The UK government has recently announced the launch of the Warm Homes: Social Housing Fund Wave 3 as part of its broader Warm Homes Plan to tackle fuel poverty and improve the energy efficiency of social housing. This follows the success of previous funding waves under the Social Housing Decarbonisation Fund.
Wave 3 will open for applications in the week beginning 30 September 2024, running until 25 November 2024. It aims to help social housing providers improve the energy performance of their housing stock, bringing homes up to at least Energy Performance Certificate (EPC) C by 2030. This will involve measures like insulation, heat pumps, and solar panels, with the government placing emphasis on a “fabric-first” approach to maximise cost-effectiveness and ensure long-term efficiency.
This fund is particularly crucial as over 1 million households are estimated to be living in fuel poverty, facing high energy costs and inadequate living conditions. By upgrading homes to higher energy standards, tenants are expected to benefit from warmer homes and lower energy bills, especially amid the ongoing cost-of-living crisis.
For social housing providers, Wave 3 offers additional flexibility and funding uplifts for specific measures and property types, with a strong focus on whole-house, area-based approaches to maximize economies of scale. Properties previously upgraded under Wave 2 are ineligible, but those from Wave 1 or earlier may qualify.
Local authorities, registered housing providers, and consortia can apply for the fund. In some regions, such as Greater Manchester and the West Midlands, the funding process will be managed by combined authorities.
This initiative forms part of the government’s broader ambition to decarbonize homes and reduce carbon emissions, in alignment with Net Zero goals. Further funding details will be confirmed in the April 2025 Spending Review, alongside potential reforms to Energy Performance Certificates (EPC).
This represents a major step toward sustainable housing and a significant opportunity for social housing providers to lead the way in improving the UK’s housing infrastructure.
Applications open the week of 30th September. Find out more details here: https://www.gov.uk/government/publications/warm-homes-social-housing-fund-wave-3
Additionally, guidance for Local Authorities has been released on the new Warm Homes: Local Grant, set to replace the Local Authority Delivery (#LAD) scheme in 2025. More info here: https://www.gov.uk/government/publications/warm-homes-local-grant