Next Energy is proud to announce that we have been appointed by Birmingham City Council to deliver a major Warm Homes: Local Grant (WH:LG) programme, with a contract value of £10.3 million and a minimum of 625 homes set to benefit from whole‑house energy efficiency upgrades. This partnership brings together our proven retrofit expertise with the council’s ambition to cut fuel bills, tackle fuel poverty, and support residents in living in warmer, healthier homes.
What is the Warm Homes: Local Grant Scheme?
Warm Homes: Local Grant is a government‑funded scheme that enables local authorities to provide free or heavily subsidised energy improvements for low-income and vulnerable households in homes with poor energy performance. Funding is focused on properties with an Energy Performance Certificate (EPC) rating of D to G, which are typically colder, more expensive to heat and more likely to be affected by damp or condensation. By targeting these homes first, the programme helps housing partners deliver maximum impact for residents who need support the most.
£10.3m Contract: Full Turnkey Delivery
Under this new three‑year contract, running to March 2028 with the potential for extension subject to future funding, Next Energy will provide a full turnkey service for Birmingham City Council. That means we will manage the end‑to‑end process, from resident engagement and eligibility checks, through technical surveys and design, to installation, quality assurance, and aftercare. Housing authorities gain a single accountable partner, streamlined communication and the confidence that all works will be delivered in line with PAS 2035 and MCS standards, ensuring compliance with government guidance for domestic retrofit.
Fabric-First Retrofit Measures
The programme will focus on a “fabric‑first” approach, improving the building envelope before adding low-carbon technologies wherever suitable. Measures are expected to include insulation upgrades for external walls, cavity walls, and lofts, alongside advanced heating systems such as air source heat pumps, high‑heat‑retention storage heaters, and smart heating controls. Solar PV panels and supporting measures, such as ventilation improvements, may also be installed where they offer good value for money and strong carbon and comfort outcomes for residents.
Local Resident Benefits: Health and Savings
For residents, the benefits of this contract go far beyond technical improvements. Better-insulated, more efficiently heated homes can reduce heat loss, cut energy consumption, and help lower energy bills, particularly for households on the lowest incomes. Warmer, drier homes also contribute to improved health and well-being, especially for those living with respiratory or cardiovascular conditions that can be worsened by cold, damp environments. In turn, this supports local and national priorities around public health, fuel poverty alleviation and long‑term housing quality.
Strategic Value for Housing Authorities
For Birmingham City Council and other housing authorities, this partnership demonstrates how a strategic retrofit programme can support broader place‑based objectives. The WHLG funding is being used to concentrate upgrades in designated priority areas, helping to tackle deprivation and fuel poverty while building local confidence in retrofit. By working with a specialist delivery partner, councils can unlock complex funding streams, coordinate multiple measures and evidence outcomes against strict reporting requirements.
Commitment to Net Zero Delivery
This contract reflects Next Energy’s ongoing commitment to supporting local authorities with high-quality, compliant retrofit delivery that is tailored to local needs. Our teams bring extensive experience across government‑backed schemes, a strong focus on resident experience and a partnership‑led approach that aligns with council priorities and regulatory expectations. Every project is designed to balance technical performance, cost effectiveness and resident comfort, ensuring that public funding delivers measurable, long‑term value.
Birmingham’s Retrofit Future
Looking ahead to March 2028 and beyond, we are excited about the impact this programme will have on Birmingham’s homes, neighbourhoods, and its net-zero journey. The government has already signalled a pipeline of Warm Homes funding through to 2030, creating the opportunity for councils and partners to plan multi‑year retrofit strategies that scale up over time. This new contract represents an important step in that direction, building the foundations for sustained investment in local housing and a lower‑carbon future for residents across the city.
A huge thank you goes to everyone involved in securing and mobilising this programme, both within Birmingham City Council and across the Next Energy team. We look forward to working closely with local authorities and local residents to deliver high-quality installations that make a real difference in people’s daily lives.
Got questions about the Warm Homes: Local Grant scheme? Contact Next Energy today to discuss delivery in your area.
