Over 44 million GBP of funding will be allocated to cut emissions from buildings and help households save on energy bills, according to an entry dated 2 April 2025 in the International Energy Agency's policy database1. Of that total, 30 million GBP will fund three heat network projects in London, Manchester and Cambridgeshire, and a further 14.6 million GBP will benefit 11 projects in England, Scotland and Wales1.
The investment is expected to cut carbon emissions by 22% for homes and buildings, while providing potential reductions of up to 15% in energy costs1. The funding will be invested in exploring ways the UK can develop and use efficient, low-carbon technologies for heating and cooling buildings1.
The investments are tied to the government's Heat and Buildings Strategy, which will set out how carbon emissions in homes and workspaces will be addressed to meet legal commitments over achieving net zero emissions by 20501.
"Over 44 million GBP of funding will be allocated to cut emissions from buildings and help households save on energy bills."
| Allocation | Amount | Scope |
|---|---|---|
| Heat network projects | 30 million GBP | 3 projects in London, Manchester and Cambridgeshire |
| Further projects | 14.6 million GBP | 11 projects in England, Scotland and Wales |
Why it matters for households
The figures describe spending on heat networks and on exploratory work into low-carbon heating and cooling, not payments made directly to individual homes. The 22% emissions reduction and the potential reductions of up to 15% in energy costs are stated as expectations for homes and buildings covered by the investment, not as guaranteed savings on any one household bill1.
For a household, the practical relevance sits in how heat is supplied and priced. Heat networks serve groups of buildings from a shared source rather than a single boiler, so the three projects named in London, Manchester and Cambridgeshire concern the infrastructure some homes may eventually draw their heating from. The wider 14.6 million GBP covers 11 projects across England, Scotland and Wales, which means support for this kind of work is spread across all three nations rather than concentrated in one1.
Households looking at home energy grants and schemes in the UK will find that this announcement does not set out eligibility rules, application routes or payment amounts for individual properties. None of those details appear in the policy record1. The relationship between grant funding and a home's ability to generate or control its own energy is set out in the site's guide to grants, schemes and household energy independence.
What happens next
The Heat and Buildings Strategy is described as the framework that will set out how carbon emissions in homes and workspaces are addressed to meet the net zero 2050 commitment1. No publication date for that strategy, and no timetable for the individual projects, has been reported1.