The air in London’s homes loses heat three times faster than in the average German home. For homeowners, private landlords, and property managers across the capital, this staggering statistic translates directly into a cycle of soaring energy bills, uncomfortable living spaces, and properties that fail to meet modern standards. As of a recent study, 379,000 households in London are living in fuel poverty, highlighting the urgent need for energy efficiency improvements.
In October 2025, however, a massive shift is underway. The £231 million Warmer Homes London (WHL) initiative is now in its active delivery phase, offering transformative grants for insulation, heat pumps, and other energy-efficiency upgrades. This initiative will unlock millions of pounds in funding for energy efficiency improvements across London, making substantial funds available for large-scale home upgrades and decarbonization efforts. For many eligible properties, this can mean receiving up to £30,000 in free or heavily subsidised improvement works. The Mayor of London, Sadiq Khan, has committed nearly £10 million over four years for the Warmer Homes London program.
At CMR London, we don’t just see a grant; we see an opportunity to future-proof the capital’s building stock. This comprehensive guide, informed by our expertise as accredited London retrofit contractors, cuts through the bureaucracy to give you precise answers on Warmer Homes London grant eligibility, what works are covered, and how you can move from application to a warmer, greener property this winter.
The London Retrofit Imperative: Why Action is Critical in 2025
For architects and property owners in London, the push toward net-zero buildings is no longer a future aspiration—it’s a current necessity driven by economics and regulation. London’s housing stock is among the oldest in Europe, leading to chronic fuel poverty and high carbon emissions. Retrofit London, a key partnership launched in 2021 to tackle fuel poverty and improve the energy efficiency of London’s homes, is central to addressing these challenges and transforming the city’s homes.
The Warmer Homes London programme, led by the Mayor of London and London Councils, is specifically designed to tackle this challenge head-on. Working collaboratively, London’s local authorities play a crucial role in implementing energy efficiency and retrofit projects, ensuring effective coordination and delivery across boroughs. By securing over £56 million from the national Warm Homes Local Grant (WHLG) and coordinating over £175 million for social housing (WHSHF), the initiative provides the financial firepower needed to start the city’s retrofit revolution. Funding for the Warm Homes Local Grant has been secured from the Department for Energy Security and Net Zero.
This funding is focused on making homes warmer, healthier, and cheaper to heat by targeting two primary goals: reducing energy demand through insulation and switching properties to low-carbon heating. Proper insulation can significantly reduce energy needed for heating, potentially saving hundreds of pounds annually.
Unlocking the Funding: Your Warmer Homes London Grant Eligibility
The question everyone asks is, “Am I eligible?” The scheme is designed to help those most in need, targeting vulnerable Londoners, including low income owner occupiers, private tenants, and those living in low income private housing. Eligibility is determined by a combination of your household income and your property’s Energy Performance Certificate (EPC) rating. Households eligible for the Warm Homes: Local Grant typically have an income of £36,000 a year or less.
The Warm Homes Local Grant (WHLG), the stream most relevant to private homeowners, tenants, and private landlords, uses clear criteria that must be met.
Household Eligibility: Income and Benefits
The Warm Homes Local Grant (WHLG) scheme is designed to support low income households in London and aims to reduce fuel poverty by improving energy efficiency.
- Low Income Threshold: The gross annual household income must be £36,000 or less.
- Deprived Postcodes: The property is located within one of the government’s designated low-income postcodes (as defined by the Indices of Multiple Deprivation Income Deciles 1-2).
Property Eligibility: The Crucial EPC Rating
In addition to meeting the income criteria, your property must also have a poor energy rating, meaning it has the greatest potential for improvement.
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EPC Rating Requirement: Your home must have an Energy Performance Certificate (EPC) rating of D, E, F, or G.
If you do not know your current EPC rating, this can be quickly checked on the Government’s dedicated EPC register. This rating is the non-negotiable gateway to accessing the grant. In many cases, a home survey may be carried out by local authorities or approved contractors to assess your property’s suitability for energy efficiency improvements.
For Private Landlords and Property Managers: The Commercial Case
For Property Managers overseeing a portfolio of tenanted properties, the WHLG provides a unique financial opportunity to improve asset value and ensure regulatory compliance, particularly with the tightening MEES regulations. The grant specifically supports energy efficiency upgrades in private homes, benefiting both landlords and tenants by making these properties warmer, more comfortable, and environmentally sustainable.
- First Property: You can receive 100% free grant funding for the first eligible property in your portfolio (up to the £30,000 cap).
- Subsequent Properties: For all other eligible properties, you will receive 50% of the upgrade costs funded by the grant, up to a maximum contribution of £15,000 per property.
By partnering with an accredited contractor like CMR London, landlords can leverage this funding to upgrade private homes that might otherwise be prohibitively expensive to retrofit, resulting in lower tenant bills, reduced cost of heating and maintaining private homes, and higher long-term asset value.
From Grant to Great: What Measures Qualify for Funding?
The £30,000 available under the Warm Homes Local Grant is not a single payment; it is the maximum aggregated value of the approved measures installed in your home. The focus is on a ‘whole house’ approach, moving your property to the highest possible standard, ideally EPC Band C. The Warmer Homes London Initiative will help thousands of Londoners save money on their energy bills.
