Every Grant and Funding Option Available to Oxfordshire Landlords in 2026
With the EPC C deadline set for October 2030, the cost of upgrading your rental property is the biggest concern most landlords have. The good news is that there are more grants, schemes, and tax breaks available right now than at any point in the past decade. Here is every funding option you should know about.
The government’s Warm Homes Plan, backed by GBP 15 billion of public investment, has created a range of overlapping schemes designed to bring down the upfront cost of energy efficiency improvements. As a landlord in Oxfordshire, you may be eligible for several of these at once — and some can be combined.
BOILER UPGRADE SCHEME — GBP 7,500 TOWARDS A HEAT PUMP
The Boiler Upgrade Scheme (BUS) is the single largest grant available and is open to private landlords with no income test. If your rental property currently has a gas, oil, or LPG boiler, you can claim:
- GBP 7,500 towards an air source heat pump (air-to-water)
- GBP 7,500 towards a ground source heat pump
- GBP 5,000 towards a biomass boiler (rural, off-gas-grid properties only)
- GBP 2,500 towards an air-to-air heat pump (new for 2026)
- GBP 2,500 towards a heat battery (new for 2026/27)
The grant is deducted directly from your installer’s invoice. Your installer must be MCS-certified and apply to Ofgem before work begins. The scheme runs until at least 2028, but vouchers are first-come, first-served. Key change for 2026: the previous requirement to clear loft and cavity wall insulation recommendations on your EPC has been removed.
WARM HOMES: LOCAL GRANT — FULLY FUNDED UPGRADES
Oxfordshire County Council administers the Warm Homes: Local Grant, which provides fully funded energy efficiency upgrades for eligible properties. Measures covered include insulation, solar panels, heat pumps, smart controls, and glazing.
To qualify, the property must have an EPC of D or below, and the tenant’s household income must be GBP 36,000 or less (or they must receive Universal Credit, Housing Benefit, or Pension Credit). Eligibility is based on tenant circumstances, not landlord income. Landlords can apply for multiple properties, but only the first receives full funding — additional properties require a 50% landlord contribution.
ZERO-RATE VAT ON ENERGY-SAVING INSTALLATIONS
Until 31 March 2027, energy-saving installations attract 0% VAT instead of the standard 20%. This applies to solar panels, heat pumps, insulation, and battery storage. On a GBP 10,000 installation, that is a GBP 2,000 saving — and it stacks with BUS grants.
THE GBP 10,000 MEES COST CAP
The government has set a GBP 10,000 cost cap per property for MEES compliance. Qualifying expenditure from 1 October 2025 counts towards this cap. If you spend up to GBP 10,000 on recommended improvements and your property still does not reach EPC C, you can register a cost cap exemption and continue letting.
Every pound you spend now works in two directions: improving the property and building your exemption safety net if the standard proves unreachable.
COMING IN 2027: CONSUMER LOAN SCHEME
From April 2027, the government plans to launch a Consumer Loan Scheme offering zero or low-interest loans for solar panels, batteries, and heat pumps. Details are yet to be confirmed, but this will provide another route for landlords who want to spread the cost.
HOW TO STACK THESE TOGETHER
Here is an example of how a typical Oxfordshire landlord might combine available funding on a single property:
- Air source heat pump: GBP 12,000 installed, minus GBP 7,500 BUS grant, minus GBP 0 VAT = GBP 4,500 out of pocket
- Loft and cavity wall insulation: GBP 2,500 installed at 0% VAT — potentially fully covered by Warm Homes: Local Grant if the tenant qualifies
- Solar panels: GBP 5,000 installed at 0% VAT — counts towards Smart Readiness metric under the new EPC system
Total spend could be as low as GBP 4,500 after grants and tax relief, with the rest counting towards the GBP 10,000 MEES cost cap.
FREQUENTLY ASKED QUESTIONS
Can I claim the BUS grant as a landlord?
Yes. Private landlords are fully eligible for the Boiler Upgrade Scheme. You must own the property and be replacing an existing fossil fuel heating system. There is no income test.
Can I combine the BUS grant with the Warm Homes: Local Grant?
Not for the same measure. If your tenant qualifies for Warm Homes: Local Grant funding for a heat pump, you cannot also claim BUS for that installation. However, you can use Warm Homes for insulation and BUS for a heat pump on the same property.
What if my property is listed or in a conservation area?
Listed buildings may qualify for a consent exemption if energy improvements would unacceptably alter the building’s character. However, many improvements such as internal wall insulation, loft insulation, and secondary glazing can be carried out without affecting the exterior. Check with your local planning authority.
Where do I start?
Commission a fresh EPC assessment. This will identify which improvements would have the biggest impact on your rating and help you target the right grants. If your property can reach EPC C under the current system before October 2029, you lock in compliance under the grandfather clause.
BOOK AN EPC ASSESSMENT
E8 Property Services helps Oxfordshire landlords navigate the grant landscape and plan the most cost-effective route to compliance.
Book an EPC assessment or call 01865 339535 to discuss your property.
