Autumn Budget increases funding for the Boiler Upgrade Scheme (BUS)
Yesterday saw Rachael Reeves deliver Labour’s first budget since 2010, and there were a number of energy and climate-related announcements made. Most pertinent to our industry was the increased funding for the Boiler Upgrade Scheme (BUS).
£1.8bn in funding
The Budget has committed to supporting fuel poverty schemes in the UK, allocating £1.8bn towards helping households in fuel poverty. This funding is estimated to help over 225,000 UK households reduce their energy bills by over £200.
This £1.8bn in funding is over half of the additional £3.4bn commitment towards domestic energy efficiency improvements and decarbonisation over the next three years.
Additional funding for the Boiler Upgrade Scheme (BUS)
After the BUS has proven popular and been in high demand since its introduction, increased funding commitments have been announced. The exact figures are currently unclear, but the remainder of the £1.8bn of funding following support for fuel poverty schemes will be allocated towards additional funding for the BUS.
Whilst the figures are unlikely to be known for some time, additional support for the BUS is welcome and the increase in funding will no doubt increase the number of individuals adopting low-carbon heating solutions, such as biomass boilers.
Widened consumer choice for biomass boilers
The commitment to increased funding follows the expansion of the definition of biomass boilers from March 2024, wherein those with a cooking function (that is not integrated and cannot be controlled separately to the heating function of the property) are now eligible in the scheme.
Alan Young, Compliance Manager at HETAS, commented on the increased funding:
It is positive to see that government are committed to continuing to fund the Boiler Upgrade Scheme. This additional funding will alleviate concerns individuals may have had about the increased popularity of the scheme affecting new applications.
The increased funding combined with energy efficiency measures are critical. A biomass boiler is ideal for properties which may be under restrictions or limitations and unable to receive a full breadth of energy efficiency upgrades and allows these homeowners to heat their homes efficiently, staying warm over colder periods.
This increased funding aids off-grid properties, which can now use a wider range of appliances under the scheme, and is a positive step towards government’s commitment to biomass sustainability. There has been a 133.3% increase in biomass boiler BUS vouchers August – September 2024, and this increased funding allows for further increases across the entirety of the scheme, including air source heat pumps and ground source heat pumps.
HETAS is a leading provider of MCS product approval for biomass products, alongside our own Cleaner Choice certification scheme. To find out more about the changes to the BUS and product certification, contact the team on 01684 278170 or email [email protected].
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