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Scottish Government publishes heat in buildings strategy progress update

The Scottish Government has published a progress update on its heat in buildings strategy, marking 50,000 households supported through Warmer Homes Scotland and a promised social landlord standard in 2027.

A newspaper on a kitchen table beside a model of rules and regulation

The Scottish Government has published an update on progress against its heat in buildings strategy, setting out scheme milestones, a new standard for social landlords promised for 2027 and the draft Heat in Buildings Bill1. The update was reported on 5 October 20261.

Warmer Homes Scotland reached 50,000 customers supported in February 2026, having installed 1,117 clean heating installations in 2025/2026, which the government says is the highest number in any single year of the scheme1. The government also provided £3.9 million in funding through Scotland's Heat Network Fund in 20251.

The draft Heat in Buildings Bill includes provisions to take new powers to set minimum energy efficiency standards across different types of buildings in the future, including privately owned homes and industrial or commercial buildings1. A new standard for social landlords has been promised for 20271. Scottish Ministers continue to urge the UK Government to take steps to reduce the cost of electricity, as well as introduce measures which will target support and reduce the energy bills of those in need1.

"The Scottish government have published an update in progress on their heat in buildings strategy, marking milestones and renewed support."
Energy Live News1

The update sits alongside separate developments in UK energy policy. The End Fuel Poverty Coalition reported that energy bills will increase for a majority of customers from 1 October 2026 as gas unit rates rise 27% year on year, the highest level since early 20233. The confirmed price cap level is £1,723 for 1 October to 31 December 2026, and forecasts for the cap covering 1 January to 31 March 2027 range from around £1,872 (Cornwall Insight) to around £2,150 (Bloomberg Economics)3. The Coalition's modelling suggests the gas unit rate could reach 12p/kWh from 1 January 2027, against 5.93p per kWh under the cap for 1 January to 31 March 20263.

The Coalition also noted that the Scottish Government's Programme for Government for 2026 to 2031 confirms the return of long-delayed heat in buildings legislation but omits any mention of fuel poverty from its plans3. More than 120 organisations have written to the Chancellor calling for levies to be moved off electricity bills and onto general taxation ahead of the Autumn Budget3.

Why it matters for households

The update confirms that Scotland's main domestic retrofit scheme has now reached 50,000 households, and that the legislative framework for minimum energy efficiency standards across privately owned homes and commercial buildings is moving forward through the draft Heat in Buildings Bill1. For households in Scotland, this signals that minimum standards may in future apply to a wider range of property types than at present, though the powers are described as future-facing rather than immediate1.

The promised social landlord standard for 2027 gives a dated marker for registered social landlords, who will need to meet a new benchmark that has not yet been published in detail1. The £3.9 million through Scotland's Heat Network Fund in 2025 indicates continued support for heat networks, which can serve flats and mixed-use buildings that are difficult to treat individually1.

The cost of electricity remains a live issue: Scottish Ministers continue to press the UK Government on electricity prices and targeted bill support1. The End Fuel Poverty Coalition's figures show the wider bill context, with gas unit rates rising and forecasts for early 2027 ranging widely3. For a household considering a heat pump or other clean heating, the running cost depends heavily on the electricity price relative to gas, which is set at UK level rather than by the Scottish Government3.

What happens next

The new standard for social landlords is promised for 20271. The draft Heat in Buildings Bill would need to pass through the Scottish Parliament before the minimum energy efficiency powers take effect; no timetable for that passage is given in the update1. The next Ofgem price cap period, reflecting prices announced in late November, comes into force on 1 January 20273. The Autumn Budget is the next scheduled point at which the calls on levies and the Warm Home Discount could be answered3.

Sources3 cited
  1. Scotland ramps up heat push as 50,000 homes milestone reached - Energy Live News, energylivenews.com
  2. Scotland ramps up heat push as 50,000 homes milestone reached - Energy Live News, energylivenews.com
  3. News - End Fuel Poverty Coalition, endfuelpoverty.org.uk