Government launches £15bn Warm Homes Plan for solar and green tech investments

The UK Government's new Warm Homes Plan has committed to provide £15bn to UK households in the next five years and aims to triple the number of homes with solar panels, as well as increase uptake of heat pump technologies.

Having been in the works since 2024, the final detail was published this morning and offers a variety of finance options for households, including grants and zero-interest loans. Details include:

• Extending the Boiler Upgrade Scheme until 2029/30, including offering £7,500 grants for air source heat pumps
• An additional £600m for low-income households, providing full funding for solar panels and batteries
• Low and zero-interest loans for households, regardless of income

Green Economy partner the MCS Foundation have estimated that installing solar PV, battery storage and heat pump technologies could save the average UK household up to £1,300 a year on their energy bills.

Amy House, Director of Green Economy, said: "Today’s announcement marks a significant step in unlocking renewable technologies for homeowners, with steps to provide affordable finance to the able-to-pay market addressing a key barrier to green technology adoption. However, it is vital to recognise that energy efficiency measures, including proper insulation, are essential if we are to address the UK's notoriously leaky housing stock.

"There are significant opportunities to accelerate the pace of retrofitting, especially if energy efficiency upgrades are prioritised alongside the adoption of renewable technologies. We're continuing to work with partners like MCS and Nesta to develop programmes that make joining the green sector easier, and we invite interested businesses to contact us for support."

Opportunities for Green Tech providers

The scheme is expected to accelerate demand for solar PV, battery and heat pump installations even further than current levels, providing a massive opportunity for businesses operating in these markets to scale their operations.

Green Economy schemes such as our Solar Installer Accelerator, Ventilation Installer Accelerator and upcoming Heat Pump Installer Accelerator are working with businesses in Greater Manchester and West Yorkshire to upskill individuals to enter these markets and leverage these growing opportunities, ensuring that the local supply chain is equipped to meet increasing demand.

Decarbonisation still top of the agenda

With measures such as these, sustainability and resource efficiency is clearly still a priority for the years to come. As solar PV, battery storage and heat pump installations become more widespread, businesses can also take advantage of these technologies to improve their energy security, reduce their electric and gas bills, and save carbon emissions.

If you're looking to explore how green tech investments could save your business money and reduce your carbon emissions, get in touch - our free, impartial Supplier Sourcing service is here to help you make informed decisions every step of the way.