Warm Homes: Local Grant – guidance for local authorities

This guidance is for local authorities. There is different [guidance for homeowners and landlords](https://www.gov.uk/apply-warm-homes-local-grant). ### Update: 12 March 2026 The ‘Warm Homes: Local Grant - Mobilisation and Delivery Guidance’ (now Delivery Guidance) has been updated to include further guidance on scheme eligibility, additional funding, reporting and GMS access. ## Overview The Warm Homes: Local Grant will begin delivery in 2025 and will provide energy performance upgrades and low carbon heating via local authorities, to households that: * are in England * are low income * have an Energy Performance Certificate (EPC) between D and G * are privately owned (owner occupied or privately rented) Once in delivery local authorities will be able to install energy performance measures and low carbon heating to eligible homes in their area. Measures could include: * insulation * solar panels * an air source heat pump if suitable Upgrades should be tailored to individual homes so that the most appropriate measures are installed. Occupants will not contribute to the cost of upgrades. The Warm Homes: Local Grant scheme has been allocated £500 million as part of the Autumn Budget. See [a breakdown of funding available](https://www.gov.uk/government/publications/warm-homes-local-grant-budget-allocation). Participating local authorities will use the funding to install energy performance upgrades and low carbon heating. Local authorities within the West Midlands Combined Authority (WMCA) and the Greater Manchester Combined Authority (GMCA) have received an allocation of funding as part of the government’s commitment to the Warm Homes and Public Sector Decarbonisation Devolution Programme. To learn more about this please refer to the [Integrated Settlement GOV.UK page](https://www.gov.uk/government/collections/integrated-settlements-for-mayoral-combined-authorities). ## How it works The Warm Homes: Local Grant expression of interest (EOI) window is now closed. Local authorities had to apply for the funding by 1 December 2024. All eligible local authorities that completed and submitted an EOI form by this deadline [have been allocated funding](https://www.gov.uk/government/publications/warm-homes-local-grant-successful-local-authorities). ### Delivery Assurance Check (DAC) Grant recipients are required to complete and submit this form as part of their Mid-Mobilisation Review and Delivery Assurance Check (DAC) for WH:LG. Once you have completed the form and organised your DAC date, please email the form and the required annexes to WHLG@energysecurity.gov.uk. Annexes A and B to the form were attached to your memorandum of understanding whereas annexes C, D and E can be completed in the workbook. ## Help and support Support is available at no cost to all local authorities participating in the Warm Homes: Local Grant from the [Retrofit Information Support and Expertise (RISE) service](https://riseretrofit.org.uk/). ## Eligible postcodes and IMD The Indices of Multiple Deprivation (IMD) combines multiple elements of deprivation (including unemployment, health and income). The IMD: Income Decile eligible postcode list has separated out the income element from the other deprivations and shows all postcodes in Income deciles 1-2. This list is different to the IMD 1-2, and households in IMD 1-2 will not necessarily be in Income Deciles 1-2 and vice versa. Households that are outside the IMD: Income Deciles 1-2 may still be eligible for support, if local authorities have verified that they meet the requirements under eligibility pathway 2 (low income proxies) or 3 (household income threshold). Further information is provided in the policy guidance available on this page. --- Warm Homes: Local Grant Policy Guidance for Local Authorities Updated 16th June 2025 June 2025 Version Control The table below summarises the key updates (as of 16th June 2025) to the policy guidance for the Warm Homes: Local Grant since the previous update in April 2025. List of updates Policy area Description Property Eligibility Measures Private Rented Sector RdSAP Guidance updated on the required PRS form and process that must be followed for PRS homes to be upgraded. The new version of the RdSAP methodology (RdSAP10), which underpins EPC scores, is now launched. Guidance is provided on how to use pre retrofit assessments already completed using the old version (RdSAP2012). Page/s 29 44-45 Eligible Measures Energy Performance Measures PV batteries are now eligible for WH:LG following the introduction of RdSAP10. Guidance is provided on what is required to install them and how best to maximise bill savings for the households. 45 The table below summarises the key updates (as of 8 April 2025) to the policy guidance for the Warm Homes: Local Grant since its original publication in September 2024. List of updates Policy area Description Autumn 2024 budget and EoI outcomes Key dates Funding allocations RISE N/A N/A N/A N/A Household Eligibility Low Income Proxies Updates on funding allocated to the scheme in the Autumn 2024 Budget and outcomes of the Expression of Interest window. Updates on key scheme dates and milestones. 11-12 Updated to reflect funding allocations to eligible Local Authorities have now been announced. Update on the RISE support available to LAs within the West Midlands Combined Authority (WMCA) and the Greater Manchester Combined Authority (GMCA). Guidance updated to clarify use of ECO Flex Route 2 is only available to homes rated EPC E-G. Household Eligibility Household income Further guidance provided on calculating household income. Page/s 5 13-17 18 21-22 23 1 Warm Homes: Local Grant - Policy Guidance for Local Authorities Household Eligibility Property Eligibility Property Eligibility Cost Caps Over demand Owner Occupiers Social housing in- fill Cost cap structure Cost caps Example measures table Measures Low carbon heat 26 27-28 31-32 34-35 34-35 39-44 Guidance provided on managing over-demand from eligible households if it arises. Guidance on household contributions Guidance updated to clarify that justification is not required for batch approval, but evidence of infill must be retained for audit purposes. Confirmation that the EE top up’ mechanism used under HUG2 – which allowed low carbon heat that exceeded the low carbon heat cost cap to be approved if there was underspend from the energy performance pot to make up the difference – is unavailable under WH:LG. Table providing examples of measures that are categorised as an energy performance measure or low carbon heat has been updated. • Additional information added for hybrid heating systems. • Wet central heating removed as a standalone measure. Updated guidance provided on: • Air to air heat pumps • Hybrid heating systems • Low carbon communal heating and district heat networks • Shared ground loops • Alternative low carbon heating systems • Wet central heating Measures Quality standards Additional guidance provided including on the transition from PAS 2035:2019 version to PAS 2035:2023, and on the MCS. 38, 46- 47 2 Warm Homes: Local Grant - Policy Guidance for Local Authorities Contents 1. Introduction ________________________________________________________ 5 1.1 Policy overview __________________________________________________ 6 1.2 Integrating lessons learnt from previous schemes ______________________ 10 1.3 Key dates _______________________________________________________ 11 1.4 Enquiries _______________________________________________________ 12 2. Scheme Design _____________________________________________________ 13 2.1 Overview _______________________________________________________ 13 2.2 Changes in design from previous schemes ____________________________ 14 2.3 The Expression of Interest Allocation model ___________________________ 15 2.4 Funding Allocations _______________________________________________ 17 3. Retrofit Information, Support and Expertise: ‘RISE’ _________________________ 19 4. Household Eligibility _________________________________________________ 20 4.1 