‘Government’s heat pump scheme could run out of cash’

The Boiler Upgrade Scheme may run out of vouchers in 2024 as demand for electric heat pumps increases, according to new research

The UK Government‘s Boiler Upgrade Scheme (BUS) may run out of vouchers in 2024 as monthly heat pump installations increase, according to research by the Energy and Climate Intelligence Unit (ECIU).

The scheme aims to replace old gas boilers with electric heat pumps and households could miss out on a £5,000 grant if the vouchers run out.

On average, the number of homes using the scheme has grown by around 10% per month, according to the ECIU – analysts say if this growth continues, the 90,000 vouchers available could be oversubscribed by more than 50%.

However, the BUS has been extended until March 2028, potentially allowing for a total of 270,000 vouchers.

A Department of Energy Security and Net Zero spokesperson told ELN: “We dispute this analysis and fully expect to continue having vouchers available throughout next year.

“The scheme will be extended for 2025 with new, additional funding in each year until 2028, and we are completely confident we will meet our target of 600,000 heat pump installations.”

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