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Two energy funding opportunities announced

Howard Lake | 5 October 2026 | News

Blue gas flame on a hub beneath a kettle.
Photo by Magda Ehlers on Pexels.com

Two additional funding rounds from energy companies are currently open, from the Ofgem Energy Redress Scheme and the National Grid’s Community Matters Fund.

£15 million Ofgem Energy Redress Scheme opens second funding round

The Ofgem Energy Industry Voluntary Redress Scheme has launched its second funding round of the year, with £15 million available for charities and community energy groups across six funding streams. This includes community interest companies, co-operative societies and community benefit societies.

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

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The scheme is funded by voluntary payments collected from energy companies that may have breached Ofgem’s rules. Since 2018 it has funded more than 887 projects and awarded over £246 million, supporting over a million households across Great Britain. Grants range from £20,000 up to £1.5 million depending on the fund, and applications close at 5pm on 12 October 2026.

Graham Ayling, senior project manager for the Energy Redress Scheme at Energy Saving Trust, said:

“As many households continue to face high energy costs, this funding can help deliver vital support, drive innovation and enable communities to play an active role in the transition to a more sustainable energy future.”

National Grid’s £500k Community Matters Fund targets fuel poverty

Supporting grassroots organisations delivering warmth, advice and pracical help this winter. Community Matters Fund
Image: Community Matters Fund

Separately, the latest round of National Grid’s Community Matters Fund, run through Localgiving, is offering £500,000 in grants to grassroots organisations tackling fuel poverty and improving energy affordability. The fund prioritises groups in economically disadvantaged areas of the Midlands, South West England and South Wales, and those supporting historically under-represented and marginalised communities. Applications opened on 22 September 2026 and close on 16 October 2026.

The two funds reflect the financial pressure faced by many people from high energy bills, which are anticipated to reach a four-year high this winter, despite the new Andy Burnham-led government’s promise to remove VAT from household energy bills from this month.

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