Overview of the household eligibility pathways ________________________ 20 4.2 Pathway one: ‘IMD:ID eligibility’ _____________________________________ 20 4.3 Pathway two: Low Income Proxies ___________________________________ 21 4.4 Pathway three: ‘Household income threshold’ __________________________ 23 4.5 Identifying low-income households __________________________________ 25 4.6 Verifying household eligibility ______________________________________ 26 4.7 Area-based in-fill upgrades ________________________________________ 26 4.8 Managing over demand ___________________________________________ 27 5. Property Eligibility ___________________________________________________ 28 5.1 Energy Performance Certificate (EPC) rating ___________________________ 28 5.2 New or self builds ________________________________________________ 28 5.3 Park homes _____________________________________________________ 28 5.4 Tenures ________________________________________________________ 28 3 Warm Homes: Local Grant - Policy Guidance for Local Authorities 5.5 Heating fuel _____________________________________________________ 33 5.6 Re-treating homes ________________________________________________ 33 6. Cost Caps __________________________________________________________ 35 6.1 Cost cap structure ________________________________________________ 35 6.2 Cost cap contributions ____________________________________________ 37 7. Measures __________________________________________________________ 39 7.1 Measure types ___________________________________________________ 39 7.2 Measure selection ________________________________________________ 39 7.3 Low carbon heat _________________________________________________ 40 7.4 Measure price limits ______________________________________________ 45 7.5 RdSAP _________________________________________________________ 45 7.6 Quality Standards ________________________________________________ 47 8. Other Information ___________________________________________________ 49 8.1 Interaction with other schemes _____________________________________ 49 8.2 UK Subsidy Control Rules __________________________________________ 50 Annex A – Defining Domestic Properties ___________________________________ 53 Annex B: RISE User Journey _____________________________________________ 58 4 Warm Homes: Local Grant - Policy Guidance for Local Authorities 1. Introduction In its manifesto, the Government committed to a Warm Homes Plan to upgrade five million homes over next five years to cut bills for families and deliver warmer homes to slash fuel poverty. This ambition is a key part of the Government’s ‘second mission’ to transform Britain into a clean energy superpower, including providing the country with clean energy by 2030, reducing bills, and transitioning homes to clean heat as part of our wider ambition to reach net zero by 2050. As a key part of the Warm Homes Plan, the Government has committed to partnering with combined authorities, local and devolved governments to deliver insulation measures and other improvements such as solar panels, PV batteries and low carbon heating to cut bills for families, slash fuel poverty, and reduce carbon emissions in support of our net zero 2050 target. The Warm Homes: Local Grant is a government-funded scheme delivered by Local Authorities that will take the first steps to delivering on the ambitions of the Warm Homes Plan. It will provide grants for energy performance upgrades and low carbon heating to low-income households living in the worst quality, privately owned homes in England to achieve energy bill savings and carbon savings. These upgrades will be open to all fuel types, including on gas households (those heated by mains gas), and off gas households (those heated by electricity, oil, coal, or liquid petroleum gas). £3.4bn was committed to the Warm Homes Plan at the 2024 Autumn Budget, with £1.8bn committed to tackling fuel poverty. Of this £500m was allocated to the Warm Homes: Local Grant to be delivered from April 2025 to March 2028. The expression of interest window for Local Authorities interesting in participating in the scheme closed on 1 December 2024, and funding allocations were made to Local Authorities in early 2025. 74 projects involving 271 LAs (which is over 97% of eligible LAs in England) have been allocated funding. To support delivery of the Warm Homes Plan, the primary and a secondary objectives of the Warm Homes: Local Grant are: 1. To deliver progress towards the statutory fuel poverty target for England, by improving as many fuel-poor homes as reasonably practicable to energy efficiency rating of Band C by 2030, delivering significant annual energy bill savings for the occupants, not just in the short term, but for good. 2. To deliver progress towards Net Zero 2050, and the Carbon Budgets, by installing energy performance upgrades and low carbon heating in homes that drive carbon abatement. 5 Warm Homes: Local Grant - Policy Guidance for Local Authorities Alongside those leading objectives, the Warm Homes: Local Grant will help to ensure homes are healthy living environments, thermally comfortable, efficient and well-adapted to climate change. It will also support the green economy, local supply chains, and skilled jobs for tradespeople in every part of England. By focusing on low-income households and areas of high economic deprivation, upgrades made to the housing stock will support deprived communities throughout England, ensuring that they are not left behind in the transition towards Net Zero, but instead lead the way. Lessons learned from previous Local Authority delivered fuel poverty schemes, such as Local Authority Delivery (LAD) and the Home Upgrade Grant (HUG)– have been fully integrated into the design of the Warm Homes: Local Grant. Support is available at no cost to Local Authorities interested participating in the Warm Homes: Local Grant from the DESNZ-established Technical Assistance Facility under the name of ‘RISE’ – Retrofit Information, Support and Expertise. Further information can be found in section 3 and at www.riseretrofit.org.uk. Please note, in relation to the recent Grenfell report, the report’s recommendations must be considered with the seriousness that the tragedy deserves. Further guidance will be issued should there be any impact on Warm Homes: Local Grant. 1.1 Policy overview This section provides an overview of the key headlines of the policy design. It is not a replacement for the full guidance in sections 4-8. Table 1: Policy Overview Policy Element Warm Homes: Local Grant policy Objectives Primary objective: tackling fuel poverty to meet the statutory fuel poverty 2030 target, delivering annual energy bill savings to occupants. Secondary objective: progressing towards the statutory net zero 2050 target through achieving carbon savings in homes upgraded. Outcomes Primary outcome: Energy bill savings. Secondary outcome: Carbon savings. 6 Warm Homes: Local Grant - Policy Guidance for Local Authorities Performance Metrics Performance targets Geographic spread Household eligibility pathways Energy Performance Certificate (EPC) Energy Efficiency Rating (EER) metric, measured via the Reduced Data Standard Assessment Procedure (RdSAP). A non-binding aspiration for upgraded homes to reach Energy Performance Certificate (EPC) Band C – where this is not possible within the cost caps a value for money and strategic approach to measures selection should be adopted which could include installing low carbon heat. Please note, if a property has received funded upgrades through the Home Upgrade Grant (HUG) or Local Authority Delivery (LAD) scheme/s, the property must either reach EPC band C or receive a low carbon heating technology as part of receiving further treatment under Warm Homes: Local Grant. England only. Pathway 1: Households which reside within Indices of Multiple Deprivation (IMD) Income Deciles (ID) 1-2 areas - a list of eligible postcodes is provided on gov.uk alongside this guidance. Or Pathway 2: Households which can demonstrate receipt of a specified means tested benefit1 or that they are eligible via route 2 of ECO Flex. Or Pathway 3: Households with an annual gross income below £36,000 or the ‘after housing costs’ threshold in line with our published equivalisation tables (which are dependent on household composition). 