The production line at Ideal Heating's heat pump factory
The government has nearly doubled the budget for the Boiler Upgrade Scheme (BUS) and extended fast-track planning rules for heat pumps
In the next steps on its Warm Homes Plan, the Department for Energy Security and Net Zero (DESNZ) said the budget for the BUS will grow to £295m in the next financial year. A further £30m has been allocated for this year’s scheme.
The additional BUS cash has been allocated from the £3.4bn committed in October’s Budget for the Warm Homes Plan over the next three years.
The government announced £374m for the Warm Homes: Social Housing Fund and £88m for the Warm Homes: Local Grant scheme.
Relaxing heat pump planning rules
It has also announced that it is pressing ahead with proposals to ease planning rules on heat pump installations. The requirement that heat pumps be installed at least one metre from a property’s boundary in order to benefit from permitted development rights – which cut out the need to submit a full planning application – has been removed.
This restriction will still be in place for listed buildings. The government said the changes would be made by the Ministry of Housing, Communities and Local Government (MHCLG) early next year.
Other changes announced include:
- Increase the size limit of the heat pump for dwellings from 0.6m3 to 1.5m3
- Double the number of heat pumps permitted, from one to two for detached dwelling houses
- Support the rollout of air-to-air heat pumps that can also provide a cooling function.
The permitted development right will continue to require that installations are compliant with the relevant Microgeneration Certification Scheme Planning Standards.
Higher product energy standards
Other announcements include plans to increase energy efficiency standards for boilers and heat pumps, which would reduce bills for boilers by £30 per year from 2028 and for heat pumps by £22 per year from 2029.
DESNZ said the proposals will upgrade the efficiency of space-heating products by going beyond the present requirements of ecodesign legislation (2013/813) and energy labelling legislation (2013/811).
A consultation setting out detailed proposals will be published alongside a draft statutory instrument and options assessment next month. DEZNS also announced proposals around the electrification of heat (below).
Electrification of heat
To enable the electrification of heat the government said it would also consult on proposals to:
- Update the primary energy factor for electricity to 1.9 (from 2.5)
- Amend and introduce definitions of low-, medium-, and high temperature heat pumps and increase and introduce minimum efficiency requirements for each temperature
- Create a new definition for a hybrid heat pump and introduce minimum efficiency requirements for hybrid heat pumps.
The government also revealed an investment of £5.2m in Groupe Atlantic (owners of Ideal Heating), in the first award from the Heat Pump Investment Accelerator competition.
The aim, said the government, is to kickstart a homegrown heat pump industry and support hundreds of low-carbon jobs.
