Ashden comment on delay in Clean Heat Market Mechanism


15 March 2024

In response to the UK Government’s announcement today that the Clean Heat Market Mechanism - sometimes given the misnomer of ‘the boiler tax’ - is being delayed for a year, climate charity Ashden responded saying that this is yet another unhelpful move for the UK’s burgeoning green businesses.

Ashden point out that the latest analysis from CBI Economics and ECIU* shows that the UK’s net zero economy grew 9% last year, compared to 0.1% in economy overall, but the lack of policy stability is putting the brakes on.

Will Walker, Ashden’s UK Policy Lead said: “These stop-start policies are slowing progress and stoking division and doubt about net zero. It’s plain for all to see this is the big growth story of the UK and the rest of the world, yet every step backwards like this means the UK’s green businesses lose out.

Content continues after advertisements

Kensa Heat Pumps, show that it’s possible to deliver efficient and affordable heating through innovative ground source heat pumps and shared ground loop arrays, tackling a major source of carbon emissions, local air pollution, and reducing fuel poverty. Where Kensa has replaced storage heaters for heat pumps in social housing, heating costs have typically halved, reducing fuel poverty for those who were not in a position to make any changes to their heating system themselves.

“What we need is a government that provides long-term policy stability and clarity to installers and the energy and construction industries. This will provide investors with the confidence they need and ultimately lead to cheaper energy and installations for you and me – to say nothing of warmer homes, cleaner air and a stronger economy - all things that voters want.”

Ashden is part of the Warm this Winter campaign - a coalition of over 40 of the UK's leading charities. Warm this Winter is demanding the government acts now to help people struggling with energy bills this winter, and to ensure people have access to affordable energy in the future ‘so that tomorrow feels more secure than today’.