UK Government expands Boiler Upgrade Scheme • Cardiff Heat Network goes live • Scotland’s first district heating education centre opens • Read more about the developments in sustainable heating and cooling in this month's news update from the UK
The UK Government has announced a major expansion of its Boiler Upgrade Scheme (BUS), introducing a £2.500 grant for households installing air-to-air heat pumps. Unlike traditional heating systems like air-to-water heat pumps and gas boilers, air-to-air heat pumps provide both winter heating and summer cooling, making them a versatile and energy-efficient option for homes. This is the first time government funding has been offered for air conditioning units, complementing the existing £7.500 grants available for air-source and ground-source heat pumps.
The initiative forms part of the Government’s £13.2 billion Warm Homes Plan, designed to reduce energy bills for around five million homes and support the transition to low-carbon heating. On average, the installation cost of a small air-to-air heat pump is around £4.500 in the UK, meaning the grant covers more than half of the expense, making clean heating more accessible to homeowners. Home owners will also be able to claim £2.500 towards heat batteries, which store heat overnight for use during the day as part of the expansion of the Boiler Upgrade Scheme (BUS)
In addition to financial support, the Government is consulting on alternative low-carbon heating solutions, including storage heaters, infrared panels, and renewable liquid fuels. The expansion comes as domestic heat pump installations in the UK reached record levels in 2025, with September seeing the most applications ever recorded. To meet the growing demand, DESNZ has committed to upskilling 18.000 workers in energy-efficiency retrofitting and low-carbon heating. The Warm Home Schemes Programme alone will provide 9.000 training places in areas like solar panel fitting, insulation installation, and heat networks, while the Heat Training Grant will support an additional 5.500 heat pump installers and 3.500 heat network installers.
Read more in article from Edie
Cardiff has marked a major milestone on its journey toward carbon neutrality with the launch of its first city-scale low-carbon heat network. The network delivered heat to its first customer, Cardiff and Vale College, and will soon supply iconic buildings including the Wales Millennium Centre, the Senedd, Tŷ Hywel, and various community facilities across Cardiff Bay. By capturing waste heat from Viridor’s Trident Park Energy Recovery Facility, which powers electricity-generating turbines from diverted waste, the network provides a sustainable source of heat and hot water to a growing number of connected buildings.
The £15.5 million project, delivered through Cardiff Heat Network Ltd, was funded by a UK Government Heat Networks Investment Project grant and a Welsh Government loan. Phase one of the network will already save an estimated 10.000 tonnes of carbon emissions annually, the equivalent of heating around 3.700 homes with gas boilers, and is designed to expand further in the future.
The operator Hemiko expects construction of the network to take four years and aims to employ local contractors as well as providing employment for approximately 30 people on-site every day. The heat network will support the reduction of carbon emissions, increase energy efficiency, and serve as a model for other cities in the UK looking to harness district heating on a city-wide scale.
Read more in the article from Business News Wales
Scotland has taken a major step toward scaling up low-carbon heating with the opening of the Heat Network Suite at the Energy Training Academy (ETA) in Edinburgh. This is the country’s first dedicated education centre for district heating, offering a purpose-built, 1.800 sq. ft. facility capable of hosting over 60 people. The venue is designed to educate a wide range of stakeholders, including policymakers, engineers, town planners, and homeowners, on the benefits, technology, and opportunities related to heat networks.
The launch comes in partnership with Vattenfall Heat UK, OCS, and SAV Systems, and coincides with the expansion of the Shawfair district heating network in Midlothian. Midlothian Energy Ltd. (a joint venture between the council and Vattenfall UK) captures heat that would otherwise be wasted at the Millerhill Recycling and Energy Recovery Centre, delivering low-carbon heat to over 3.000 homes and commercial properties. The network is already saving over 2.500 tonnes of carbon emissions annually, the equivalent of removing 1.200 cars from the road.
The Heat Network Suite will host workshops, business networking events, product launches, and employability events for schools, providing hands-on exposure to real-world heat networks. With estimates suggesting up to 40% of Scottish homes could be on a heat network by 2045, the centre will create an important link between theory, practice, and ambition.
Read more in article from Scottish Construction now
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