The funding will see the installation of measures, including external wall and loft insulation, energy efficient doors and windows, heat pumps and solar panels.
Local authorities and social housing providers will be able to submit bids for funding and will deliver upgrades from early next year until March 2025.
Social housing with an Energy Performance Certificate (EPC) rating of D or lower will be eligible to receive upgrades, while the Home Upgrade Grant funding will help people who are most vulnerable to fuel poverty, living in privately-owned off gas-grid homes and on low incomes.
Business and Energy Secretary Jacob Rees-Mogg said: “Putin’s illegal war in Ukraine, would have had dire consequences on the energy bills of both households and businesses this winter, without the government’s decisive action.
“Today, I am cutting costs even further for the most vulnerable households for years to come. By making homes warmer and cheaper to live in, we are not only transforming the lives of households across England, we are creating huge growth in the economy, backing the green energy sector and supporting thousands of high-skilled jobs.”