- Varied heat pump grants to improve access to low-carbon
heating
- consumers to save time and money thanks to simpler energy
performance requirements
- heat pump vouchers offers up to £6,000 off installation, with
over £81 million issued
Homeowners and small businesses could find it cheaper and easier
to install heat pumps under new proposals set out today (Thursday
31 August).
Proposed measures could mean varying the levels of grants that
are made available, depending on the customer’s property type or
existing fuel source.
This would make heat pump installations more affordable for even
more households and small businesses, enabling them to benefit
from low-cost and low-carbon heating.
Households could also save time and money through a simplified
approach to qualifying for a heat pump grant by removing the need
to install loft or cavity wall insulation first.
These changes will help more homes and businesses move away from
costly foreign fossil fuels and onto cleaner, cheaper homegrown
energy – forming part of the government’s drive to decarbonise
the nation’s heating, with more than £81 million in vouchers
already issued to customers under the Boiler Upgrade Scheme.
Today’s new proposals also provide an additional option to help
consumers install new biomass boilers that also work as an oven,
helping more households access the latest in cutting-edge, green
technology.
, Minister for Energy
Efficiency and Green Finance, said:
Heat pumps are a vital tool in cutting the carbon emissions from
people heating their homes, while also helping to drive down
costs and boosting our energy security.
While a heat pump can be installed for a similar price to
installing a gas boiler, the support we’ve put in place means it
is an option for more and more households.
Today’s changes go even further and will mean even more people
could benefit from making the switch, offering them the option
for a low-emission, low-cost form of heating their homes.
A heat pump takes heat at a low temperature from the air or
ground, increases it to a higher temperature, before transferring
the heat into homes for heating and hot water. This technology is
significantly more efficient than traditional boilers and uses
cleaner electricity rather than fossil fuels – helping to reduce
the carbon footprint of a home.
The government’s £450 million Boiler Upgrade Scheme was recently
extended until 2028 and offers grants of £5,000 towards the
installation of an air source heat pump; £6,000 off a ground
source heat pump; and £5,000 off a biomass boiler. Consumers can
also receive a zero VAT rate on installations.
Consumer satisfaction is also high, with 92% of surveyed heat
pump owners saying they were highly satisfied with the technology
after 2 winters, in an evaluation of the Domestic Renewable Heat
Incentive Scheme, which was replaced by the Boiler Upgrade
Scheme.
Heat pump installers, manufactures, suppliers, and the wider
industry are now being invited to offer their views on the
government’s proposed changes to the Boiler Upgrade Scheme, with
the consultation open on GOV.UK until 12 October.
This comes alongside a government commitment to the Future Homes
Standard coming into force in 2025. The Building Regulations will
continue to set a performance-based standard rather than
mandating or banning the use of any technologies.
However, to make sure that new homes are zero carbon ready we
plan to set the performance standard of the Future Homes Standard
at a level which will effectively preclude new homes being built
with fossil fuel heating.
