The Department for Energy Security and Net Zero (DESNZ) has released the latest statistics on the Boiler Upgrade Scheme (BUS).
As of the end of November 2024, 62,191 applications have been made to the BUS, with 97% of these applications being for grants towards air source heat pumps (ASHPs). The total number of applications made in November decreased by 16% from the previous month, falling from 3,857 in October 2024 to 3,239 in November. However, over the longer term, BUS applications continue to increase, with applications rising 27% from the same month in 2023.
Up to the end of November 2024, 53,238 vouchers were issued, an 18% decrease on the previous month and a 7% drop from November 2023, which saw 3,019 vouchers issued compared to 2,557 in November 2024. The number of vouchers issued for November 2024 is the third highest since the start of the scheme. While the year on year decline in voucher issues may seem concerning, it is worth considering the context of the previous year to fully understand this decline.
In September 2023, the previous government announced that the grant level for the BUS would increase by £2,500 from the following month, leading many homeowners to delay their application until October 2023. This then triggered a surge of voucher approvals in November 2023, which explains some of the year on year decline in voucher approvals.
To date, 39,786 grants have been paid through the scheme, with 2,378 grants being paid in November of this year – the second-highest month on record. The majority of grants were paid to homes replacing their gas boiler systems (51%), followed by replacing oil heating systems (19%), and adding heating systems to properties that did not previously have a heating system at all (16%).
Regional breakdowns of heat pump installations have remained similar to previous months and years, with the largest number of installations taking place in the South East of England at 7,917 installations (20%), followed by the South West (7,279 and 18% share). The North East saw the fewest installations, with just 1,107 installations taking place in the region, or 3% of total installations.
Commenting on the latest figures, Gav Murray, Hive Heating Director at Centrica New Business Net Zero, said: “Despite a slight drop in applications in November 2024 has been a record-breaking year for heat pump technology adoption in the UK, indicating that more people than ever are wanting to switch to cleaner, more sustainable energy. “The challenge for the industry as we head into next year will be to ensure that the right support, whether that be grants or incentives, is in place to enable even more people to unlock the cost-saving and environmental benefits.”
Daniel Särefjord, CEO of heat pump firm Aira UK, added: “These results demonstrate that year on year, more British households are embracing eco-friendly heat pumps. However, the steady decline month on month shows there are fundamental changes required if we’re to switch more homes to efficient, clean energy technology.
“The recent BUS application numbers demonstrate that the recent government announcement to include heat pumps in permitted development, whilst designed to have a positive impact, may have in fact stalled uptake. It’s clear the government need to announce an implementation date for this policy change and give people the clarity they need to make the switch without delay.”