1 The list of eligible means-tested benefits includes and is limited to: Housing Benefit, Income-based Jobseeker’s Allowance (JSA), Income-related Employment and Support Allowance (ESA), Income Support, Pension Credit (savings and guarantee), and Universal Credit. 7 Warm Homes: Local Grant - Policy Guidance for Local Authorities Property Eligibility: Energy Performance Certificate (EPC) Rating Property Eligibility: Type and Tenure Properties must have an EPC EER rating within bands D to G to be eligible. Note, park homes must have an equivalent level of energy performance. Properties with an EPC EER rating within bands A to C are ineligible in all circumstances. Properties must be existing domestic dwellings. New build or self- build homes which have not been previously occupied are ineligible. Owner occupier and private rented sector households are eligible. Social housing is ineligible - except for in-fill purposes only, capped at 10% of a project’s total homes treated, with a 50% cost contribution required from social housing landlords. Property Eligibility: Park Homes Park homes are eligible for support under the Warm Homes: Local Grant providing the park home is the permanent residence of the household and that the park home is expected to still exist (i.e. not be demolished) for the whole duration of the measure guarantee period. The energy performance of the park home must also be equivalent to an EPC band D-G. Note, park homes do not have EPCs but must still be assessed to evidence equivalence. Property Eligibility: Heating fuel types All fuel types (both on gas and off gas grid). Local Authorities were asked to set a non-binding aspirational target for upgrading off gas grid homes when expressing an interest in participating in the scheme. No change request will be required to reduce or increase this target. Cost Caps £15k per home for energy performance upgrades. Cost Contributions £15k per home for low carbon heating. Cost caps can be averaged across a project and must be met by project closure. Owner occupiers are not required or expected to make any contributions to the cost of upgrades. This is to protect the household from being forced to make a cost contribution. However, where the consumer wishes to self-fund measures not recommended by the retrofit coordinator, or to fund other improvements not covered by the grant (such as cosmetic touches) this should be allowed where 8 Warm Homes: Local Grant - Policy Guidance for Local Authorities feasible – noting that the Local Authority should also use their discretion to determine whether the household is genuinely at risk of or living in fuel poverty. Private rented sector landlords may receive one home fully funded per landlord under Warm Homes: Local Grant. A 50% cost contribution will be required from the private landlord for any additional homes upgraded after the first. Tenants are not required or expected to make any contributions to the cost of upgrades. A 50% cost contribution is required from social housing landlords. Measures: Types RdSAP eligible measures that are non-fossil fuel and covered under the required standards (see below). Specific types of hybrid boilers are permitted to be installed in homes on the gas grid which are currently heated by mains gas only, see section 7.3 for more details. Hybrid boilers are not permitted to be installed in homes off the gas grid. Low carbon heating will be available to homes of all fuel types, but clear advice must be provided on bill impacts. Measures: Price Limits A small number of measures - for which DESNZ analysis has identified value for money is particularly sensitive to the price of installation - will be given price limits that must be met on average by project closure. These measures are: - External wall insulation, - Internal wall insulation, - Double/triple glazing, - Park home insulation, - Solar thermal. The price limits for these measures are commercially sensitive and are shared with participating Local Authorities under a Non-Disclosure Agreement. Measures: Standards All upgrades must adhere to the latest PAS 2035 guidance (currently PAS 2035:2023). 9 Warm Homes: Local Grant - Policy Guidance for Local Authorities Installers must be Trustmark registered and certified under the latest version of PAS 2030 or by MCS2 to install the relevant eligible measures under each standard. All measures must be lodged onto the Trustmark data warehouse. Admin & Ancillary (A&A) budget Local Authorities can use up to 15% of their total project spend to cover A&A costs, including (but not limited to) resourcing, procurement, specialist advice, searching for eligible homes, signing up households, validating and assessing homes and agreeing a measure package in line with the applicable PAS standards. Retreating homes Properties which received funded upgrades through the Home Upgrade Grant (HUG) and/or Local Authority Delivery (LAD) scheme will be eligible for Warm Homes: Local Grant funding providing the eligibility criteria for the home and household set out in this guidance document are met. However, this is also on the condition that the Warm Homes: Local Grant upgrades either: • • result in the property reaching EPC Band C, or include low carbon heating in the package of measures installed. Properties that have received upgrades through other DESNZ energy efficiency schemes (e.g., the Energy Company Obligation (ECO)) are not subject to these two specific requirements. Please note, in all cases the same individual measure cannot be funded twice. 1.2 Integrating lessons learnt from previous schemes The policy design of the Warm Homes: Local Grant integrates lessons learnt from previous schemes – particularly from the Local Authority Delivery (LAD) scheme and the Home Upgrade Grant (HUG). For example: Eligible fuel types – Under the Warm Homes: Local Grant all heating fuel types (i.e. both on and off gas grid homes) are eligible. Under phase 3 of LAD, only on gas grid homes were eligible, and under HUG only off gas grid homes were eligible. By providing 2 Or able to demonstrate registration with a scheme which has been deemed equivalent by the Secretary of State. 10 Warm Homes: Local Grant - Policy Guidance for Local Authorities a single successor scheme to the HUG and LAD programmes, the landscape of government schemes has been simplified, as called for by stakeholders. Cost caps – Under Warm Homes: Local Grant, a simple dual cost cap structure has been set of £15k per home cap for energy performance upgrades, and £15k per home for low carbon heating. The separate cost for clean heat measures will support the installation of these measures which are critical to delivering net zero. Projects will have the flexibility to average out these caps across the homes they upgrade, providing they are met, on average, by project closure. IMD ID 1-2 pathway – The postcode-based household income eligibility route (based on the Indices of Multiple Deprivation (IMD) Income Deciles (ID) areas), first piloted under phase 2 of HUG, has been incorporated into the design of the Warm Homes: Local Grant. This will enable automatic low-income verification for all households residing in these areas and reduce search and verification costs for LAs3. Private Rented Sector – To support fuel poor tenants living in privately rented homes, the Warm Homes: Local Grant will allow one eligible home to be fully funded per landlord – with a 50% cost contribution required for any additional homes upgraded thereafter. This is a more generous offer than made available under the LAD and HUG schemes in recognition of low uptake in the tenure to those schemes. However, this will be kept under review and is subject to change – e.g. in response to developments in the wider policy landscape for the sector. Property caps – Warm Homes: Local Grant does not have a cap on EPC Band D homes – as seen under phase 3 of LAD. 1.3 Key dates The key milestones across the allocation of funding and delivery of the Warm Homes: Local Grant are set out below. Please note dates are subject to change, at the discretion of DESNZ. Table 2: Key Scheme Dates Project Milestone Date Expression of interest window Closed on 1st December 2024 Funding allocations announced 11th March 2025 3 It is worth noting that Phase 2 of the Home Upgrade Grant had an extended IMD:ID eligibility, which also covered homes in Income Decile 3. This pathway has been limited to IMD:ID 1-2 areas for Warm Homes: Local Grant as the scheme covers a different segment of the housing stock (on gas grid homes as well as off gas grid homes). 