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When it comes to energy efficiency and reducing fuel poverty in the UK, the government has introduced several schemes to help households upgrade their homes. Two of the most discussed programs are GBIS (Great British Insulation Scheme) and ECO4 (Energy Company Obligation Phase 4). While both aim to improve home energy efficiency, they differ significantly in their structure, target audience, and types of measures offered.

In this blog, we’ll explore the key differences between GBIS and ECO4, who can benefit from each scheme, what types of improvements are covered, and how homeowners or tenants can take advantage of them.

1. Overview of Both Schemes

What is GBIS (Great British Insulation Scheme)?

Launched in 2023, GBIS is the government’s new initiative designed to provide basic insulation measures to homes that need it the most. The focus is on improving thermal efficiency quickly and at scale, especially for those not covered under other schemes like ECO4.

GBIS is a single-measure scheme — meaning it typically provides just one type of insulation upgrade, such as loft insulation, cavity wall insulation, or solid wall insulation. It is considered a "lighter touch" program that is faster and simpler to administer.

What is ECO4 (Energy Company Obligation Phase 4)?

ECO4, on the other hand, is the latest phase of the long-standing ECO scheme that started back in 2013. ECO4 launched in 2022 and runs until March 2026. It is a more comprehensive scheme focused on whole-house retrofits, targeting low-income households and vulnerable people.

The ECO4 scheme is about long-term energy efficiency and involves multiple energy-saving measures, such as insulation, heating upgrades, ventilation, and renewable technology where appropriate.

2. Target Audience

GBIS Eligibility

GBIS is more accessible to a broader range of households, including both homeowners and private renters. It’s especially suitable for:

• Households in council tax bands A–D (England) or A–E (Scotland and Wales)

• Homes with Energy Performance Certificate (EPC) ratings of D or lower

• Low-income and vulnerable households, although this is not a strict requirement

This makes GBIS ideal for working families or middle-income households who may not qualify for the stricter ECO4 scheme.

ECO4 Eligibility

ECO4 targets low-income and fuel-poor households. To qualify, residents typically need to:

• Be receiving qualifying means-tested benefits, such as Universal Credit, Income Support, or Housing Benefit

• Have an EPC rating of D, E, F, or G

• Live in privately owned or rented properties, including social housing in some cases

In short, ECO4 is much stricter in terms of eligibility, but it offers more substantial improvements.

3. Type of Measures Offered

GBIS Measures

Since GBIS is focused on single insulation measures, it usually funds:

• Loft insulation

• Cavity wall insulation

• Solid wall insulation (internal or external)

• Underfloor insulation

The scheme is designed to quickly reduce energy bills and heat loss with minimal disruption to households.

ECO4 Measures

ECO4, by contrast, follows a “whole-house approach”. It often includes:

• Multiple types of insulation (loft, wall, underfloor, roof)

• Boiler upgrades or replacements (only in specific conditions)

• First-time central heating systems

• Air source heat pumps and other renewable energy solutions

• Smart heating controls

• Ventilation upgrades

The ECO4 process often involves a complete survey and bespoke plan to lift the property’s EPC rating by at least two bands.

4. Cost and Funding Structure

GBIS Funding

GBIS is 100% funded by energy suppliers, as directed by the UK government. However, in some cases, there may be a small contribution required from the homeowner or landlord if the cost of work exceeds the funding cap. That said, most eligible homes receive insulation at little or no cost.

ECO4 Funding

ECO4 is also funded by obligated energy companies, who are required by law to meet energy-saving targets. For eligible households, the upgrades are completely free. However, private landlords may be required to co-fund some improvements, especially if the property is in poor condition or the measures needed are extensive.

5. Timescale and Installation

GBIS Process

The GBIS process is generally quicker and simpler. Once eligibility is confirmed, installation of the insulation can often happen in a matter of days or weeks. Since it only involves a single upgrade, the disruption is minimal.

ECO4 Process

ECO4 involves a more detailed assessment of the property. A Retrofit Assessor will conduct a survey to identify all necessary improvements, followed by a plan created by a Retrofit Coordinator. The process can take weeks or months, depending on the scope of work.

But the end result is a fully upgraded, more energy-efficient home that should remain cost-effective for years.

6. Scheme Goals and Environmental Impact

GBIS Goals

GBIS aims to quickly reach millions of homes that currently lack basic insulation. It’s about scaling up insulation efforts without getting bogged down in complex eligibility or installation issues. The environmental benefit comes from reducing the demand for heating across a large number of homes.

ECO4 Goals

ECO4 focuses on deep energy retrofits, with the goal of dramatically reducing carbon emissions and fuel poverty. It aligns with the UK’s Net Zero 2050 goals and seeks to create sustainable, long-term energy savings for the most vulnerable populations.

7. Landlords and Rental Properties

Both schemes can be accessed by landlords, but there are key differences:

• GBIS: Landlords can apply for eligible tenants, especially if the property is in a lower council tax band and has poor insulation.

• ECO4: Landlords must agree to a more comprehensive retrofit plan. In some cases, they may need to make financial contributions if additional upgrades are necessary.

Landlords should note that energy efficiency standards are becoming stricter, and both GBIS and ECO4 can help them meet legal obligations without significant out-of-pocket costs.

8. Which Scheme is Right for You?

Here’s a simplified way to decide:

9. Final Thoughts

Both GBIS and ECO4 represent important government efforts to tackle energy inefficiency, reduce heating costs, and lower carbon emissions across the UK. While they share ec04 grants similar goals, they serve different segments of the population and offer different levels of support.

• GBIS is perfect for households looking for quick and simple insulation fixes.

• ECO4 is the solution for deep, long-term energy efficiency upgrades, particularly for those in fuel poverty.

By understanding the key differences and eligibility criteria, homeowners, tenants, and landlords can take advantage of these schemes and enjoy warmer, more affordable homes.

If you're unsure which scheme you qualify for, reaching out to a local energy advice provider or approved installer is a great first step toward saving money and reducing your carbon footprint.