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UK Government backs boiler upgrades with £1.5bn for heat pumps

Downing Street has announced a major increase to the Boiler Upgrade Scheme budget and new funding for insulation. 

smoke coming out of a chimney on top of a house

Recent changes to the existing framework mean grants are now available up to £7,500 for the installation of new heat pumps in homes. Double the previous limit, as a result companies serving this market have seen a 57% leap in applications. 

In order to help drive further interest, the Government has now confirmed that an additional £1.5billion of funding will be made available. Meanwhile, 500,000 homes will have their cost of insulation upgrades covered, with 200,000 low income households set to receive targeted support in other recent pledges. 

‘Investing in energy efficiency combined with energy security, is the only way to stop ourselves being at the mercy of international gas prices, one of the main drivers of inflation,’ said Jeremy Hunt, Chancellor of the Exchequer. ‘This investment will support households and businesses across the country to make greener choices in a way that doesn’t add a burden to working people.’

‘Heat pumps have been heating Scandinavian countries for decades and will be the solution to Britain’s energy crisis. The government recently committed to removing planning policy barriers, reforming EPC’s and tackling the unit costs of gas and electricity and if we can see these policy changes through, heat pumps will have a bright future in the UK,’ added Daniel Särefjord, CEO of heat pump company Aira UK. ‘The new £1.5bn funding for the Boiler Upgrade Scheme will drive investment and consumer confidence in the nations transition to cleaner, greener heat pumps.’

More on heat pumps: 

‘Global revolution’ in net zero skills required – EnvironmentJournal

Huge green jobs gain as Aira heat pumps launch in UK – EnvironmentJournal

£1.4m spent on Gloucestershire police decarbonisation – EnvironmentJournal

Image: Julian Hochgesang

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