11 Warm Homes: Local Grant - Policy Guidance for Local Authorities Delivery Assurance Checks began From 1st April 2025 Delivery window opened 1st April 2025 Delivery window closes 31st March 2028 1.4 Enquiries The Retrofit Information Support and Expertise (RISE) support and information service is the technical assistance facility available to LAs interested in participating in the Warm Homes: Local Grant. Further details can be found on their website: (www.riseretrofit.org.uk). Any enquiries, including questions related to the policy or guidance document should be directed to rise@turntown.co.uk. 12 Warm Homes: Local Grant - Policy Guidance for Local Authorities 2. Scheme Design 2.1 Overview This section provides an overview of the scheme design. It is not a replacement for the detailed guidance on the allocation, mobilisation and delivery phases which will be published in due course. Table 3: Scheme Design Overview Delivery model Local Authority delivered – Local Authorities will be allocated funding and procure and manage their installer supply chain individually or in consortium projects. Only Local Authorities (LAs), as defined in Section 31 of the Local Government Act 2003, in England will be allocated funding. Local Authorities within the West Midlands Combined Authority (WMCA) and the Greater Manchester Combined Authority (GMCA) will be receiving an allocation of funding as part of our commitment to the Warm Homes and Public Sector Decarbonisation Devolution Programme. As a result, GMCA, WMCA and their constituent local authorities, and other stakeholders such as Housing Associations will therefore not be permitted to participate in the national schemes. DESNZ is committed to funding simplification beyond these areas, where it makes most sense for net zero outcomes. Funding allocation model An Expression of Interest (EoI) model4 was used to allocate funding to Local Authorities (LAs). Funding allocations to LAs were announced on 11 March 2025 (with LAs informed under embargo in February). All eligible LAs that completed the EoI form by the deadline have been allocated funding. This stage is followed by a mobilisation period in which a mid- mobilisation review will check LA progress, ahead of the 4 The EoI model comprises three stages: 1. Funding Allocation (eligible LAs which complete an Expression of Interest form will be allocated funding to some degree), 2. Mobilisation and Delivery Assurance Check (LAs show they have procured and resourced their projects and have completed all necessary documentation) and 3. Delivery (draw down of capital allocations in batches). 13 Warm Homes: Local Grant - Policy Guidance for Local Authorities Delivery Assurance Check. The Delivery Assurance Check will ensure all LAs have met the minimum criteria for successful delivery under the scheme before moving into delivery. Technical support and information for Local Authorities. The Retrofit Information Support and Expertise (RISE), which was previously known as the ‘Home Upgrade Hub’, provides support to all Local Authorities participating in the Warm Homes: Local Grant. RISE will help to upskill Local Authorities, build their capabilities and expertise, and set them up for successful delivery. This service is paid for by DESNZ and so is free for Local Authorities. Drawdown of capital funding Under the Warm Homes: Local Grant, a streamlined batch system5 will enable Local Authorities to draw down funding allocations once they have completed the Delivery Assurance Check. The batch system, first used under phase 2 of the Home Upgrade Grant (HUG2), will be simplified for the Warm Homes: Local Grant and only used to enable draw down of funding and to monitor trends (rather than to control and assess whether batches meet the policy rules). LAs will submit batches of homes for approval prior to upgrade, triggering release of funding when it is required. 2.2 Changes in design from previous schemes The main changes made to the scheme design of the Warm Homes: Local Grant compared to previous schemes are: 5 The batch system is a digital platform which allows Local Authorities to draw down funding to upgrade homes according to need, via Local Authorities submitting ‘batches’ of homes that are ‘ready to retrofit’ (signed up, validated, assessed a fully costed for measures) for approval. It allows DESNZ to have full visibility of delivery pipelines and to monitor LA spending trends against cost caps, measure price caps, archetypes, and the like. 14 Warm Homes: Local Grant - Policy Guidance for Local Authorities Funding allocation model – An Expression of Interest (EoI) model6 was used to allocate funding to Local Authorities; all eligible LAs who completed an EoI form by the deadline were allocated funding. This is a simplification of the Challenge Fund model used to allocate funding for phase 2 of the Home Upgrade Grant 2 (HUG2) and moves away from the competition model used in phase 3 of the Local Authority Delivery (LAD) scheme. Draw down of funding – Under the Warm Homes: Local Grant, a portion of allocated funding per financial year will be given upfront to LAs, with the remaining funding drawn down via a batch system (note this system will be much more streamlined than the system used for HUG2). This reduces the need for recovering underspend and ensures that the Department will be able to re-allocate efficiently to LAs who can potentially deliver more during the scheme delivery window and thereby achieve better delivery overall. Under Warm Homes: Local Grant, the batch system will be a tool to draw down funding and to monitor spending and delivery trends (unlike HUG2’s batch system, which also ‘assessed’ whether costs were within cost caps, and whether thresholds for measure grades and measure prices were being met). Technical Assistance Facility (TAF) – RISE (previously known as the ‘Home Upgrade Hub’) will be available to build and support LA capability and expertise to help set them up for successful delivery. This service is paid for by DESNZ and so is free for LAs. LAD3 did not have a TAF. 2.3 The Expression of Interest Allocation model The Warm Homes: Local Grant is using an Expression of Interest (EoI) allocation model. There are several key principles of the EoI allocation model: 1. All eligible LAs who completed and submitted an EoI form by the deadline have been allocated funding – there was no ‘competition’ where LAs must out-compete other bidders for funding. Allocating funding to all eligible LAs that completed an EoI form helps to drive broader geographical coverage of spending, build capacity and capability across all participating LAs and ensure that as many households as 6 The EoI model comprises three stages: 1. Funding Allocation (eligible LAs which complete an Expression of Interest form will be allocated funding to some degree), 2. Mobilisation and Delivery Assurance Check (LAs show they have procured and resourced their projects and have completed all necessary documentation) and 3. Delivery (draw down of capital allocations in batches). 