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Ofgem Energy Redress funding of £30mn available in new funding phase
Howard Lake | 2 June 2026 | News
The Ofgem Energy Industry Voluntary Redress Scheme (Energy Redress Scheme) has opened the first funding round in phase three of the scheme.
A total of £30 million is now available to charities and community energy groups that support households most at risk from cold homes and high energy bills across England, Scotland and Wales.
To be eligible, projects will also focus on enabling “a just transition to net zero and reducing the climate impact of energy use”.
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The scheme distributes voluntary payments from companies that may have breached rules administered by Ofgem. The scheme supports vulnerable people, develops innovative products and services, and helps reduce carbon emissions.
What has been funded so far?
Since 2018, the Energy Redress Scheme has funded over 790 projects, supporting 900,000 households across England, Scotland and Wales.
Projects that have secured funding to date include those that have delivered frontline energy advice and casework for people in vulnerable situations, alongside targeted support for specific groups, providing tailored services for those with more complex needs.
They have also included initiatives to increase uptake of whole-house retrofits and community energy generation, as well as trials of new business models and approaches to help households better use locally generated energy.
Cathryn Scott, Regulatory Director of Market Oversight and Enforcement, said:
“When supplier standards aren’t up to scratch, we take action to prevent repeat failures and protect consumers. Since 2020, we’ve secured over £400 million through compliance and enforcement activity, with much of it directed to the Redress fund to support vulnerable people and accelerate progress towards net zero. This latest round of funding is another opportunity to get millions of pounds to the communities that need it the most, and we encourage organisations to apply.”
The deadline for applications for this funding round of the Ofgem Energy Industry Voluntary Redress Scheme is 5pm on Tuesday 23 June 2026, via the Energy Saving Trust.
About Howard Lake
Howard Lake is consultant editor of UK Fundraising. He founded the site in 1994 and successfully sold it in 2022. As director of Giving X Ltd he is exploring growing giving on a massive scale.
He is the founder of Fundraising Camp and co-founder of GoodJobs.