Home Upgrade Grant 2 (HUG2)

Free Home Improvements to help you save Energy

If you are a local resident on a low income in a home not heated by mains gas, then we can help make your home warmer for free and help reduce your heating bills.

This means you may be eligible if your home is heated by:

  • Electric heaters
  • Oil
  • LPG gas
  • Coal

If you are a homeowner, you do not have to pay anything towards this – no deposit, no financial contribution to the scheme, and nothing to repay as Reading Borough Council has secured funding from central government for the scheme.

The funding is available for homes with an Energy Performance Certificate (EPC) rating of D or below and will provide a range of energy efficiency improvements that can be retrofitted to your home such as solar panels, insulation upgrades and energy efficient lighting.

You can apply until November 2024, but please be aware applications will be dealt with on a first come, first served basis. 

You can check if you are eligible and apply for the grant by logging onto Home Upgrade Grant website.

If you are a landlord, who has four or less properties, you will also be able to apply. You will need to contribute at least one third of the cost of the upgrades in addition to the funding provided. This will be agreed before work begins. An upfront survey fee may also be payable.

How it works

Applications are open until November 2024. The scheme aims to improve insulation in low-income residents’ homes that do not have mains gas heating and have an Energy Performance Certificate (EPC) rating of D or below. If your property doesn’t have an EPC rating, you can still apply.

Improvements covered by the scheme include:

  • Insulation upgrades to help keep you warm in winter and cool in summer.
  • Ventilation upgrades to ensure good internal air quality.
  • A low carbon heating system such as an air source heat pump (which will mean upgrading any oil boiler).
  • Heating controls which make sure you only use heat when you need it.
  • An energy efficient hot water solution to keep your hot water warmer for longer.
  • Solar panels (PV) to generate your own electricity.
  • Energy efficient lighting which is cheaper to run.

A free survey will identify what is suitable for your home.


To get these improvements, you should:

  • Live in a home not heated by gas


  • Have an Energy Performance Certificate (EPC) for your home with a rating of D or below. If your property doesn’t have an EPC rating, don’t worry you can still apply.


  • Be classed as low income, which means:
    • your gross household income (total income) must be below £36,000 per annum
    • you receive certain means tested benefits
    • you live in a pre-qualified postcode area

You can check your postcode below to see if you live in a pre-qualified area.

For privately rented properties the tenant will need to meet the income criteria and both landlord and tenant must consent to the grant application. 

Funding Available

Owner occupiers

  • For homes not heated by gas (this could be electricity / oil), the grant is on a sliding scale, from £3,000 to £24,000 per home. 
  • The exact amount available is dependent upon the Energy Performance Certificate (EPC) of the home and the type of property.

Privately rented properties

  • Private landlords with less than 4 properties will be required to contribute at least one third towards the cost of the upgrades.
  • To qualify the tenant must meet the income requirements.
  • If overall costs exceed the maximum grant available, additional investment by the landlord will be required.  Costs and the contributions expected from the landlord will be agreed prior to commencement of work.

How does the scheme work?

See the PDF below for details on how the scheme will work:
Home Upgrade Grant Customer Journey

Who pays for the energy saving improvements?

The funding has been allocated to Reading residents from central government.

The good news is that if you are a home-owner you don’t have to pay for this and you will not be asked for any financial contribution towards the scheme or to pay any of the money spent back.  You will not be asked to provide any bank account details when applying.

If you are a private landlord you are also eligible for the scheme, however you will be required to contribute one third towards the cost of the work.

How to apply?

AgilityEco is managing the scheme for the residents of Reading.

You can check if you are eligible and apply for the grant on the Home Upgrade Grant website.

If you’d prefer to speak to AgilityEco in person, please call their Customer Care Team who would be happy to assist you with your application. They can be contacted by phone on 0800 107 8883.

Any Questions?

Please visit our Home Upgrade Grant Frequently Asked Questions page.

If you would like additional information regarding the Home Upgrade Grant 2 funding or like to discuss this scheme with an officer from Reading Borough Council please contact – energyfunding@reading.gov.uk or call Reading Borough Council on 0118 937 3787.

Last updated on 31/05/2024