15 Warm Homes: Local Grant - Policy Guidance for Local Authorities possible can access the scheme via their LA. Note the allocations were publicly announced on 11 March 2025.7 2. The majority of the capital grant funding will be drawn down in portions throughout the delivery window to upgrade batches of homes which are ‘ready to retrofit’ (signed up, validated, and assessed in line with PAS 2035). This ensures LAs will receive the right amount of funding at the point of use. The streamlined batch system will not have a policy control element (as seen under HUG2) and will simply monitor delivery and spend trends and ensure funding can be smoothly drawn down when required. 3. The EoI Allocation model seeks to ask LAs for the right information, at the right level of depth, at the right time to avoid excessive change requests for projects and to ensure the information provided is known and accurate at the time of asking. The allocation process has learnt lessons from previous models and focuses on reducing the reporting burden on LAs and removing the pass/fail assessment at the initial EoI stage. The LA must still pass a Delivery Assurance Check prior to drawing down funds to deliver upgrades to homes (see figure 1 below) to ensure they have met the minimum criteria for successful delivery. Figure 1 Diagram of the Expression of Interest Allocation Model Step 1. Expressions of interest and funding allocations: eligible LAs were asked to complete an Expression of Interest (EoI) form outlining their project, including any consortia members; their high-level plans for procurement, resourcing, and mobilising their project; and their past performance on previous schemes. The Expression of Interest window opened on 16th October 2024 and closed on 1st December 2024. Assessment of the EoIs received has completed and allocations were publicly announced on 11 March 2025. 7 Warm Homes: Local Grant – successful local authorities: https://www.gov.uk/government/publications/warm-homes-local-grant-successful-local- authorities/warm-homes-local-grant-successful-local-authorities 16 Warm Homes: Local Grant - Policy Guidance for Local Authorities Step 2. Mid-Mobilisation review is a step that follows confirmation of funding allocations and gives LAs a chance to receive early feedback on their required documents needed to move into delivery, and for LAs to update DESNZ on whether they are still on track to procure on time. Step 3. Delivery Assurance Check (DAC) will check LAs have procured and resourced appropriately and that their required documents on fraud risk and management, household eligibility verification, and delivery forecasts meet the minimum criteria for successful delivery. This is because Government has a responsibility to ensure value for money of public spending. LAs currently delivering under HUG2 will also have the opportunity to transfer their relevant paperwork to the Warm Homes: Local Grant and/or contracts for a period of time to enable continuous delivery from one scheme to the next. RISE is ready to provide LAs with free support on all their required documents. Step 4. Delivery: Projects submit batches of signed up, assessed and costed homes that are ready to retrofit to draw down funding. Note, the batch system for the Warm Homes: Local Grant will only be used to smoothly draw down funding and to monitor trends – it will not be used to ensure policy compliance of cost caps, measure grades and measure price limits as under HUG2 – these elements (where still relevant) will be managed by Local Authorities who will be trusted to meet scheme rules by scheme end. Note: Guidance on steps 2-4 has now been published on the WH: LG gov.uk page. 2.4 Funding Allocations Allocations have been issued to Local Authorities; details of the funding allocations were published on gov.uk on 11 March. Local Authorities within the West Midlands Combined Authority (WMCA) and the Greater Manchester Combined Authority (GMCA) will be receiving an allocation of funding as part of our commitment to the Warm Homes and Public Sector Decarbonisation Devolution Programme. As a result, GMCA, WMCA and their constituent local authorities, and other stakeholders such as Housing Associations are therefore not be permitted participate in the national schemes.8 8 The list of LAs which are ineligible to participate includes: West Midlands Combined Authority, Birmingham City Council, Coventry City Council, Dudley Metropolitan Borough Council, Sandwell Metropolitan Borough Council, Solihull Metropolitan Borough Council, Walsall Council, City of Wolverhampton Council, Greater Manchester Combined Authority, Bolton Council, Bury Council, Manchester City Council, Oldham Council, Rochdale Borough Council, Salford City Council, Stockport Metropolitan Borough Council, Tameside Metropolitan Borough Council, Trafford Council, and Wigan Council. 17 Warm Homes: Local Grant - Policy Guidance for Local Authorities Please contact WMCA (devolved.retrofit@wmca.org.uk) or GMCA (lead@greatermanchester-ca.gov.uk) for enquiries related to devolved funding in these areas. 18 3. Retrofit Information, Support and Expertise: ‘RISE’ DESNZ is providing a free technical assistance facility for LAs participating in the Warm Homes: Local Grant, called Retrofit Information, Support and Expertise: ‘RISE’. This support has previously been known as the ‘Home Upgrade Hub’. RISE provides technical support for all LAs from pre-allocation through to mobilisation phases. LAs are encouraged to engage with RISE for support which includes: • A comprehensive knowledge hub providing support and information to guide a prospective grant recipient through a retrofit project life cycle. The information draws together industry best practice and guidance. • Workshops, masterclasses and drop-in sessions on specific focus areas. • One-to one bespoke support including necessary technical support, completing documentation for the Mid-mobilisation Review and Delivery Assurance Checks (DACs), resident engagement, and consortium matchmaking. Where LAs are developing retrofit projects in partnership with supply chain contractors, RISE can support these LAs and their projects, working with and through their contractors. RISE support is also available for supply chain companies who are keen to secure the relevant accreditations (e.g., PAS, TrustMark and MCS) to deliver works under this and other government funded programmes. Greater Manchester Combined Authority (GMCA) and West Midlands Combined Authority (WMCA) have received an allocation of grant funding for their region through an Integrated Settlement. Mayoral Combined Authorities with devolved retrofit funding can access a portion of the overall RISE support offer, including several one-to-many and group support elements. These include but are not limited to, masterclasses, courses and peer to peer presentations, and can be accessed via the events tab on the RISE website. For information on planning for delivering within your devolved area, we encourage Local Authorities to speak to their Mayoral Combined Authority. LAs are encouraged to engage with RISE. Further detail is available on the RISE website via www.riseretrofit.org.uk and by emailing rise@turntown.co.uk. 19 Warm Homes: Local Grant - Policy Guidance for Local Authorities 4. Household Eligibility 4.1 Overview of the household eligibility pathways There are three ways a household could be approved as ‘income eligible’ for the Warm Home: Local Grant. A household must only meet the criteria for one of these pathways, out of the three available, to be income eligible for this scheme. Evidence of property eligibility (e.g. EPC score), proof of ownership, residence and personal identification are required for all three pathways. Additional evidence, e.g. of receipt of benefits and/or proof of household income, are required for pathways 2 and 3. Table 4: Eligible Pathways Eligibility Pathways Pathway 1 IMD:ID Eligible Postcodes The household lives in a valid postcode that falls within eligible Income Deciles 1-2 of the Indices of Multiple Deprivation (IMD:ID 1- 2). Pathway 2 Income Proxies Means-tested benefits: The household is in receipt of a specified means-tested benefit, OR Route 2 of ECO Flex: Households meet the current ECO4 Flex criteria for Route 2.9 Pathway 3 Household Income threshold The household’s gross annual income is below the scheme’s household income threshold (£36,000) – or the equivalised ‘After Housing Costs’ threshold for their household composition. 