey have particularly high uptake.
Boiler Upgrade Scheme (Β£7,500 grant)
The Boiler Upgrade Scheme (BUS) is a UK Government grant available in Wales (alongside Nest) for heat pump installation. From April 2024, the grant is Β£7,500 for an air source heat pump.
What BUS provides:
- Β£7,500 off the cost of a qualified air source heat pump installation
Eligibility:
- Available to homeowners in England and Wales
- Property must have a current EPC with no outstanding recommendations for loft or cavity wall insulation
- An MCS-certified installer must carry out the installation and apply for the grant on your behalf
How to access: Find an MCS-certified heat pump installer β search at mcscertified.com. The installer applies for the grant and deducts it from the quoted price. You pay the net amount.
An air source heat pump (installed cost before grant) typically costs Β£9,000β15,000 in Wales. After the Β£7,500 BUS grant, the net cost is Β£1,500β7,500 depending on property size and system specification.
BUS grant availability for individual households has generally been reliable since April 2024. Check with an MCS installer for current availability.
ECO4 scheme
ECO4 (Energy Company Obligation 4) is a UK-wide scheme funded by the large energy suppliers. It provides free insulation, heating, and energy efficiency measures to low-income households.
What ECO4 provides:
- Free insulation (loft, cavity wall, solid wall)
- Free heat pump installation
- Free boiler replacement in specific circumstances
- Other energy efficiency measures
Eligibility: ECO4 is similar to Nest in targeting low-income households, but is administered through energy suppliers rather than Welsh Government. Properties must have low EPC ratings (D, E, F, or G) to qualify.
How to apply: Contact your energy supplier directly, or use the government's ECO4 helpline at 0800 444 202. Third-party referral companies also offer eligibility checks β be cautious of cold-callers claiming to offer free grants.
In Wales, Nest and ECO4 often work together. Nest assessors can refer eligible households to ECO4 for measures not covered by Nest.
Which scheme is right for you?
| Your situation | Best option |
|---|---|
| Low income, old boiler, Wales only | Nest scheme β call 0808 808 2244 |
| Homeowner, want heat pump, any income | BUS grant via MCS installer |
| Low income, poor insulation, England or Wales | ECO4 via energy supplier |
| Landlord with low EPC rating | ECO4 or Great British Insulation Scheme |
For most Welsh homeowners with older boilers and lower incomes, the Nest scheme should be the first call. For those with newer homes and interest in heat pumps regardless of income, BUS is the route. ECO4 catches cases that Nest does not cover, particularly for insulation.
Avoid "free grant" cold callers β Legitimate grant schemes do not require upfront payments or aggressive sales. Nest and ECO4 are applied for directly via official channels.