Case Study: John – A Homeowner Utilizing the ECO4 Grant

Background: John, a homeowner in his late 40s, lives in a detached 1970s house in a suburban area. His home had high energy bills, mostly due to poor insulation and an old, inefficient gas boiler. John was concerned about the rising cost of energy and also wanted to increase his property’s value, with an eye on potentially selling in the next five years.

Initial Property Assessment: The home’s initial Energy Performance Certificate (EPC) rating was “E,” reflecting its outdated insulation and inefficient heating system. This rating negatively impacted the home’s market value, as buyers are increasingly interested in energy-efficient properties that reduce ongoing costs.

Application for the ECO4 Grant: Through his local council, John learned about the ECO4 scheme, which is focused on improving energy efficiency for low-income, vulnerable, or fuel-poor households. Although he met the financial criteria and his property qualified for multiple measures, John had to work with an accredited installer to apply and ensure all improvements aligned with the grant’s specifications.

Energy Efficiency Improvements

1. Loft and Wall Insulation:

• Before: John’s house had minimal loft insulation and uninsulated cavity walls, resulting in high heat loss.
• Upgrade: Using the ECO4 grant, contractors added high-quality loft insulation and Installed Internal Wall Insulation
• Impact: These changes reduced heat loss, leading to a decrease in annual heating requirements.

2. Solar PV Panels:

• Before: The home had no renewable energy sources.
• Upgrade: A 4 kW solar panel system was installed on the roof.
• Impact: The system reduced electricity costs, allowing John to generate a portion of his power and contribute to long-term savings

3. Air Source Heat Pump Installation:

• Before: The old gas boiler was inefficient and costly to run.
• Upgrade: An air source heat pump (ASHP) was installed, providing renewable heating and cooling.
• Impact: The ASHP drastically reduced gas dependency, lowering John’s overall energy bills and his carbon footprint.

Outcomes

Improvement in EPC Rating: Following these upgrades, John’s home’s EPC rating improved from “E” to “B,” a significant leap that made his property much more energy-efficient and appealing to future buyers.

Financial Impact and Property Valuation:

• Energy Savings:
  John’s monthly energy bills dropped by approximately 60%, a significant financial benefit that attracted interest when he eventually listed the property.                           

• Increase in Property Valuation:
• Before ECO4 Improvements: The property was valued at £300,000.
• After ECO4 Improvements: With the higher EPC rating and energy-efficient features, the property valuation increased by approximately 10%, reaching £330,000.
• Reason for Value Increase: The improved EPC rating and lower operational costs (thanks to renewable energy features and better insulation) made the property more attractive to energy-conscious buyers.

• Enhanced Marketability:
  Real estate agents noted that energy-efficient properties sold faster in the local market. John’s home attracted more offers and ultimately sold above the average market value.

Summary: By leveraging the ECO4 grant, John transformed his 1970s home into an energy-efficient property that not only reduced his energy costs but also increased its market value. This case study illustrates the tangible financial benefits and market appeal of eco-upgrades, especially as buyers become more focused on sustainable living and long-term savings.