4.2 Pathway one: ‘IMD:ID eligibility’ The Indices of Multiple Deprivation (IMD) (2019) is the official measure of relative deprivation in England produced by the Ministry of Housing, Communities and Local 9 https://www.ofgem.gov.uk/publications/great-british-insulation-scheme-and-eco4-local- authority-administration-guidance 20 Warm Homes: Local Grant - Policy Guidance for Local Authorities Government (MHCLG)10. Households residing within IMD income deciles (IMD:ID) 1-211, will be eligible for the Warm Homes: Local Grant without needing an income verification check. There will no requirement on LAs to verify the income of these households, however we expect that LAs will obtain proof of address. Other eligibility parameters such as eligible tenures and EPC bands will continue to apply and must be checked. A list of postcodes in IMD:ID 1-2 areas has been published alongside this guidance document. LAs will be encouraged to consider these areas to achieve economies of scale by upgrading multiple households in concentrated areas of fuel poverty. It is worth noting that Phase 2 of the Home Upgrade Grant had an extended IMD:ID eligibility, which also covered homes in Income Decile 3. This pathway has been limited to IMD:ID 1-2 areas for the Warm Homes: Local Grant as the scheme covers a different segment of the housing stock (on gas grid homes as well as off gas grid homes). 4.3 Pathway two: Low Income Proxies Households not residing in an IMD ID 1-2 postcode can be eligible for Warm Homes: Local Grant if they can evidence meeting once one of the low-income proxies set out below (or via Pathway 3). Means-tested benefits Households in receipt of the specified means-tested benefits are eligible for the Warm Homes: Local Grant without further income checks, providing the property eligibility criteria in section 5 are met. Anyone in the household may be in receipt of these benefits in order to qualify, other than lodgers or adults in full-time education. The authorised list of means-tested benefits is as follows: • Housing Benefit 10 The IMD brings together seven distinct domains of deprivation, which are then combined and weighted to generate an overall assessment of the deprivation experienced by individuals living in an area. These domains encompass a wide range of deprivation factors, including income, employment, health and crime. 11 IMD is calculated for every Lower Layer Super Output Area (LSOA), or neighbourhood, in England. All neighbourhoods in England are then ranked according to their level of deprivation, with high ranking LSOAs referred to as ‘most’ or ‘highly deprived’. This ranking is then ordered into 10 groups (or ‘deciles’) with the top 10% of deprived LSOAs in decile 1, the next 10% of LSOAs in decile 2, and so on. 21 Warm Homes: Local Grant - Policy Guidance for Local Authorities • • • Income-based Jobseeker’s Allowance (JSA) Income-related Employment and Support Allowance (ESA) Income Support • Pension Credit (savings and guarantee) • Universal Credit The Warm Homes: Local Grant will commence delivery in April 2025. This list reflects the benefits which will be in use at the time of delivery and may be updated over the lifespan of the scheme. ECO Flex Route 2 An alternative low-income proxy to verify a household as income eligible for the Warm Homes: Local Grant is the Route 2: Proxy Targeting’ set out in the ECO4 and Great British Insulation Scheme (GBIS) Flex Local Authority Guidance. The table below shows the low-income proxies which can and cannot be used in conjunction with each other. Households that meet at least two of the proxies to be eligible for the Warm Homes: Local Grant via Flex Route 2, provided their property is EPC E-G12. Table 5: ECO Flex income proxies to be used in conjunction to prove eligibility Living in listed LSOA Eligible for council tax reduction Vulnerable to cold Eligible for free school meals Supported by LA scheme Citizen's Advice/ energy supplier referral Energy supplier debt data 1 2 3 4 5 6 7 Low-income proxies Living in listed Lower layer super Output Areas (LSOA) Eligible for council tax reduction 1 2 12 In order to utilise the ECO LA Flex Route 2, Local Authorities must align with the Energy Company Obligation policy for this route. Therefore, only EPC E-G households are included, as per the ECO policy. 22 Warm Homes: Local Grant - Policy Guidance for Local Authorities Vulnerable to cold Eligible for free school meals Supported by LA scheme Citizen's Advice/energy supplier referral Energy supplier debt data 3 4 5 6 7 Compatible Non-compatible This allows LAs to use the same methodology as permitted under ECO Flex. The use of ECO Flex criteria is only permitted under its current iteration whilst the route is in use. If significant changes are made to the criteria further guidance will be issued by DESNZ on whether it can be used or not. For more details on ECO Flex income proxies, see the Energy Company Obligation flexibility guidance for Local Authorities13. 4.4 Pathway three: ‘Household income threshold’ Households that do not reside in IMD:ID 1-2 postcodes, and that are not in receipt of a means tested benefit or meet the ECO Flex criteria specified above, must be able to demonstrate an annual gross household income of £36,000 or less – or else be under the equivalised ‘After Housing Costs’ income threshold for their household makeup (see section below) – to be income eligible for the Warm Homes: Local Grant. Note, the gross household income threshold will be kept under review and may be updated periodically during delivery. The Warm Homes: Local Grant may also accept alternative methodologies for demonstrating that a low-income household is likely to be in fuel poverty, where the LA 13 https://www.ofgem.gov.uk/publications/final-eco4-guidance-local-authority-administration 23 Warm Homes: Local Grant - Policy Guidance for Local Authorities provides clear evidence of the appropriateness of their methodology via a formal change request. Calculating Gross Household Income The gross household income threshold is inclusive of tax and should be calculated as an annual figure where possible (before taxes and other deductions). The income of every adult member of the household counts towards the gross household income threshold, other than those in full-time education. The income of lodgers should not count towards the income threshold, however if the household is in receipt of any rental payments from lodgers, this should be counted towards the household income. The non-means-tested benefits below, that pay for necessary goods and/or services related to a disability, should be excluded from a household’s income calculation: • Attendance Allowance • Disability Living Allowance • Personal Independence Payment • Armed Forces Independence Payment • Exceptionally Severe Disablement Allowance • Constant Attendance Allowance • Industrial Injuries Disablement Benefit After Housing Costs (AHC) income and equivalisation tables LAs may include households with total incomes above the £36,000 threshold where higher housing costs mean that their ‘After Housing Costs’ (AHC) income is below the relevant threshold for the size (number of occupants) and composition of the household as set out in the tables below. Household size and composition impacts the amount of income that would make a household fuel poor. An ‘After Housing Costs’ income is the residual income that a household is left with after tax (net income) and after the deduction of rent or mortgage payments. Housing costs do not include council tax, energy bills or ground rent. The tables below show the tailored AHC income thresholds based on the composition of adults and dependants in the household. If a household has an AHC income below their corresponding threshold, and the property eligibility criteria in section 5 are met, then they are eligible for Warm Homes: Local Grant funding. Table 6: After Housing Costs maximum income thresholds for 1 adult Occupants Maximum eligible ‘after housing costs’ income 