Big News: The "Warm Homes Plan" is Here – What it Means for Forest Row
- Morgan Loughton
- 5 minutes ago
- 4 min read
January 2026 Update
The headlines this week have been dominated by the government’s confirmed £15 billion Warm Homes Plan. For households in Forest Row and across East Sussex, this is arguably the most significant energy announcement in a decade.
But if we have learned anything from past green energy schemes, it is that the devil is in the details.
At Forest Row Energy, we want you to have the full picture-not just the glossy brochure. Below is an extensive breakdown of the new grants, the unexpected new perks, and the crucial "buyer beware" risks you need to watch out for.
The Good News: Three Major Opportunities
The new plan moves away from the "one-size-fits-all" approach of the past. There are now three distinct lanes for support, depending on your financial situation.
1. For the "Able-to-Pay": Interest-Free & Low-Interest Loans
This is the biggest gap-filler in the new policy. Previously, if you didn't qualify for low-income support, you were on your own.
The Offer: Government-backed loans are now available to cover the upfront capital costs of solar PV panels, home batteries, and heat pumps.
The Benefit: You can install a system immediately without draining your savings. The idea is that the monthly savings on your electricity bill should offset the loan repayments.
New Addition: For the first time, these loans can be combined with other grants (like the BUS, see below), essentially "stacking" your discounts.
2. The Boiler Upgrade Scheme (BUS) – Expanded
The £7,500 grant to replace fossil fuel boilers is still here, but as of 2026, it has been tweaked with some very welcome additions:
Standard Air Source Heat Pumps: The £7,500 grant remains for hydronic (wet system) heat pumps.
NEW: Air-to-Air Heat Pumps: In a major shift, grants of £2,500 are now available for air-to-air systems (often known as air conditioning units that also heat). This is a game-changer for smaller homes or flats where replacing radiators isn't feasible.
NEW: Heat Batteries: A new £2,500 grant is available specifically for "heat batteries" (thermal storage), allowing you to store cheap off-peak energy as heat.
Instant Discount: Installers are now required to deduct the grant upfront from your quote, meaning you no longer have to pay the full amount and claim it back later.
3. For Lower Incomes: The "Warm Homes Local Grant"
This replaces the old "LAD" and "HUG" schemes.
Eligibility: If your household income is under £36,000 or you receive means-tested benefits, AND your EPC rating is D, E, F, or G.
The Offer: Fully funded (free) upgrades. This usually includes insulation (cavity, loft, or solid wall) first, followed by low-carbon heating or solar panels if the fabric of the house is ready.
The Process: This is an "area-based" scheme managed by the local council, but the funding is limited and allocated in waves.
The "Caution" Section: Risks & What to Watch For
While these grants are excellent, the rush of new funding always attracts risks. We want our community to be safe.
⚠️ The "Cowboy" Risk
Whenever government money appears, scammers follow.
The Rule: You must use an installer certified by MCS (Microgeneration Certification Scheme) and/or TrustMark. If an installer knocks on your door and cannot prove these accreditations immediately, do not proceed.
Our Advice: Never sign up for a "free assessment" from a cold caller. Always check their credentials on the TrustMark website.
⚠️ The "Quality" Trap
Retrofitting a home, especially older Sussex properties, is complex.
Ventilation is Key: If you add insulation without improving ventilation, you risk creating damp and mould. A proper "Whole House Retrofit" assessment (PAS 2035 standard) is essential to ensure your home can breathe.
Don't Rush: The grant application windows can be tight, but rushing a heat pump installation without checking your pipe sizes and radiator output will lead to a cold house and high electric bills.
⚠️ Loan Terms
Debt is Debt: Even if the interest is 0% or low, a government-backed loan is still a debt attached to you. Ensure you are comfortable with the repayment terms if you plan to move house in the next few years.
Local Action: What You Need to Do Now
The Warm Homes Local Grant (for low-income households) is administered locally, and funds are released in batches. In previous years, the funding for East Sussex has been subscribed to fully within weeks of opening.
We are monitoring the local application portal.
We strongly recommend you join the Forest Row Energy mailing list. We will send a "Green Light" alert the moment the application window opens for our postcode, along with a "cheat sheet" on exactly what documents you need to have ready to secure your funding.
🎥 Film Night: POWER STATION
Before you fill out any forms, come and see what is possible when a community acts together.
Join us for a screening of POWER STATION, a funny, moving, and rebellious documentary about a street in London that decided to turn itself into a renewable power station-taking on the big energy giants in the process.
It is the perfect antidote to "climate doom" and a great way to meet your neighbours who are on the same journey.
Date: Friday, 20 February 2026
Time: 19:30 – 22:30 (Film followed by Q&A)
Venue: Freshfield Hall, Forest Row
Tickets: Free (donations welcome), but booking is essential as capacity is limited.
Let’s navigate this new energy landscape together, safely and smartly.
Morgan- The Forest Row Energy Team
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