£7,500 GRANT AVAILABLE FROM GOV.UK
With government schemes and grant funding making it easier for households to improve the energy efficiency of their homes, this raises the issue of whether there is any funding available for heat pumps in new builds?
As part of the Future Homes Standard, which sets rules for new homes, all new builds are required to have low carbon heating systems, like air source heat pumps installed, instead of a traditional gas boiler. This will play a significant role in ensuring all new build homes achieve energy efficient rating (EPC) of B, as required by the Standard.
A planned phasing out of gas boilers, effectively banning households replacing their existing gas boiler with a new gas boiler has been ditched by the government, but for the purposes of new build properties the effective ban on gas boilers in new builds remains. Only those planning to replace gas boilers in properties with an existing gas boiler will be able to do so.
This decision that gas boilers be banned in new builds is part of the government’s initiative to help the country achieve its target of net-zero carbon emissions by 2050. The Future Homes Standard aims to reduce carbon emissions in new build properties by 75-80% compared to current standards.
The UK gas boiler ban does not apply to existing homes (the sale of new gas boilers had been expected by 2035 but was dropped), but the ban and requirement to fit low-carbon heating systems still applies to new builds, self-builds, major renovations and some extensions.
Going forward, heat pumps will play a key role in providing heat for properties that are constructed to the Future Homes Standard. There are grants available that can help cover or subsidise the cost of installing an air source heat pump in a new build home, though this does apply only to those classed as self-builds.
There are many advantages to new builds having a heat pump installed instead of a traditional fossil fuel boiler:
While the positives definitely outweigh the negatives, there are still some potential drawbacks worth mentioning when it comes to using heat pumps as alternatives to gas boilers in new build properties:
Even though there aren’t any grants or schemes that are specifically targeted at air source heat pumps for new builds, there are grants that you could be eligible for that will pay for your heat pump installation
The Boiler Upgrade Scheme offers grants of up to £7,500 for air source and ground source heat pumps and is available to some new self build properties. The eligibility for these types of new build properties may differ from those for upgrading the heating in existing properties where the aim has been to replace old, inefficient heating systems.
To be classed as a self-build and therefore potentially be eligible for new build grant funding the following must be met:
While not specifically aimed at new builds, there are grant schemes available which could help with the cost of installing low carbon alternatives such as an air source heat pump.
The ECO scheme was launched by the government in 2013 with the goal of tackling fuel poverty and lowering carbon emissions across domestic homes in the UK. It does this by giving energy companies the responsibility of providing grants to qualifying households that will cover the cost of installing energy efficient systems and improvements, including air source heat pumps.
If you are a homeowner or privately renting tenant in a new build property with inefficient heating, a low EPC (Energy Performance Certificate) rating, and/or a low income, you could be eligible for new build grants for heat pumps through the ECO scheme.
The RHI was a previous government scheme that aimed to help the country meet its net-zero carbon goal by 2050 and provide affordable energy efficient heating to eligible households. This scheme stopped taking new applications in March 2022, with the BUS launching in May 2022 to effectively replace it. Participants of the RHI receive quarterly tariff payments for every kilowatt-hour (kWh) of renewable heat they produce with their new system.
The Boiler Upgrade Scheme works differently from the RHI in that it provides applicants with an upfront grant of up to £7,500 for heat pump system (or £5,000 for a biomass boiler in off-grid and rural properties). This is instead of the quarterly instalments paid over seven years that the Renewable Heat Incentive offered.
While plans for gas boilers being phased out have effectively been ditched by the government in existing properties, the requirement for low carbon technology in new builds is very much still present. This is generally good news for new property occupiers as they will be provided with a high energy efficient, low carbon heating system that will save them money each year on heating bills. The only potential downside is the housing developers may start passing on the cost of these new requirements to buyers.
For those planning on doing their own self-build, there are grant opportunities which could help with the cost of installing energy efficiency measures, including a new heat pump at a fraction of the cost. If you’re looking for new build grants for a heat pump for your own property, but are unsure if you qualify, get in touch. We’ll help you find out if your self-build qualifies you for a heat pump grant.
Contact us today to find out about air source heat pumps and whether they are suitable suitable for your premises. We will put you in touch with expert installers who will help you ascertain which heat pump system is best for your property and what options are available.
Through our help, you’ll be on the way to saving money, boosting your energy efficiency, and reducing your carbon footprint. Make the first step on the road to a greener future and find out what an air source heat pump system could do for you.
