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Clean heat

For clean heat to transform our day-to-day standard of living, electricity bills need to incentivise the switch, and people and businesses need access to finance, understanding of the technology and consumer protections.

We’re showcasing what our members are doing, and exploring the policies needed to deliver clean heat that lowers bills for energy customers, boosts economic growth, and creates jobs across the country.

Clean Heat general image

Energy UK has launched its Clean Heat campaign to ensure that, with the right policies in place, the Warm Homes Plan can help households and businesses switch from fossil fuel to clean heating systems.

This will meaningfully bring down energy bills by providing protection from volatile international wholesale gas prices and create the opportunity to use energy flexibly and secure bill savings, all while supporting growth and new jobs.


The Warm Homes Plan sets out the Government’s ambition to bring down energy bills by investing £15 billion into the installation of clean heat and other low-carbon technologies, upgrading five million homes over this Parliament. Key announcements in the Plan include £2 billion support for consumer low and zero-interest loans, £5 billion of support for low-income households and £1.1 billion for heat networks.

The Plan sets the strategic direction for the delivery of clean heat with key measurables such as a target to install 450,000 heat pumps annually by 2030, 70% of UK-sold heat pumps manufactured in the UK by 2035, and to grow the heat network sector to deliver 7% of heating demand, also by 2035.

Support for consumer loans is a win for Energy UK, with our analysis finding that by installing clean heat, solar and a battery, a household could reduce its energy bills by up to 64%. We are also pleased to welcome the continuation of the Green Heat Network Fund, building on Energy UK’s work pushing for further Government intervention to remove investment barriers to help the sector deliver low-cost, low-carbon heat to homes and businesses.

The Government aims to unlock £38 billion total investment through its Warm Homes Plan, creating 180,000 jobs across the UK. Energy UK will support the sector in harnessing this economic opportunity by supporting the Green Finance Institute’s Strategic Partnership, and with representation on the Warm Homes Plan Workforce Taskforce, both initiatives will be co-chaired by the Minister for Energy Consumers.


Join the clean heat discussion

Sponsored by Frontier Economics, the webinar included additional speakers from Octopus Energy, Mitsubishi Electric and Citizens Advice.

The panel discussed how to make it easier for consumers to access clean heat, and how to engage households on the transition.

Sponsored and chaired by Oaklin Energy, the event included a panel of speakers from Energy UK, Vital Energi, British Glass and Carr & Carr (Builders)/Federation of Master Builders.

The panel reflected on some of the major barriers to the roll out of clean heat in 2026 across the industrial and commercial and new build sectors, and explored some of the innovative district heat network projects underway in the UK. The panellists also discussed some of the major policy changes needed to create demand and drive adoption of clean heat across a range of sectors in the UK, in order to keep pace with the Government’s decarbonisation objectives, and its newly-announced targets in the Warm Homes Plan.  

Ministerial roundtable

Energy UK partnered with HermeticaBlack to hold a roundtable in Parliament with Minister McCluskey, welcoming the Warm Homes Plan and discussing how to fund the clean heat transition in response. This meeting brought together Energy UK members from across the clean heat sector, and key stakeholders from the Government and its Departments.   

The themes covered included how to move swiftly from strategy to delivery, what support is needed to realise the Government’s ambition for the heat network sector, and the importance of bringing down energy bills for all customers.

Energy UK partnered with HermeticaBlack to hold a roundtable in Parliament with Minister McCluskey welcoming the Warm Homes Plan and discussing how to fund the clean heat transition in response 1

The Clean Heat report series

With reliance on gas leaving British households financially stretched and vulnerable to volatile energy prices, it’s understandable that billpayers have come to hold the common belief that the cost-of-living crisis will never end.

However, the Government has presented a real opportunity to improve the living conditions of millions of people over this Parliament significant investment in the Warm Homes Plan to improve the quality and efficiency of existing homes and buildings in the UK. This series of reports will explore policies needed to do this.

Clean Heat Financing the transition hub report by report2

This is the first of Energy UK’s Clean Heat series of policy reports, which aim to show how the transition to clean heat can be delivered in a way that lowers bills for energy customers and boosts economic growth, jobs and skills across the country.

Clean Heat Financing the transition hub report by report

This is the second of Energy UK’s Clean Heat series of policy reports, which aim to explores the actions needed to attract capital investment from both households and investors into the clean heat transition


Further reading