The UK government launched the Warm Home Loans scheme on Tuesday, offering households low- or interest-free loans between £7,500 and £35,000 to install solar panels, heat pumps and batteries. Energy suppliers British Gas and E.On have partnered with lenders including Tandem Bank and Homeserve to provide the loans at discounted rates. The government estimates that installing a heat pump, battery and solar panels could save households up to £550 a year on energy bills, rising to £850 with a time-of-use tariff. Heat pumps carry loan caps of £10,000 for air-source models and £35,000 for ground-source models. Energy Secretary Miatta Fahnbulleh said the scheme "will help families across the UK upgrade their homes with no upfront costs to make them warmer and cheaper to run". Other participating lenders are HTG Finance, Propensio, Secure Trust Bank, Selina Finance, South Manchester Credit Union, Sunsave, The Money Co-op and This Bank. The scheme launches as the Treasury prepares to cut hundreds of millions of pounds from the separate boiler upgrade scheme's £2.7bn five-year budget, though grants of up to £9,000 per year are expected to remain for households not connected to the gas grid.