Tips & Advice

Government Incentives & Initiatives

Initiatives and legislation set out by the Government are designed to support the installation of efficient heating systems and sustainable technologies

Boiler Upgrade Scheme

In Spring 2022, a new initiative encouraging householders to swap from fossil fuelled heating systems to renewable heating systems was launched by the Government. The Boiler Upgrade Scheme provides eligible homeowners with a grant of £5,000 if they install a low carbon heating system, such as an air source heat pump. The aim of this scheme is to make funds available to help offset the installation costs of a heat pump, helping to make them more comparable with the costs associated with a traditional gas boiler replacement.

The Boiler Upgrade Scheme forms part of the Government’s Heat and Buildings Strategy which sets out its plans to decarbonise home heating and reduce the dependency on fossil fuels. Further information about the Boiler Upgrade Scheme can be found in our blog here.

Zero VAT

In the Chancellor’s Spring Statement published in March 2022, the Government announced a five year zero-rate of VAT for the installation of certain types of energy saving materials, including solar thermal systems and air source heat pumps. Effective from 1st April 2022 until 31st March 2027, the zero rate will be available to provide VAT relief for energy saving materials being installed in domestic properties throughout Great Britain. It is hoped that this initiative will encourage the uptake of low carbon heating systems as well as other measures homeowners can take to improve the efficiency of their homes.

To read more about this, please click here.

ErP Directive

The Energy related Products (ErP) Directive is an EU initiative designed to achieve reductions in energy usage, emissions levels, and other environmental issues such as noise and the use of refrigerants. The Directive incorporates energy labelling requirements for space and water heaters, ensuring that appliances meet energy efficiency requirements while also helping consumers to identify most energy efficient products. It is the manufacture’s responsibility to issue their individual products with the necessary labels and product fiches and it is the installing engineer’s responsibility to issue an efficiency label for the entire heating system.

For further information about the ErP Directive, please click here.

ECO Design Directive

The ECO Design Directive forms part of the ErP regulations. The ECO Design Directive requires manufacturers to decrease the energy consumption of their products including space heaters, combination heaters, water heaters and thermal stores. For example, under the ECO Design Directive, it is a mandatory requirement for heating systems to be fitted with High Efficiency pumps. By complying with the ECO Design Directive products will consequently adhere to the ErP Directive requirements.

For further information regarding the ECO Design Directive, please click here.