Cheap Home Improvements That Actually Cut Bills
Some home improvements pay for themselves quickly. Others are money pits. Here is what is worth doing yourself and what needs proper investment.
Draught-proofing and loft insulation give the fastest payback - often under three years. LED bulbs pay for themselves in months. Bigger investments like double glazing take decades to pay back on energy savings alone, though they add other value.
Home improvements range from free tweaks to major investments. Some genuinely save money; others are marketed as savings but barely move the needle. This is what works and what doesn’t.
Quick Wins (Under £50)
Draught-Proofing
Cold air leaking in means your heating works harder. Sealing gaps is cheap and effective.
| Area | DIY Fix | Cost | Annual Saving |
|---|---|---|---|
| Windows | Foam tape or brush strips | £5-£15 | £25-£35 |
| External doors | Brush strips, letterbox cover | £10-£30 | £25-£45 |
| Floorboards | Filler, sealant, or rugs | £10-£20 | £20-£30 |
| Chimney | Balloon or cap | £20-£40 | £40-£90 |
| Skirting gaps | Decorator’s caulk | £5-£10 | £10-£20 |
Most draught-proofing is straightforward DIY. A Sunday afternoon’s work can cut £100+ off annual heating bills.
Don’t seal: Airbricks, trickle vents, or extractor fans. These provide essential ventilation.
LED Bulbs
LED bulbs use 80% less energy than incandescent and 25% less than CFL bulbs.
| Bulb Type | Cost Per Bulb | Annual Running Cost (3hrs/day) |
|---|---|---|
| Incandescent (60W) | £1 | £7-£8 |
| CFL (15W) | £3-£5 | £2 |
| LED (8W) | £2-£5 | £1 |
At £5-£7 saved per bulb per year, LEDs pay for themselves in under a year. Replace bulbs as they fail rather than all at once.
Chimney Balloon/Cap
Open chimneys lose enormous amounts of heat. A balloon (inflatable blocker) or cap costs £20-£40 and saves up to £90 per year.
Only suitable if you don’t use the fireplace. Remove before lighting any fire.
Reflective Radiator Panels
Panels behind radiators on external walls reflect heat back into the room instead of warming the wall.
| Cost | Annual Saving | Payback |
|---|---|---|
| £20-£40 for multiple radiators | £20-£40 | ~1 year |
DIY installation takes minutes. Bigger savings if your walls are poorly insulated.
Hot Water Cylinder Jacket
If you have a hot water tank without a jacket, adding one stops heat escaping.
| Cost | Annual Saving | Payback |
|---|---|---|
| £15-£25 | £30-£50 | ~6 months |
Simple DIY job. No point if your tank already has a jacket or is in an airing cupboard you want warm.
Medium Investment (£100-£500)
Loft Insulation (DIY)
Adding or topping up loft insulation is one of the best investments.
| Current Insulation | Action | Cost (DIY) | Annual Saving |
|---|---|---|---|
| None | Install 270mm | £300-£400 | £200-£300 |
| 100mm | Top up to 270mm | £150-£250 | £100-£150 |
| 270mm | None needed | - | - |
Rolls of mineral wool are cheap from DIY stores. The job is straightforward but uncomfortable - wear protective clothing, mask, and goggles.
Payback is typically 2-4 years.
Thermostatic Radiator Valves (TRVs)
TRVs let you control temperature room by room. Turn down radiators in rooms you don’t use.
| Cost | Annual Saving | Payback |
|---|---|---|
| £10-£20 per radiator (DIY) or £150-£300 (fitted) | £50-£100 | 1-3 years |
DIY installation requires draining the system. Professional fitting is straightforward if you’re not comfortable with plumbing.
Smart Thermostat
Smart thermostats learn your habits and adjust heating automatically.
| Product | Cost | Annual Saving |
|---|---|---|
| Hive, Nest, Tado | £150-£250 | £50-£150 |
Savings depend on how inefficiently you were heating before. If you already use timers and manual adjustments well, the improvement is smaller.
Professional installation often included or £50-£100 extra.
Bigger Investment (£500+)
Cavity Wall Insulation
Filling the gap in cavity walls dramatically reduces heat loss.
| Cost | Annual Saving | Payback |
|---|---|---|
| £500-£1,500 (professional only) | £100-£200 | 3-8 years |
Not suitable for all properties. Some cavities shouldn’t be filled (rubble-filled, damp issues, narrow gap). Get a proper survey first.
May be free through ECO scheme if you receive qualifying benefits.
Double Glazing
Replacing single glazing with double reduces heat loss through windows.
| Cost | Annual Saving | Payback |
|---|---|---|
| £3,000-£7,000 | £80-£120 | 25-50+ years |
The payback on energy alone is very long. Double glazing makes more sense for:
- Comfort (no cold draughts)
- Noise reduction
- Property value
- Appearance
Don’t expect it to pay for itself through energy savings.
Solar Panels
Generate electricity from sunlight.
| Cost | Annual Saving | Payback |
|---|---|---|
| £5,000-£8,000 | £200-£500 | 10-20 years |
Savings depend on:
- Roof orientation (south is best)
- How much electricity you use during daylight
- Whether you export to the grid (earns money via Smart Export Guarantee)
- Future electricity prices
Solar makes more sense if you’re home during the day or have an electric car.
Heat Pumps
Replace gas boilers with electric heating.
| Type | Cost | Annual Saving |
|---|---|---|
| Air source | £8,000-£15,000 | Variable |
| Ground source | £15,000-£25,000 | Variable |
Savings compared to gas are currently marginal or negative due to electricity being more expensive per kWh than gas. Makes more sense for:
- Off-gas-grid properties using oil or LPG
- Well-insulated homes
- When electricity prices fall relative to gas
- Environmental reasons
Government grants (Boiler Upgrade Scheme) reduce costs by £7,500.
What’s Usually Not Worth It
| ”Improvement” | Why It’s Often Poor Value |
|---|---|
| Boiler upgrade (working boiler) | New boilers are only 5-10% more efficient than 10-year-old ones |
| Electric heaters “to supplement” | Electric is more expensive per kWh than gas |
| Gadgets that claim huge savings | If it sounds too good to be true, it is |
| Premium energy monitors | Free smart meter displays do the same thing |
Focus on the basics first: draught-proofing, insulation, behaviour changes. These give the best return for most homes.