The long-awaited Heat and Buildings Strategy has been announced, along with the Government’s Net Zero Strategy. So what does this mean for householders?

Ahead of November’s COP261 in Glasgow, the Government has published its long-awaited Heat and Buildings Strategy alongside its Net Zero Strategy.

The Heat and Buildings Strategy sets out details of a £3.9 billion2 package of support to decarbonise heating in buildings. It’s part of the UK’s first ever strategy for reaching net zero emissions, with the aim to end the UK’s contribution to climate change by 2050.

So what’s the big plan? In brief, if the UK is to meet its target of net zero, virtually all heating will need to be decarbonised. Ultimately, this means no more burning of fossil fuels such as coal to heat homes and buildings.

Better energy performance comes first

A key focus of the Strategy centres on improving the energy efficiency of existing buildings, and futureproofing new-builds.

Overall, the Strategy details £3.9 billion of funding, with the Department for Business, Energy and Industrial Strategy (BEIS) stating this will add up to £6 Billion in value to the UK economy as well as create 175,000 skilled jobs by 2030.

New policies could bring around 70% of England’s homes up to Energy Performance Certificate (EPC) Band C or above by 2035. As only about 40% of homes currently reach this standard of energy efficiency this would be a major achievement towards cutting carbon emissions.

Consultations are ongoing, but setting a minimum EPC standard for all homes and buildings could be on its way.

£3.9 billion of funding – where will it be spent?

–    A new £1 billion a year ECO scheme
A new Energy Company Obligation scheme (ECO4) will run from 2022 to 2026. A total of £4 billion in funds will be available over the four years to improve some of the most energy inefficient homes in Britain.

–    £950 million for the Home Upgrade Grant scheme
From 2022 to 2025 the HUG scheme will fund home energy efficiency improvements such as insulation that cut carbon emissions

–       £800 million for the Social Housing Decarbonisation Fund
From 2022 through to 2025 the SHDF will support the cost of improving energy efficiency and reducing carbon emissions in low income and vulnerable households

–       £450 million boiler upgrade scheme
Homeowners will be able to claim grants of £5,000 to help with the upfront cost of upgrading to a new heat pump when they replace their gas boiler. The three-year scheme will benefit around 90,000 homes

–       Funds for Local Authorities
The Local Authority Delivery (LAD) scheme provides funding to local authorities across England, supporting the drive to cut carbon emissions in low-income households

–       £1 billion for the Public Sector Decarbonisation Scheme
Funding from 2022 to 2025 will reduce the carbon emissions of public buildings

Energy innovation means decarbonisation

The Strategy highlights that the decarbonisation of our homes and buildings needs to take a co-ordinated approach to achieve UK targets.

For example, the installation of a new heat pump at home should be combined with other solutions to support the low-carbon transition. These could include rooftop solar power, wall and loft insulation, battery and energy storage, an electric vehicle (EV) charging point and smart technologies and appliances that help to save energy.

As specialists in energy efficiency, we’re already taking action to install heat pumps and solar PV systems alongside our insulation. We’re committed to environmentally-friendly solutions and services, and we’re backing the UK drive to cut carbon emissions .

For more on Government advice on how to improve the energy efficiency of your property, take a look at the Simple Energy Advice site.

To ask us about warming up your home, reducing your heating bills and cutting carbon emissions, get in touch or call our friendly team on 0800 526 023.

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