Warm Homes Loan Scheme Solar Loans: Now Live With 10 Lenders

Update, 29 October 2026: The Warm Homes Loan Scheme is live. It launched on 27 October 2026, a month late, with 10 lenders: HomeServe (with E.ON), Hometree Finance, The Money Co-op, Propensio, Secure Trust Bank, Selina Finance, South Manchester Credit Union, Sunsave, Tandem Bank, This Bank. The government says the subsidy gives an up-to-5% reduction in interest rates compared with regular loans, and some loans are interest-free. The details below come from the Scheme Rules and the launch factsheet.

Cheap government-backed loans for solar panels arrived sooner than almost anyone predicted. The Department for Energy Security and Net Zero (DESNZ) published the official rules of the Warm Homes Loan Scheme in June 2026, closed its first application window for lenders on 17 July 2026, and said the first loans were expected to be available to the public in September 2026. They arrived on 27 October 2026.

That is months earlier than the "2027" timeline widely quoted when the Warm Homes Plan was announced in January. And the published Scheme Rules contain concrete numbers: a £15,000 loan cap for solar PV, another £15,000 for battery storage, no income-based eligibility thresholds, and landlords included.

Here is what the official documents say, who is lending, and how it compares with the finance you can already get.

What Is the Warm Homes Loan Scheme?

The Warm Homes Loan Scheme (WHLS) is the lending arm of the government's £15 billion Warm Homes Plan. While the plan's grants target low-income households, the loan scheme targets everyone else: the "able to borrow" majority who could repay a loan but are put off by today's borrowing costs.

It works through banks and lenders, not a government portal. The government has committed £300 million of grant capital that participating lenders draw down, and the Scheme Rules are explicit about where that money goes: "the grant must be passed on to borrowers by reducing the nominal interest rate". The wider plan allocates up to £1.7 billion to low and zero-interest consumer loans as the programme scales.

The Key Facts From the Official Scheme Rules

Loan products can be unsecured personal loans, point-of-sale finance arranged through your installer, or loans secured against the property. Leasing and subscription products are excluded from the first phase.

Who Is Lending?

GOV.UK lists 10 lenders at launch:

• HomeServe (with E.ON)
• Hometree Finance
• The Money Co-op
• Propensio
• Secure Trust Bank
• Selina Finance
• South Manchester Credit Union
• Sunsave
• Tandem Bank
• This Bank

The government says this is the first part of the scheme and that more lenders and products will join as it develops. There is no government application portal: you apply to a lender, or through an installer that works with one. Some lenders only lend through particular installers, so ask your installer which lenders they work with.

Are the Loans 0% Interest?

Some are, but not all. The Scheme Rules leave pricing with each lender, and the subsidy must reduce the rate you are offered on terms of three years or longer. At launch the government said the scheme gives an up-to-5% reduction in interest rates compared with regular loans, and that some loans are interest-free. Its own example: on a £10,000 loan at 8% over seven years, the scheme could save up to £285 a year in repayments.

So compare the APR and the total amount repayable from more than one lender, just as you would with any loan.

Who Qualifies?

The eligibility rules are broader than any solar support scheme the UK has run before:

• Homeowners, with or without a mortgage, anywhere in the UK, with no income caps and no requirement to be on benefits
• Private landlords, borrowing personally, including for multiple properties (one loan per property)
• No minimum EPC rating, but the property must be residential, and you cannot do the work yourself
• Standard credit and affordability checks still apply, run by the lender as with any loan

That last point matters: this is a normal, FCA-regulated loan with a subsidised rate, not a grant. If you would not pass a credit check for a personal loan, the scheme does not change that. If your household is on a qualifying benefit, check the grant route first, because free is better than cheap.

What Can You Borrow For?

The eligible measures list covers most of a modern home energy setup:

• Roof-top solar PV systems, up to £15,000 including scaffolding, grid connection and installation costs
• Battery storage, up to £15,000, standalone or with solar
• An EV chargepoint, if installed as part of a solar or battery installation
• Heat pumps (up to £20,000 for air source, £35,000 ground source, stacking with the Boiler Upgrade Scheme grant), plus domestic wind and micro-hydro

Roof repairs and insulation are not covered, though lenders can offer separate ordinary finance for those. A typical £6,600 to £8,500 4kW solar installation sits comfortably inside the cap, as does a full solar-plus-battery system.

The Timeline: What Happens When

DESNZ always stressed the timings were indicative. The September date slipped by about a month, but the loans are now available to apply for.

Is It Better Than the Finance You Already Have?

Now the loans are live, the question is how a Warm Homes loan compares with the other offers you have been quoted. Our take:

• Paying cash, or offered genuine 0% APR today? E.ON Next, So Energy and BOXT offer 0% finance over 2 to 3 years. If those repayments suit you, a Warm Homes loan cannot beat 0%, though it may spread the cost over a longer term.
• Only offered 7 to 10% APR, or need a longer term? Get a Warm Homes loan quote. The subsidy applies to terms of 3 years and longer, exactly where the ordinary loan market is expensive.
• A landlord? This is the first mainstream scheme built to include you, with one loan available per property.

Either way, start by getting 3 or more quotes from MCS-certified installers so you know what you need to borrow. Every Warm Homes loan requires an MCS-certified installer anyway.

The Bottom Line

The Warm Homes Loan Scheme is the most significant change to how the UK pays for solar since 0% VAT arrived in 2022. It will not make solar free, and rates vary by lender. But cheaper borrowing over longer terms, with landlords included and no income tests, removes the biggest barrier for the millions of households who want solar and simply do not have £7,000 in the bank. Compare it with any 0% deal you are offered, and get your quotes ready.

For the full scheme background and updates as more lenders join, see our Warm Homes Plan loans guide. To compare everything available today, from 0% supplier deals to green loans, start with the solar panel finance guide.

Sources

• DESNZ, Warm Homes Loan Scheme factsheet (27 October 2026), gov.uk
• GOV.UK, Warm Homes Loan Scheme: eligibility and lenders, gov.uk
• DESNZ, Warm Homes Loan Scheme: Scheme Rules (June 2026), gov.uk
• DESNZ, Warm Homes Loan Scheme: apply to participate as a lender, Phase 1, gov.uk
• DESNZ, Warm Homes Plan policy paper, gov.uk
• MoneySavingExpert, Warm Homes Plan coverage, January 2026