£20m now available for charities and community groups through the Ofgem Energy Redress Scheme

The Ofgem Energy Industry Voluntary Redress Scheme (Energy Redress Scheme) has launched its fifteenth funding round, opening for applications on Tuesday 10 February 2026. 

A total of £20 million is available for charities and community energy groups, including community interest companies, co-operative societies and community benefit societies, to apply for grants through six funding streams. 

Eligible projects include those supporting households most at risk of cold homes and high energy bills, developing innovative domestic energy products and services, or reducing carbon emissions across England, Scotland and Wales.

Ofgem’s enforcement and compliance work collects voluntary payments from companies that may have breached its rules. Since 2018, the Energy Redress Scheme has funded more than 761 projects that have supported over 900,000 households across England, Scotland and Wales. 

Previous projects funded through the scheme include Repowering London’s ‘Urban community solar for Londoners’ project, which helps people access community-owned rooftop solar sites. These installations are estimated to save 313 tonnes of carbon dioxide equivalent each year and £77,000 in energy bills over their lifetime.

Volunteer Director for Community Energy Barnet, said: "The grant has already allowed our new community benefit society to offer feasibility studies for community-owned rooftop solar installations to several sites in Barnet including schools, a health centre and a care home.”

Other projects have delivered impartial energy advice services for people in vulnerable situations and supported research that ensures new energy technologies meet the needs of elderly and disabled people.

Graham Ayling, senior project manager for the Energy Redress Scheme at Energy Saving Trust, said: “With energy prices rising in January, we’re pleased to open this latest funding round to support voluntary sector organisations helping households save energy, reduce costs and stay warm. We’ve seen the impact these projects have and encourage organisations to apply.”

Cathryn Scott, regulatory director at Ofgem, said: “We've seen hundreds of brilliant projects so far, and more than £150 million committed in grants because of the Energy Redress Scheme. It’s fantastic to see the scheme offering another £20million worth of funding - a direct result of Ofgem’s compliance and enforcement work. We strongly encourage charities and community groups working in the energy sector across England, Scotland and Wales to apply."

The deadline for applications in this funding round is 5pm on 2 March 2026, via the Energy Redress website.

The funding streams available are: 

• The Main Fund, containing £12.5 million – aimed at projects seeking grants between £50,000 and £2 million that will support households in vulnerable situations.

• The Impact Fund, containing £500,000 – aimed at projects monitoring the impact to households, of energy advice and other interventions. Applicants can apply for grants between £20,000 and £500,000.

• The Small Project Fund, containing £1 million – aimed at projects seeking grants between £20,000 and £49,999 that will support households in vulnerable situations. 

• The Innovation Fund, containing £3 million – aimed at projects that will develop innovative products or services to benefit households. Applicants can apply for grants between £20,000 and £1 million.

• The Carbon Emissions Reduction Fund, containing £2 million – aimed at projects that will reduce UK carbon emissions and empower households to reduce their carbon footprint. Applicants can apply for grants between £20,000 and £1 million.

• The Just Transition Fund, containing £1 million – aimed at projects that will develop community renewable energy which will benefit energy consumers in vulnerable situations. Applicants can apply for grants between £20,000 and £250,000.