The Department for Energy Security and Net Zero (DESNZ) released the latest uptake statistics for the Boiler Upgrade Scheme (BUS) with a 46% year on year (YoY) increase in March.
Newly released data shows that, since it began, the total number of BUS applications has reached 37,879. The scheme aims to incentivise and increase the deployment of low-carbon heating technologies.
Of the total number of voucher applications recorded in England and Wales since May 2022, 96% were for grants towards air source heat pump installations, a trend that has been evident since the beginning of the scheme.
The number of BUS vouchers issued rose very slightly compared to the previous month – increasing by 3% – but were up 32% compared to March 2023.
The regional distribution of BUS uptake for March 2024 remained similar to previous months: Most grants paid were for installations in the South East, followed by the South West. The fewest were from the North East region (3%) and Wales accounted for 6% of the total.
Still, the Microgeneration Certification Scheme (MCS) previously confirmed that Welsh homes and businesses installed a record number of heat pumps across 2023, bringing the total number of Welsh properties with renewable energy to over 100,000.
Almost one in ten households in Wales have MCS-certified renewable installations as of 2023, the highest proportion of any country in the UK.
Of all grants paid as part of BUS, most went to properties in rural areas (57%) and 54% of properties that received it were also on the gas grid.
In February this year, 1,565 grants were paid bringing the total for the first and second full years of the scheme to 23,871.
Last autumn, the UK’s prime minister Rishi Sunak announced that the grant for an air source heat pump would jump from £5,000 to £7,500. According to the government, March will be the fifth month that there have been more than 2,000 applications to the scheme since grants for air source and ground source heat pumps increased to £7,500.
In February, 2,317 applications were recorded, 8% higher than March’s total and a 75% year on year increase.
Support schemes for low-carbon heating
In addition to providing grants for small-scale domestic heat pump installations, the UK government also launched a £80.6 million funding package in January 2024, aiming to provide investment to four low-carbon heating projects.
One notable project received £8 million of government funding to improve 34 inefficient heat networks across the country by creating a more reliable heating supply and upgraded system for more than 9,000 residents.
February 2024 saw the allocation of £1.2 million across 12 low-carbon technology start-ups from the Net Zero Technology Centre (NZTC).
