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UK Pledges Additional £1.5bn for Heat Pump Scheme

The UK Government has unveiled its intention to allocate £6 billion ($7.6 billion) towards enhancing energy efficiency in residential and commercial properties from 2025 to 2028. Out of this amount, £1.5 billion will be specifically directed towards the Boiler Upgrade Scheme (BUS).Currently, the housing in the UK is among the least energy-efficient in Europe. The allocated cash will primarily focus on enhancing energy efficiency in low-income and social housing. The objective is to ensure that heating homes remains cheap, particularly in light of the ongoing energy crisis. Additionally, £1.17bn will be dedicated to decarbonising public sector buildings.The announcement follows the government's recent criticism about Chancellor Jeremy Hunt's autumn statement, which did not include any required enhancements to energy efficiency and insulation for private housing.


Juliet Phillips, a senior policy advisor at the climate think tank E3G, expressed in a statement that a significant number of privately leased households, including 1.6 million children, are residing in substandard conditions characterised by cold, dampness, and leaks. She further highlighted the lack of any government initiative to tackle this issue.


The purpose of providing further cash for the BUS, which presently provides a £7,500 grant to homeowners seeking to replace their conventional gas boilers with heat pumps, is to increase the use of more environmentally friendly heating systems.

Daniel Särefjord, the Chief Executive Officer of Aira UK, a company that develops heat pumps, expressed in a written statement that the recently announced £1.5 billion funding for the Boiler Upgrade Scheme will stimulate investment and enhance customer confidence in the country's shift towards more environmentally friendly heat pumps. Heat pumps have been utilised for heating purposes in Scandinavian countries for a considerable period of time and are poised to provide a solution to Britain's energy dilemma.

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