Citizens Advice published its response to a Department for Business, Energy and Industrial Strategy consultation on a market-based mechanism for low-carbon heat on 13 January 2022. The charity, which describes itself as the statutory advocate and advice provider for energy consumers since 20141, said it welcomed the recently announced Boiler Upgrade Scheme but set out three areas of concern: the range of financial support available, consumer protections in the installation market, and guidance for manufacturers.
On money, Citizens Advice said the scheme as designed would reach a limited number of homes. "The BUS will only support around 30,000 heat pump installations a year," it wrote, adding that BEIS would need policies with other government departments to increase uptake1. It called for "a variety of financial support options to allow for the variability across households and tenure" and gave one example of a wider incentive: reform of Stamp Duty Land Tax to encourage low-carbon improvements at the point of sale1. It also warned that the mechanism's success depends on supporting policies elsewhere, and that past schemes should be studied so support is long-term and avoids "cycles of boom and bust"1.
On protections, the response said the growth in low-carbon heating installations over the next decade "has the potential to cause significant detriment to people if there is not a corresponding step change in the consumer protections for the installation and maintenance of these systems"1. Citizens Advice said it had outlined last year the need for a mandatory accreditation scheme for firms in the home energy technology market, delivered through a single accreditation and inspection body, so consumers can navigate the current number of schemes, codes and bodies1.
"it will be important that this scheme provides robust guidance for manufacturers as they seek to deliver their obligation."
That guidance, the charity said, "must take into account the variety in households, housing stock and tenure in order to maximise the benefits of the scheme, and to ensure that heat pumps are installed appropriately"1.
A separate Citizens Advice response published the same day dealt with phasing out fossil fuel heating in homes off the gas grid2. It agreed that natural boiler replacement cycles should be a trigger point for installing low-carbon heat, but noted that boilers often fail during cold periods of high use, when consumers may lack the money or time to research alternatives and "may simply need a quicker and simple solution"2. It listed other trigger points people have reported, including planned home renovations and buying a new home, and said consumers need high-quality independent advice tailored to the energy efficiency and low-carbon heat needs of individual homes, plus financial advice on paying for supply and installation2.
Why it matters for households
The Boiler Upgrade Scheme is the main grant route for households replacing a fossil fuel heating system with a heat pump or, in some cases, a biomass boiler. Eligibility rules, including the treatment of homes with a gas boiler and the EPC insulation question, determine who can apply, and the application process runs through accredited installers. Citizens Advice's point is that a grant covering roughly 30,000 installations a year is small against the number of homes that will need to change heating, and that households vary in tenure and finances, so a single support route may not fit all. Its second point concerns what happens after installation: if accreditation and inspection are spread across many bodies, a household has less certainty about who is accountable when work goes wrong. For a home's energy independence, the practical questions are whether the upfront cost can be met, whether the installed system suits the building, and whether there is recourse if it does not.
What happens next
No timetable for the government's response to either consultation is given in the published documents1.
Sources2 cited
- Citizens Advice response to BEIS consultation for a market-based mechanism for low-carbon heat - Citizens Advice, citizensadvice.org.uk
- Citizens Advice response to BEIS consultation on phasing out the installation of fossil fuel heating in homes off the gas grid - Citizens Advice, citizensadvice.org.uk