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United Kingdom

Promoting innovative heat pump projects to drive cleaner heating

  • Over £15m awarded by government across 24 innovation projects to make low-carbon heating like heat pumps cheaper and easier to install
  • By accelerating the deployment of heat pumps, households can move away from using costly fossil fuels and support the goal of installing 600,000 heat pumps per year by 2028.
  • The funding will go hand in hand with the government’s boiler upgrade scheme which will create over 300 jobs and provide a £5000 subsidy for the cost of installing a heat pump.

Innovations that make heat pumps cheaper and easier to install are backed by over £15m in government funding and are accelerating the UK’s move away from fossil fuels.

The funding is part of the Government’s £60m Heat Pump Ready programme, which is developing innovative solutions to reduce barriers to the deployment of low-carbon technologies in homes and businesses across the UK.

A total of 24 projects in England and Scotland have received funding in the second round of the Heat Pump Ready program.

The funding comes in parallel with the government’s £450m boiler upgrade scheme. bat It is for installing a clean means of heating, making it an even more affordable option for those looking to replace their gas or oil boilers on their property.

Heat pumps are much more efficient than traditional fossil fuel boilers and are a proven technology that provides a reliable low-carbon heating solution for homes.

Lord Callanan, Minister for Business and Energy, said:

In light of rising global gas and oil prices, introducing low-carbon heating technology into homes is a priority for this government, as it helps homes ditch expensive fossil fuels that are driving up their bills. is.

Heat pumps are a proven and reliable technology using cheap renewable energy produced in the UK. Boiler upgrade schemes and significant reductions are already reducing costs. bat But finding innovative ways to make them cheaper and easier to install could help more families realize the benefits sooner.

The main objectives of Heat Pump Ready are to reduce costs, improve home heat pump performance, minimize home disruption during the heat pump installation process, and support increased heat pump deployment. Developing a financial model.

Supporting innovation is part of the government’s strategy to help bring low-carbon heating technologies to the mass market, supporting the goal of installing 600,000 heat pumps per year by 2028.

The industry estimates that the UK heat pump market has grown by nearly 50% last year, and along with the boiler upgrade scheme, Heat Pump Ready is being promoted by the government as it expands its adoption and helps the industry reduce the cost of heat. It is part of a wider policy package that we are implementing in pumps.

Projects supported by this Stream 2 funding include a project in Harrogate, North Yorkshire, which uses data from smart meters to optimize the operation of heat pumps in home energy systems. A project in Thame, Oxfordshire looking at environmentally friendly refrigerants used in heat pumps and ways to reduce the cost of installing and operating heat pumps.

Stream 2’s £15m funding will support 37 SMEs across 24 projects in England and Scotland, helping create over 300 jobs and leveraging £6.5m of private investment.

Stream 2 of the heat pump ready program runs parallel to streams 1 and 3. Stream 1 has funded over £2m across 11 projects and is conducting feasibility studies on innovative ways to increase the deployment of domestic heat pumps in the region. For Phase 1 applications, the project team estimates that at least a 20% cost savings could be achieved through a coordinated deployment.

Heat Pump Ready is part of the £1 billion net zero innovation portfolio (NZIP) and funding announced in October 2021, along with a strategy for heat and buildings.

As a result of this strategy, and the support of projects funded through the Heat Pump Ready Program, the government is confident that the cost of the technology will fall rapidly as the market for low-carbon heating grows. The government aims to work with industry to purchase heat pumps at the same cost as fossil fuel boilers by 2030 at the latest, with at least a 25-50% significant reduction by 2025.

Note to editors

24 projects funded through Stream 2 of the Heat Pump Ready program.

stream 1 Heat Pump Ready has funded over £2m in 11 projects in Newcastle, Sunderland, Leeds, Oxford, Greenwich, Bristol, Teinbridge, Fenland, Perth, Cherwell and Bridgeend. These projects are working to develop feasibility studies of innovative ways to increase the deployment of domestic heat pumps within the region. The project will use the findings of the project to apply for up to £9m in Stream 1, Phase 2 to trial the developed solution.

stream 3 Heat Pump Ready is providing up to £5m in funding to support learning across the Heat Pump Ready programme, so evidence can be shared among participants and with external heat pump stakeholders. £450 million Boiler renewal scheme (bus) is open for voucher applications in May 2022 and will incentivize people by providing a subsidy of £5,000 for the initial cost of installing an air source heat pump and £6,000 for a geothermal heat pump. The purpose is that.

of Government launched online service As part of our ‘Help to Heat’ support, we help families make informed choices about installing low-carbon heating, including heat pumps, to improve the energy efficiency of their homes.

https://www.gov.uk/government/news/boost-for-innovative-heat-pump-projects-to-drive-cleaner-heating Promoting innovative heat pump projects to drive cleaner heating

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