Most people who ring us about solar panels or a heat pump reach the same sticking point: the work makes sense, but the upfront cost is the problem. The government's new Warm Homes Loan Scheme is aimed squarely at that. It backs a set of loans through approved lenders so you can have the work done now and spread the cost over several years, with nothing to pay at the start.
Here is what it actually covers, how much you can borrow, and who qualifies — taken from the government's own published scheme information rather than anyone's summary of it. We are a Coventry-based, MCS certified installer working across the Midlands, and MCS certification happens to be one of the scheme's own conditions, which we will come to.
What the scheme is
The idea is simple. The government backs loans offered by a list of approved lenders, for a specific list of home energy improvements. You borrow from the lender — not from the government, and not from us — and the money pays for the work. The government describes the loans as no- and low-interest, and says the aim is to help thousands more households bring their energy bills down.
Ten lenders were named in the first tranche, with more expected. You apply to one of them directly, and they decide: they run their own affordability, credit and eligibility checks, and they set the rate and the length of the agreement.
How much can you borrow?
It depends on the measure, and you can borrow for more than one improvement. For the work we carry out, the government's factsheet sets these maximums:
- Air source heat pump — up to £20,000. That is the air-to-water type, which is what goes into UK homes. More on heat pumps.
- Solar panels — up to £15,000. More on solar PV.
- Battery storage — up to £15,000. Borrowed separately from the panels, so panels and a battery together can be funded. More on batteries.
The scheme also covers measures we do not install — ground source heat pumps at up to £35,000, biomass boilers, heat network connections and micro-renewable systems among them. If that is what you are after, you will want a specialist in that technology rather than us.
Figures from the government's Warm Homes Loan Scheme factsheet, published 27 October 2026.
Who qualifies?
The scheme sets five conditions, and they are refreshingly short:
- You own the property, with or without a mortgage
- The property is in the UK
- It is residential, not commercial
- The work is done by an MCS certified installer
- You do not carry out the work yourself
Two of those catch people out. The first is ownership: a tenant cannot take the loan out, because the applicant has to own the property. If you rent and want solar, the loan would need to be in your landlord's name — and we are happy to talk to them directly.
The second is the installer requirement. The scheme will not fund work done by an uncertified fitter, or by you at the weekend. That is not red tape for its own sake: MCS certification is the thing that makes a solar or heat pump installation inspectable and insurable afterwards, and it is what the certificate you keep at the end actually certifies.
Worth saying plainly: meeting all five does not mean you are approved. Lenders apply their own rules on top of the scheme's, and the decision is theirs.
Does your property fit? Let us check it
Three quick questions about the property, then someone here goes through it against the scheme and comes back to you. No obligation, and we will tell you if the answer is no.
Do you own the property?
What will it cost to borrow?
We cannot tell you, and you should be wary of any installer who says they can. The rate, the term and the total amount repayable are set by the lender, and they depend on your circumstances, the amount and the length of the agreement. What we can tell you is that the lender has to put all of that in writing before you sign anything — and that you should compare it against other finance available to you before you do.
Can you use it with the £9,000 Boiler Upgrade Scheme grant?
This is the question we are asked most, and the honest answer is that the government's own pages are not perfectly consistent on it. The factsheet says a Warm Homes loan can be combined with a Boiler Upgrade Scheme grant of up to £9,000 for a heat pump. The scheme's guidance also says you cannot use a Warm Homes loan and other government funding to pay for the same improvement.
Our reading is that the grant covers part of the cost and a loan could cover what is left, but we are not going to state that as fact when the published wording pulls both ways. We check what applies to your particular installation and tell you before you commit to anything. If anyone gives you a confident answer on this without looking at your job, ask them which page they are reading.
How it works, start to finish
- A free survey and a written quote. We look at the roof, the supply and how you actually use the place, and quote for the work itself. Nothing to pay, no obligation.
- You apply to a lender. We will talk you through the finance options and point you to the lenders on the government's list. Some work only with particular installers, so it is worth checking that before you apply.
- The lender decides. Their checks, their rate, their term.
- We install it. Our MCS certified engineers do the work and issue your certificate on completion.
- You keep the paperwork. The government asks you to hold on to your quote, the finance agreement, the invoice, proof of purchase and the MCS certificate. Work may be checked as part of an audit afterwards.
Why a local installer matters here
The scheme is national, but the survey, the installation and the certificate all need someone who can actually come to your house. We are based in Coventry and our engineers cover Coventry, Birmingham, Solihull, Leamington Spa, Rugby, Nuneaton and a good deal of the Midlands besides — which matters as much after the work as during it, when you want someone to answer the phone.
If you run a business rather than improving a home, this scheme is not for you: it is residential only. There is separate funding worth looking at on our business energy grants page.
Where to start
Work out what you want fitted and what it costs before you think about borrowing — the quote comes first, and it should be itemised and free. Our Warm Homes Loan Scheme page sets out the borrowing limits and conditions in full, and has a short form that takes a few details so someone here can look at your property properly.
You can also read the government's own pages at gov.uk/warm-homes-loan-scheme, and we would encourage you to. A scheme worth thousands of pounds is worth twenty minutes of reading.