In a statement the representative body for the sector welcomed clarifications provided by government in yesterday’s ‘Powering Up Britain’ report saying they ‘should go far to realising this, and to increase consumer and installer interest in heat pump technology’.
The HPA response
We look forward to working with government as it works to implement the below package of measures to ensure we reach the target of 600,000 heat pump installations per year by 2028. Proposed plans, if implemented effectively, will succeed in providing much needed clarity for the heat pump industry to invest in the technology and upskill heat pump rollout across the country.
The government has released a consultation on clean heat market mechanism – a policy aimed at supporting the development of the UK market for heat pumps through a market incentive to grow the numbers of heat pumps installed in premises each year.
BUS issues must be addressed
A welcome extension was also placed on the Boiler Upgrade Scheme (BUS), until 2028, to help the scheme take full advantage of money available to help households with the initial up-front costs of installing heat pump systems. The HPA hopes to see a more detailed response from government to address issues laid out in the House of Lord’s review into BUS and an indication as to the amount of funding available to consumers. Installers will also benefit from the extension of the Home Decarbonisation Skills Training Competition, providing discounts for heat pump training for installers across England.
The HPA is pleased to see details of a new £30 million Heat Pump Investment Accelerator to boost the heat pump manufacturing and supply chain. By unlocking investment in the UK heat pump supply chain, businesses can better gear up for increased heat pump rollout in the UK and unlock the economic benefits of net zero.
Cost equity and certainty
The announcement also included news that gas and electricity costs will be rebalanced to speed up electrification for households and businesses. Placing focus on driving down electricity bills will result in a more comparable cost difference between fossil fuel boilers and heat pumps.
The HPA has advocated for a long-term, predictable policy framework for home heating, recommending commitment to a fixed date for the phase out of fossil fuel boilers and for developing policy to aid the effort to reach the Government’s heat pump installation targets. We hope that the Government continues to consider these key changes to further provide certainty to the industry and emphasise the important role heat pumps will have in transforming Britain’s heating supply.
Phil Hurley, Chair of the HPA said: “Today’s announcements follow our recommendations for transforming Britain’s heating by tackling heat pump investment and affordability challenges. The Government has today doubled down on placing heat pumps at the forefront of the switch to low carbon heating, and we are pleased to see further progress on specific policies to drive the pathway to an installation rate of 600,000 heat pump systems per year by 2028.”