Issued by: Department for Energy Security and Net Zero

Proposals to give families greater choice when upgrading their home's heating as well as plans to create up to 18,000 training places for green jobs.

• Working families to get greater choice on upgrades to their home’s heating including new products, such as air-to-air heat pumps and heat batteries, as well as offering new heat pump purchase options

• plan to build a ‘clean power army’ receives a boost, with up to 18,000 professionals to be trained to retrofit homes, and install heat pumps, insulation, solar panels and heat networks

• comes as government invests £4.6 million in Copeland to manufacture more heat pump parts at home in the UK, supporting local jobs and boosting economic growth as part of the Plan for Change

Homeowners are set to have more choice over ways to access heating systems and bring down costs under proposals being considered as part of the Warm Homes Plan – helping to deliver on the government’s milestone of higher living standards as part of the Plan for Change.

Demand for heat pumps is surging, with the Boiler Upgrade Scheme – which offers up to £7,500 off the cost, enjoying its best month since opening, with 4,028 applications received in March 2025, up 88% on the same month last year. Heat pumps can save families around £100 on their average energy bills when used with a smart tariff.

With more households wanting to make the upgrade to cleaner, homegrown energy, the government has today launched a new consultation on expanding the Boiler Upgrade Scheme to give families even greater choice to pick what works best for them.

Changes to the scheme could see families potentially access air-to-air heat pumps and electric heating technologies such as heat batteries, which are currently not eligible for grants under the scheme, alongside new purchase and ownership models which could spread the cost of a heat pump over several years, or give households the opportunity to lease one for a monthly fee instead.

As part of the government’s Plan for Change, even more households will be able to take up the offer of switching to low-carbon heating, while protecting the pounds in people’s pockets by making more options available.

The government has also set out plans to bolster the ‘clean power army’, training up to 18,000 more home retrofitters, to install heat pumps, insulation, solar panels and heat networks, alongside a major new deal to support the UK’s heat pump supply chain.

Minister for Energy Consumers Miatta Fahnbulleh said:

"Our Warm Homes Plan will mean lower bills and warmer homes for millions of families – helping drive better living standards as part of the Plan for Change.

"Following a record-breaking month for applications to our Boiler Upgrade Scheme, we are now proposing to give working families more choice and flexibility to pick the low-carbon upgrades that work best for them.

"And on top of this, we are investing over £4 million in Copeland to continue building a homegrown heat pump industry and training up the army of skilled workers we need to achieve this."

Copeland in Northern Ireland have been awarded £4.6 million to expand their manufacturing for heating compression technology – a key component of heat pumps, which can help protect family finances from the roller coaster of international gas markets by running on clean electricity.

This investment, backed by a multi-million pound investment from Copeland, will help to support the industries and jobs of the future, while unlocking economic growth, as part of the Prime Minister’s Plan for Change.

Ministers have also unveiled plans to train up to 18,000 skilled workers to install heat pumps, fit solar panels, install insulation and work on heat networks through the extension of the Heat Training Grant and launch of the Warm Homes Skills Programme.

With 3 days to go until the government’s consultation on introducing higher minimum energy efficiency standards in private rented sector homes closes, ministers have issued a final call for tenants and landlords to make their views heard.

Under the proposals, all private landlords would be required to meet a higher standard of Energy Performance Certificate (EPC) C or equivalent in their properties – up from the current level of EPC E, by 2030.

This will deliver on the priorities of working people, in line with the Prime Minister’s Plan for Change, by requiring landlords to invest in measures such as loft insulation, cavity wall insulation or double glazing – ensuring homes are warmer and more affordable for tenants. Alongside higher standards & funding in the social rented sector, this could lift up to one million households out of fuel poverty by 2030.

Stakeholder reaction

Charlotte Lee, CEO at the Heat Pump Association said:

"Following a record year for UK heat pump sales in 2024, we warmly welcome today’s announcements which will continue to support growth in the sector and increased deployment of clean heating.

"The additional funding to support those wishing to become qualified to install heat pumps and heat networks is especially welcome, alongside proposals to expand the Boiler Upgrade Scheme to make clean heating solutions an accessible option for more consumers."

Jambu Palaniappan, CEO at Checkatrade said:

"We fully support this latest government investment in skills and training, and greater choice for homeowners.

"At Checkatrade, we’ve seen the growing importance of green energy to consumers, and with our new Green Hub are more easily connecting them with skilled tradespeople to make their homes more energy-efficient.

"The new funding is a key step towards empowering more people to enter the trade and a boost for the economy, helping to build long-term, sustainable careers for thousands across the UK."

Verity Davidge, Director of Policy and Public Affairs at Make UK said:

"As we continue to transition to a low-carbon economy it is critical we have the people and skills needed to make it happen.

"Today’s announcement is a positive step towards ensuring the workforce is equipped with these skills. Many of those trained will develop the transferable skills needed to support industry in its own quest to transition to net zero."

