# Ofgem Energy Redress Scheme offers £30m to community energy groups

- Link: https://fundraising.co.uk/2025/11/21/ofgem-energy-redress-scheme-offers-30m/
- Published: 2025-11-21T07:19:00+00:00
- Author: Howard Lake

**Applications are now open for the fourteenth round of the Ofgem Energy Industry
Voluntary Redress Scheme. Selected energy-related projects across England, Scotland
and Wales will receive a total of £30 million.**

Funding will support projects that help households most at risk from cold homes 
and high energy bills.

Community energy groups, including co-operatives, community benefit societies and
community interest companies, together with registered charities are now eligible
to apply for grants through the Main and Small Funds.

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The scheme also prioritises projects that develop innovative energy related products
or services and empower people to reduce their carbon emissions, through the Innovation
and Carbon Emissions Reduction Funds.

## Previous funded projects

Previous projects funded through the scheme include impartial energy advice services
for people in vulnerable situations and research to ensure new energy technologies
meet the needs of elderly and disabled people.

Other organisations have used the funding to focus on increasing uptake of whole-
house energy upgrades and trialling new business models or interventions that enable
households to use more locally generated energy.

## Where the funding comes from

Ofgem’s enforcement and compliance activity collects voluntary payments from companies
that may have breached Ofgem administered rules. Since 2018, the Energy Redress 
Scheme has allocated **£191 million to fund more than 755 projects** across England,
Scotland and Wales.

## Types of funding

The funding streams available are:  

 * **The Main Fund**, containing £19.5 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 £4.5 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 £3 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 £1.5 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.

Organisations can submit one application as a lead partner per round across all 
the funds. Funding rounds are launched quarterly.

**Cathryn Scott**, Regulatory Director for Market Oversight and Enforcement at Ofgem,
said:

> “When suppliers fall short of our standards, we take decisive action through our
> robust compliance and enforcement work. Recovered funds are used to support vulnerable
> energy users, and drive innovation and carbon reduction projects. This latest 
> round makes nearly £30 million available to community energy groups helping households
> most in need across the country.”

The deadline for applications to this funding round is **5pm on** **2 December 2025**,
via the [Energy Redress](https://link.mediaoutreach.meltwater.com/ls/click?upn=u001.k3fjZ577BZMZIDMkNBiErxjY-2BZ2MGpPGT21JAf2rb-2BBGukThrxkB-2BrRC87YifTQrd-hg_8E9HLT7fUuC3cPFQg4sEkXcHFPcNFh2YFMvikHqpfb7-2FNSDZfsgCZAJkpctdCsH6EmF8uTQsRy2fbTrHyKi7uwKwWEdDi2QypifLavCBIwuvSluodBi67kKqwV8HaFvzt8jxDEiEO4Dpc9hiaK9pbKtEKpxEIJIpvV4rOH940A5CB1V9gqvnLvS7lf7apBsameVNijIow4wObQN2amxpR9c553nzLE4obo8i6azFE-2BwXTwjOX5qc16IF3W50ElOoe6UY4ou3XtATHsy2C6ZjjBUPqt3oSBQiGBk310UrsaVsddHfvjc3KbC4sI5EUNBCl729ji-2BDvqr-2B53nlR45BAGPdgyFT00RDy-2FblgVr4wtH-2Byc5YImGI81MmFW94qe5r)
site.

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