£15m round of funding made available through Ofgem Energy Redress Scheme
The Ofgem Energy Industry Voluntary Redress Scheme has launched its second funding round, opening for applications on Monday 21 September.
A total of £15 million is available for charities and community energy groups, including community interest companies, co-operative societies and community benefit societies, 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, and 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 887 projects that have supported over one million households across England, Scotland and Wales.
Previous projects have delivered frontline energy advice and casework for people in vulnerable situations, alongside targeted support and tailored services for those with more complex needs.
Projects have also included initiatives to increase uptake of whole-house retrofits and community energy generation, as well as trials of new business models to help households make better use of locally generated energy.
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.
“We encourage charities and community energy groups to apply and look forward to supporting projects that deliver lasting benefits for people most in need.”
Cathryn Scott, regulatory director of market oversight and enforcement at Ofgem, said: “When energy companies fall short of the standards we expect, our compliance and enforcement work ensures that they are held to account, and consumers benefit from redress payments.
“The Energy Redress Scheme has already supported over 800 projects so far across Great Britain, helping people in vulnerable circumstances and supporting innovative community energy projects. This latest £15 million funding round will enable that important work to continue.”
The deadline for applications in this funding round is 5pm on 12 October 2026, via the Energy Redress Scheme website.