This grant covers a range of energy saving measures designed to improve the energy efficiency of homes, helping residents save energy and reduce their bills. The grant funds energy improvements such as insulation, solar panels, and heat pumps.
The funding covers two primary categories of work that CMR London delivers across Central London and the surrounding boroughs, with installing energy saving measures such as insulation and low-carbon heating being central to the scheme.
1. Energy Performance Upgrades (Up to £15,000 per property)
These are the fundamental measures needed to stop heat escaping from your property.
- Insulation Works: This includes loft insulation, cavity wall insulation, external wall insulation (EWI), and internal wall insulation (IWI)—all crucial for older London properties. Social housing providers, such as local authorities and housing associations, are also eligible for funding to improve their housing stock with these measures. (See our full range of insulation and refurbishment services here).
- Glazing: Installation of double or triple glazing in certain circumstances.
- Draught Proofing & Ventilation: Essential measures to ensure airtightness and healthy air quality within the newly insulated home.
2. Low-Carbon Heating Installations (Up to £15,000 per property)
For properties suitable for decarbonisation, funding is available to move away from fossil fuels. Housing associations, as key stakeholders, are actively involved in delivering these upgrades to their properties, often in collaboration with local authorities and government initiatives.
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Air Source Heat Pumps (ASHPs): The primary low-carbon heating solution, highly efficient and a key focus of the national scheme.
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Solar Panels (Solar PV): Installation of solar photovoltaic arrays and battery storage systems to generate and store clean electricity.
Crucial Note for Architects: All projects delivered under the Warmer Homes London initiative must adhere to the PAS 2035 standard [4]. This requirement ensures that a qualified Retrofit Coordinator oversees the assessment, design, and installation of all measures, guaranteeing a high-quality, durable, and safe outcome.
The CMR London Solution: Partnering for PAS 2035 Compliance
Executing a successful retrofit project requires more than just a builder; it requires a contractor with proven expertise and authority in government-backed schemes. This is where CMR London’s focus on public sector refurbishment becomes your competitive advantage.
Our team has demonstrable Experience working with property management firms and local authorities across London, delivering complex refurbishment and maintenance projects. We help clients secure funding from a range of sources, including the social housing fund and other government-backed funds, to support energy efficiency upgrades. Our Expertise is rooted in being fully aligned with the technical requirements of the WHL scheme, including the mandatory PAS 2035 framework. We work with accredited Retrofit Coordinators to ensure compliance from the initial assessment through to final sign-off.
The sheer scale of this grant—with local authorities transitioning from the allocation to the delivery phase throughout October 2025—means that only contractors with established processes and compliance credentials will be able to handle the workload. As part of the delivery phase, a new hub has been established to coordinate funding and policy collaboration for retrofit projects across London. Our focus on transparent documentation, quality installation, and rigorous project management gives our clients the Trustworthiness they need to rely on us for their most valuable assets.
We are committed to strengthening the London supply chain for retrofit and providing energy advice to residents as part of our comprehensive support.
Frequently Asked Questions about Warmer Homes London Grant Eligibility
Q1. What is the difference between the Warm Homes Local Grant (WHLG) and the Warmer Homes London scheme?
A. The Warm Homes Local Grant (WHLG) is a government-supported local grant scheme aimed at improving energy efficiency for low-income households. Warmer Homes London (WHL) is the overarching, London-specific partnership (Mayor of London/London Councils) that successfully bid for this funding and coordinates its delivery across the capital’s boroughs to maximize efficiency and reach.
Q2. Can I apply for the grant if my home already has gas central heating?
A. Yes, the scheme is open to all fuel types, including homes on the gas grid. Eligibility primarily rests on your EPC rating (D-G) and your household income. Measures like insulation are often the priority, as they benefit all properties regardless of the heating system.
Q3. As a landlord, can I receive the grant funding directly?
A. No, the funding is provided to the contractor (CMR London, for example) via the Local Authority or the scheme administrator. As a landlord, you apply to the scheme, and once approved, the grant covers the costs of the agreed-upon works performed by the approved contractor. You only pay the co-funding portion (50% for properties after the first one).
Q4. Does this scheme cover all London boroughs?
A. Yes, the WHLG allocation secured by the GLA covers the majority of London boroughs. Delivery is currently in progress, providing support to eligible residents in 31 London boroughs and the City of London. (Note to User: Please insert specific boroughs or client locations you wish to highlight here for maximum local SEO impact.)
Q5. What if I want additional work done that isn’t covered by the grant?
A. The grant is specifically for energy-efficiency and low-carbon heating measures. However, a comprehensive retrofit project often involves other refurbishment works. CMR London is a full-service construction company, and we can coordinate the delivery of any non-grant-funded works alongside the WHL-funded measures to ensure a seamless, single-project timeline. (Explore our full refurbishment and construction services here).
About the Author
David Brett is a Director at CMR London with over 20 years of experience in the London construction industry. Specialising in comprehensive refurbishment and deep retrofit projects, David is a recognised expert in sustainable building practices and has led numerous successful projects in Westminster, Islington, and across Central London.