# UK homes offered cheap loans for green energy upgrades

> Government-backed scheme launches with interest-free and low-interest loans up to £35,000 for heat pumps, solar panels and batteries.
- Title: UK homes offered cheap loans for green energy upgrades
- Summary: Government-backed scheme launches with interest-free and low-interest loans up to £35,000 for heat pumps, solar panels and batteries. The UK government…
- Keywords: warm home loans, heat pumps, solar panels, energy bills, government scheme, low-carbon energy, british gas, e.on, miatta fahnbulleh, uk housing, news, world
- Source: the Guardian — https://theguardian.com/environment/2026/oct/27/homes-across-uk-to-get-low--or-no-interest-loans-to-fund-solar-panels-and-heat-pumps
- Published: 2026-10-27T17:28:33+00:00
- Read time: 1 min
- Topics: warm home loans, heat pumps, solar panels, energy bills, government scheme, low-carbon energy, british gas, e.on, miatta fahnbulleh, uk housing, news, world
## New scheme launches Tuesday
The government-backed Warm Home Loans scheme launched on Tuesday, offering households interest-free or low-interest loans to fund green energy upgrades without upfront costs.
## Loans range from seven thousand five hundred to thirty five thousand pounds
Loans range from seven thousand five hundred to thirty five thousand pounds. Air-source heat pumps qualify for up to ten thousand pounds, ground-source heat pumps up to thirty five thousand pounds.
## Energy suppliers partner with lenders
British Gas and E.On have partnered with Tandem Bank and Homeserve respectively to offer loans directly to customers at discounted rates compared with high street lenders.
## Savings up to five hundred fifty pounds yearly
Installing a heat pump, battery and solar panels could save households up to five hundred fifty pounds a year on energy bills, rising by a further three hundred pounds a year with a time-of-use tariff.

> Energy is an everyday essential that must be affordable for everyone.
## Budget cuts to heat pump grants planned
The chancellor John Healey's budget on Wednesday reportedly includes plans to cut hundreds of millions from the boiler upgrade scheme's five-year budget of two point seven billion pounds, though grants of up to nine thousand…
## Multiple lenders join the scheme
Other lenders participating include HTG Finance, Propensio, Secure Trust Bank, Selina Finance, South Manchester Credit Union, Sunsave, The Money Co-op and This Bank, expanding access to affordable green energy loans.
## Key takeaway

The UK government launched the Warm Home Loans scheme on Tuesday, offering households interest-free or low-interest loans of seven thousand five hundred to thirty five thousand pounds to install heat pumps, solar panels and batteries, potentially saving up to five hundred fifty pounds a year on energy bills.