Boost for Orkney households as energy efficiency funding announced

More people in Orkney could benefit from warmer homes and lower bills, thanks to a new pot of funding from the Scottish Government. 

Orkney Islands Council has welcomed £1.75 million from the Scottish Government’s Heat and Energy Efficient Scotland: Area Based Scheme (HEES: ABS) for 2026-27. 

Eligible households can receive funding for a range of energy efficiency improvements, including loft insulation, internal, cavity and external wall insulation, underfloor insulation, and high heat retention storage heaters. 

Delivery of the scheme is managed by Warmworks on behalf of Orkney Islands Council. Warmworks has been working in Orkney since 2015, delivering the Scottish Government’s national fuel poverty scheme, Warmer Homes Scotland, and was appointed as the Council’s delivery partner for the HEES: ABS in 2020.  

The partnership was nominated for Energy Team of the Year at the 2026 Energy Awards, recognising its achievements and positive impact across Orkney.  

Warmworks has an office in Kirkwall and works with local companies to install energy efficiency improvements for eligible households. 

Stephen Gethins, Minister for Europe, External Affairs and Energy, said: 

“Everyone should be able to live in a warm, healthy home that is affordable to heat. Since 2013, we have provided more than £18 million to fund energy efficiency improvements to more than 1,400 homes across Orkney. I am delighted we are able to provide further funding to our partners at Warmworks and Orkney Islands Council so they can continue to deliver warmer homes and lower energy bills for local people.” 

Councillor Gwenda Shearer, Chair of Orkney Islands Council’s Education, Communities and Housing Committee, Orkney Islands Council, commented:  

“We are delighted to have secured HEES: ABS funding for 2026/27, enabling us to continue improving the energy efficiency of homes across Orkney and supporting residents with their energy costs. 

“Our partnership with Warmworks has been extremely positive, and we look forward to continuing to work together to deliver real benefits for households and communities across the Islands.” 

Nicola Mcleod, Warmworks’ Managing Director for Scotland, said:  

“At a time when many people across the Islands are rightly concerned about rising energy costs, the funding Orkney Islands Council has been allocated will make a big difference in so many lives. 

“We remain fully committed to getting on with the job of helping people be warmer, happier and healthier at home. I would strongly encourage anyone keen to find out more about how to make their home warmer and more energy efficient to get in touch with the local team, whether that be giving them a call or popping into our Kirkwall office.”  

To find out more, call the Kirkwall Warmworks team on 01856 881 513, Freephone 0800 038 6022 or email orkney@warmworks.co.uk.

You can also visit Warmworks’ office in Kirkwall at the following address (no appointment needed): 2 West Tankerness Lane, Kirkwall, KW15 1AL.