Ned Hammond, Deputy Director (Customers) at Energy UK, said:

"Expanding the Boiler Upgrade Scheme and giving families greater choice in the types of low-carbon heating systems available to them is a really positive move. More flexibility in the way customers can pay for these technologies will also help make efficient and smart heating systems, such as heat pumps, heat batteries and heat networks, available to even more customers who are struggling with high energy bills and looking for an alternative to costly gas boilers.

"The recent surge in demand for the Boiler Upgrade Scheme following the government’s funding uplift is a clear signal of consumer appetite and what can be done with the right support in place - and it’s vital this level of investment continues.

"Underpinning this is the need for a skilled and dedicated installer supply chain, so it’s fantastic to see government extending its support for skills and training as part of today’s announcement.

"The government’s figures show that 71% of installers benefitting from the Heat Training Grant said it made all the difference in their decision to upskill into heat pump systems. Extending the subsidy out to 2030 would help further with bringing in the thousands of new entrants we need into the heat pump and heat networks sectors."

Chris O’Shea, CEO of Centrica, said:

"As the UK’s largest installer of low carbon heating technologies, we are delighted with the government’s proposals to expand the Boiler Upgrade Scheme to offer customers more choice on how to decarbonise their homes through greater financing, ownership and technology options.

"We can’t wait to add more to our Clean Power Army, the largest in the UK, using our award-winning academies and British Gas engineers to train installers across the UK."

Garry Felgate, Chief Executive of The MCS Foundation, said:

"Consumer confidence in low-carbon technologies is growing, with more households installing heat pumps across the UK than ever before. Today’s announcements will help to accelerate that trend, by ensuring more people can access heat pump grants and supporting the growth of the heat pump workforce.

"These steps are very welcome news, enabling lower bills, lower carbon emissions, and sustainable jobs."

Sando Matic, Europe President for Copeland, said:

"This investment marks a pivotal step in advancing clean energy solutions and driving economic growth.

"By expanding our manufacturing capabilities for heating solutions here in Northern Ireland, Copeland is proud to play a key role in helping to reduce reliance on fossil fuels and supporting the energy transition to more sustainable, electricity-powered heating."

Aadil Qureshi, CEO of Heat Geek, said:

"Installers are the bedrock of this transition. They not only fulfil customer demand, but help guide and advise homeowners. More funding for programmes that deliver high quality training and good installation outcomes are essential for the future of this industry."

Greg Jackson CBE, Founder and CEO of Octopus Energy, said:

"Britain has a huge opportunity to create thousands of good jobs as part of our energy transition. At Octopus, we’re playing our part by training 4,000 new low-carbon heating apprentices by 2030, but the industry needs thousands more if we’re going to reach our climate targets.

"It’s good to see backing for training that will get anyone, no matter if they’re school leavers or career changers, into these high-impact jobs."

Notes to editors

Options being considered to help spread the installation cost of a heat pump include:

• hire purchase, giving households the option to pay for a heat pump in instalments, meaning they would own the equipment at the end of their contract

• hire purchase plus, combining paying for a heat pump in instalments with a separate contract for an energy tariff, allowing providers to simplify costs into a single monthly payment

• leasing, offering households the option to lease a heat pump for a set amount of time, like leasing a car. At the end of the contract, households would either enter into another agreement to continue leasing the heat pump, or would replace it

See the government’s consultation on expanding the Boiler Upgrade Scheme, which closes to responses on 11 June 2025:

• Boiler Upgrade Scheme and certification requirements for clean heat schemes consultation (https://www.gov.uk/government/consultations/boiler-upgrade-scheme-and-certification-requirements-for-clean-heat-schemes)

Further information on the Heat Pump Investment Accelerator award to Copeland can be found here: Heat Pump Investment Accelerator Competition successful projects (https://www.gov.uk/government/publications/heat-pump-investment-accelerator-competition-successful-projects/heat-pump-investment-accelerator-competition-successful-projects)

The Warm Homes Skills Programme will deliver up to 9,000 training places across England, providing opportunities for people to develop skills in areas including fitting solar panels and installing insulation. More details can be found here: Warm Home Skills Programme (https://www.gov.uk/government/publications/warm-homes-skills-programme).

An extra £5 million will be provided to continue the Heat Training Grant until March 2026, supporting a further 5,500 heat pump installers and 3,500 heat network professionals. The Grant has already trained over 10,650 individuals up to the end of March 2025. More details can be found here: Apply for the Heat Training Grant: discounted heat pump training (https://www.gov.uk/government/publications/heat-training-grant-for-heat-pumps).

More details on the Heat Training Grant: Heat Network training can be found here: Training providers: apply to offer the Heat Training Grant for heat networks (https://www.gov.uk/government/publications/training-providers-how-to-offer-the-heat-training-grant-for-heat-networks).

The government’s consultation on minimum energy efficiency standards for private rented sector homes can be found here: Improving the energy performance of privately rented homes: consultation document (https://www.gov.uk/government/consultations/improving-the-energy-performance-of-privately-rented-homes-2025-update/improving-the-energy-performance-of-privately-rented-homes-consultation-document-html).

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