24 Warm Homes: Local Grant - Policy Guidance for Local Authorities 1 adult N/A for household income beyond £20k after housing costs 1 adult + 1 dependent N/A (as above) 1 adult + 2 dependents N/A (as above) 1 adult + 3 dependents £23,600 1 adult + 4 dependents £27,600 1 adult + 5 dependents £31,600 Table 7: After Housing Costs maximum income thresholds for 2 adults Occupants Maximum eligible ‘after housing costs’ income 2 adults N/A for household income beyond £20k after housing costs 2 adults + 1 dependent £24,000 2 adults + 2 dependents £28,000 2 adults + 3 dependents £32,000 2 adults + 4 dependents £36,000 2 adults + 5 dependents £40,000 4.5 Identifying low-income households Using effective ways to identify and engage with homes which are likely to be eligible for the Warm Homes: Local Grant is vital for building a robust delivery pipeline. There are several methods which LAs can utilise to identify households that are likely to meet the Warm Homes: Local Grant household eligibility criteria set out above. Local data: For example, LA held data, such as existing processes on council tax reductions for those on lower incomes, or more innovative approaches such as advanced statistics and machine learning (e.g. Experian or CACI Paycheck).14 Note that neighbourhood level data such as CACI or Experian datasets should not be used for 14 Datasets currently utilised by some local authorities to determine the gross annual income of a household. 25 Warm Homes: Local Grant - Policy Guidance for Local Authorities verifying household incomes except where they can assess an individual household’s income, such as by connecting to the household’s banking app. Not for profits: Where possible, DESNZ encourages LAs to utilise local charities, non- profit and citizen-focussed organisations to help with identifying households eligible for support. This can enable effective use of community networks, as well as reduce drop-out rates with more resource available for guiding households through the process. LAs can use a portion of their A&A budget to fund this. 4.6 Verifying household eligibility Self-declarations are not an acceptable method of verification under the Warm Homes: Local Grant. Local Authorities will be required to undertake robust checks to confirm that the household meets the eligibility criteria. The Warm Homes: Local Grant is intended to support households in or at risk of fuel poverty, therefore LAs should be satisfied that the household is in genuine need and is likely to be in or at risk of fuel poverty. This is particularly the case when using the IMD:ID route, where households do not undergo an income check for eligibility. LAs also reserve the right to not treat a property if they do not feel they have a low income or are not at risk of fuel poverty. An LA might find a household/property that has high levels of savings, or has a particularly large asset value, and despite having an income under £36,000 do not feel that treating the property is a reasonable use of the Warm Homes: Local Grant funds. 4.7 Area-based in-fill upgrades DESNZ encourages area-based upgrades to help achieve economies of scale and value for money. However, there are instances where some households within an area (such as a couple of homes in a block of flats or row of terraced houses) are not income eligible and may prevent the successful upgrading of the collective buildings. In these circumstances, DESNZ will allow ‘infill’ properties to receive installations providing the following requirements are met: A) the average gross household income across a block of flats/houses/maisonettes are below £36,000 per year, or B) where at least 75% of households have a combined income average of no more than £36,000 per year. For example, a block of flats may contain one household whose income exceeds £36,000, but other households have incomes below this threshold. In this instance, an average 26 Warm Homes: Local Grant - Policy Guidance for Local Authorities would allow for the household that exceeds £36,000 to be included in the project and receive subsidised upgrades. The term ‘infill’ in this guidance document refers to adjacent buildings which are not the target of scheme intent (such as social housing properties) but where the exclusion from upgrades will be at the detriment of the larger collective (e.g. preventing a block or row of connected properties from receiving external wall insulation because of an ineligible property in the middle). The homes must be physically connected rather than simply in the same street, area or community. 4.8 Managing over demand Participating local authorities will need to decide how to manage over demand from eligible households should it arise. If LAs do not wish to use a first come first served approach to the allocation of funds, then they should ensure that a fair and consistent approach, that considers PSED, is taken to making prioritisation decisions. DESNZ will not be advising on what approach each LA should take to prioritise homes for upgrades as this should be informed by local circumstances. Note that LAs cannot exclude certain elements of the pool from being eligible, given that this eligibility has been set at a national level- this will be checked and scored at the Delivery Assurance Check. 27 Warm Homes: Local Grant - Policy Guidance for Local Authorities 5. Property Eligibility 5.1 Energy Performance Certificate (EPC) rating Funding must only support households living in England in homes with an EPC rating within bands D to G – this is an Energy Efficiency Rating (EER) SAP score of 68 or below – except in the case of park homes (which typically do not have an EPC rating). Households with an EPC rating within bands A to C are ineligible for scheme funding in all circumstances (this is an EER SAP score of 69 or above). Where there is a higher EPC rated property in scope for infill purposes, the LA may choose to upgrade this home using alternative sources of funding. A property’s EPC rating can be found via the published register.15 5.2 New or self builds Funding must support the retrofit of existing domestic dwellings only. New build or self-built homes which have not been previously occupied are not eligible for funding. Annex A details how a domestic premises is defined for the purposes of the scheme. 5.3 Park homes Park homes are eligible for support under the Warm Homes: Local Grant providing: • • the park home is the permanent residence of the household; the park home is equivalent to an EPC band D-G home. Note, while park homes do not have EPCs, they must still be assessed to determine their Energy Performance Rating (EPR), which can evidence equivalence. • and that the park home is expected to still exist (i.e. not be demolished) for the whole duration of the measure guarantee period for the measure/s to be installed, or for the longest guarantee period if more than one measure is installed. 