Over the past few months, I’ve been working on implementing ECO4-funded improvements across some of our properties, and it’s been an eye-opening experience. The ECO4 scheme is a government-backed initiative designed to reduce carbon emissions while helping landlords and tenants benefit from free or heavily subsidised energy efficiency upgrades. It’s not just about insulation and heating—it’s about increasing property value, making homes more energy-efficient, and improving tenant satisfaction all at once.
Why ECO4 Is a Game-Changer
The core idea behind ECO4 is simple: make properties greener and more efficient at no or minimal cost. Through this scheme, properties can receive:
- Free insulation to walls and roofs
- Upgraded heating systems for better energy efficiency
- A free EPC once the work is completed (bringing properties up to at least a C rating)
- Cash incentives for landlords in the form of referral payments
At first, I was sceptical. Like many landlords and property managers, I assumed government-backed schemes would be complex, full of red tape, and ultimately not worth the hassle. But after working with companies involved in the ECO4 scheme, I quickly realised that this scheme is not only straightforward but hugely beneficial to both landlords and tenants.
The Work We’ve Done So Far
We started rolling out ECO4 improvements in our property portfolio in Liverpool, taking each block in turn. The first two properties we worked on had internal wall insulation , loft insulation , extraction fans in kitchen and bathroom and also the smart heating controls and thermostat for boiler and radiators, improving their energy efficiency significantly. The result?
- Improved property value – Better insulation and heating systems make these properties more attractive to future buyers and tenants.
- Happier tenants – Warmer homes mean lower energy bills and better living conditions.
- Higher EPC rating – The upgrades have brought these flats up to a C rating, future-proofing them against potential legal changes.
- Referral payments – For these two jobs alone, we received £150 for Flat 4 and £312 for Flat 2, just for getting the work done.
Challenges and Limitations
Of course, like any good thing, ECO4 comes with some restrictions. The biggest limitation is eligibility—only tenants who receive certain benefits qualify, which means we can’t roll this out across every property. The rules are also constantly evolving. Recently, only top-floor flats have been eligible due to concerns about heat loss, though this could change again in the future.
Despite these challenges, we’re moving forward with the scheme and looking to expand beyond Liverpool into other areas our properties are located. The more properties we can upgrade, the greater the long-term financial and environmental benefits.
Final Thoughts – Why Every Landlord Should Consider ECO4
If you’re a landlord or property manager and haven’t looked into ECO4 yet, you’re missing out. It’s a win-win:
- It adds value to your property
- It improves your EPC rating (which may soon be a legal requirement)
- It benefits tenants with lower bills and warmer homes
- You get a financial incentive for each successful installation
This scheme has been a game-changer for the properties I’ve worked on, and I’m excited to see how much more we can achieve as we roll it out across our portfolio. If you manage properties and want to take advantage of ECO4, now is the time to act.
Tom Buckley
Property Manager
Pomegranate Property Management