5.4 Tenures Owner Occupiers The Warm Homes: Local Grant will provide fully funded upgrades to owner occupied households who meet the eligibility criteria in sections 4 and 5 of this guidance. There must not be a requirement for them to contribute towards the cost of upgrades. This is to protect the household from being forced to make a cost contribution. However, where the 15 https://epc.opendatacommunities.org/ 28 Warm Homes: Local Grant - Policy Guidance for Local Authorities consumer wishes to self-fund measures not recommended by the retrofit coordinator, or to fund other improvements not covered by the grant (such as extra cosmetic costs) this should be allowed where feasible. Note, LAs should use their discretion on whether to include households with significant savings or assets, as funding must be targeted at low- income households likely to be in fuel poverty. We would expect LAs to apply rational decision making when considering whether funding upgrades to such a household fall within the policy intent of a fuel-poverty scheme. The maximum funding each property may receive (the ‘cost cap’) is detailed in section 6. Private Rented Sector (PRS) Under the Warm Homes: Local Grant, landlords who have low-income tenants that meet the household eligibility criteria in section 4 of this guidance, living in properties that meet the eligibility criteria in this section, can access grant funding. The Warm Homes: Local Grant will fully fund upgrades for one property per landlord – any subsequent properties (the second to be upgraded and beyond) owned by the same landlord will require a 50% landlord cost contribution towards the total cost of works. There will be no eligibility restriction against landlords based on the number of properties that they own (as was seen under phase 2 of the Home Upgrade Grant). Landlords are free to upgrade as many eligible properties as they wish, so long as they do not exceed the minimum financial assistance limit (see below) and meet the required contribution to the costs of upgrades from the second property treated onwards. This policy will be kept under review and the Department reserves the right to make in- flight changes, or to remove the PRS from scope, throughout the duration of Warm Homes: Local Grant delivery e.g. in response to developments in the wider policy landscape. Band F and G PRS Homes Privately rented properties rated EPC Band F and G must have registered exemptions under the Energy Efficiency (Private Rented Property) (England and Wales) Regulations 201516 to be deemed eligible. This is because funding cannot be used to make these properties compliant with existing regulations, but funding may be used to improve the property beyond the minimum legal requirement. When identifying their housing stock, LAs must ensure that landlords letting out EPC rated F or G properties are compliant with these regulations. 16 https://www.legislation.gov.uk/ukdsi/2015/9780111128350/contents 29 Warm Homes: Local Grant - Policy Guidance for Local Authorities Requirements when treating PRS homes DESNZ has provided participating local authorities with two forms to capture information required for Private Rented Sector households to be upgraded under the Warm Homes: Local Grant: 1. A landlord declaration form, which must be completed by PRS landlords and returned to the local authority. 2. An online MS Form, which must be completed by the local authority once they have verified that the landlord has supplied all required information, and they have verified that the landlord details correspond with the title deeds for the home. This form will populate the central database of landlords supported by the scheme (which will be maintained by DESNZ/its delivery partner). These forms were circulated to participating local authorities by email and can be sent again upon request. They are designed to: • Gather the information required to verify whether a privately rented property is eligible for 100% or 50% grant funding under the scheme. • Confirm the landlord has not exceeded the £315,000 Minimal Financial Assistance limit over three years, from all public sources (as stated in the EU-UK Trade and Cooperation Agreement and the Subsidy Control Act 2022). • Confirm landlords understand rent should not be increased as a result of upgrades funded by government through the scheme. • Collect baseline data required for monitoring and evaluation of the scheme and obtain acknowledgment from landlords regarding participation in DESNZ-led surveys or evaluations regarding private rented sector uptake and impacts under the Warm Homes: Local Grant. Landlord information submitted to the department by participating local authorities via the online MS Form will be checked weekly by DESNZ/ its delivery partner, and local authorities will be notified if properties are eligible for 100% grant funding or 50% grant funding. Participating local authorities must not confirm fully funded offers to landlords or enter details of privately rented homes seeking 100% of grant funding onto the automated batch system, until DESNZ/its delivery partner has responded to confirm that the landlord has not already received upgrades under the scheme from another project. Participating local authorities must also not enter details of 50% funded PRS homes onto the batch system until the online MS form with the landlord's information has been submitted to DESNZ/its delivery partner. 30 Warm Homes: Local Grant - Policy Guidance for Local Authorities If a landlord decides to withdraw from the scheme before receiving funding, the local authority must inform DESNZ so that their details can be removed from the central database. The following sections explain the declarations included in the form in more detail. Central database of landlords A central database will be maintained (with all data permissions given) in order to monitor the number of fully funded upgrades a landlord has received under the scheme. This will ensure landlords are prevented from receiving fully funded upgrades to more than one property under the Warm Homes: Local Grant. The checks on whether a landlord has already received a fully funded upgrade under the scheme, will be carried out by the department/its delivery partner based on the owner/s of the home, as set out in the title deeds. Local authorities must verify that the ownership of the home set out in title deeds aligns to the details provided by the landlord/s before sending the details to the department for inclusion in the database. Evaluation and monitoring LAs will be required to facilitate and support any DESNZ-led surveys or evaluations regarding the uptake and impact of upgrades delivered in privately rented homes under the Warm Homes: Local Grant. The sector will be monitored throughout delivery and adjustments may be made to policy, including on the maximum number of fully funded homes per landlord, throughout the lifetime of the scheme if there is evidence of any concerning trends found, or changes in the wider policy landscape. The form requires landlords to declare that they do not intend to raise rents as a direct result of upgrades being installed which are being funded by the scheme and acknowledge their participation in a survey as part of the Department’s data gathering. Subsidy declaration Upgrades to PRS properties will constitute a subsidy to landlords under the Subsidy Control Act (2022). LAs will be required under the MoU to ensure that the subsidy to each PRS landlord does not exceed the Minimal Financial Assistance (MFA) limit of £315,00017 This includes the value of any Warm Homes: Local Grant support to be given to the landlord, in addition to any previous subsidy received by the landlord over the current and previous 2 financial years. This ensures no single landlord receives excessive amounts of funding and reduces the administrative burden on LAs of conducting a full principles assessment under the Act. 17 This limit is set by s.36 of the Subsidy Control Act (2022). 31 Warm Homes: Local Grant - Policy Guidance for Local Authorities To enact this requirement, during the sign-up process Local Authorities will need to notify the relevant PRS landlord: • • • explaining that the Local Authority is proposing to give to the landlord a subsidy by way of MFA, specifying the gross value amount of the assistance, and requesting written confirmation from the landlord that the MFA threshold will not be exceeded by the landlord receiving the proposed assistance. The landlord will then need to confirm the above in writing. Prior to providing the upgrades, Local Authorities will need to confirm in writing to the relevant PRS landlord that: • The subsidy is given as Minimum Financial Assistance, • The date on which it is given, and • The gross value amount of the assistance. • LAs are responsible for completing their own subsidy control assessment. Where the total value of all subsidy to a single PRS landlord exceeds £100,000, the LA will need to comply with the transparency requirements of the Act. For further guidance, see the Statutory Guidance document available here. Charity Owned Rental Properties Properties owned by charities can qualify for the Warm Homes: Local Grant, subject to the same PRS rules as stated above (with