PHAM NEWS | JUNE 2026 8 News Review


EUA calls for an end to the ‘boiler tax’


A government policy designed to accelerate the shift to low-carbon heating is failing to increase heat pump installations and is adding to household costs, according to analysis published by the Energy and Utilities Alliance (EUA) based on official installation data. The


Clean Heat Market


Mechanism (CHMM), which came into force in April last year, was introduced to encourage manufacturers to sell more heat pumps or face financial penalties. The EUA says those costs are being passed on to consumers through higher boiler prices. According to installation data


cited by the EUA, heat pump installations were higher in the year April 2024 to March 2025 than in the period since the policy began.


across all boiler sales. This has translated into a boiler tax of around £27 per unit from April 2025, rising to £36 per boiler this year as government targets were increased. Around 1.5 million households


replace their boiler annually, so the EUA claims that the policy is now extracting tens of millions of pounds from families, even though most will never install a heat pump. “This is not a failure of supply,”


Mike Foster, CEO of EUA


Commenting on the findings, Mike Foster, CEO of EUA, says: “Instead of stimulating demand, the CHMM has delivered higher costs with declining installations – the opposite of what Ministers promised. It’s a tax on boilers that does not deliver heat pumps.” The CHMM operates by


penalising manufacturers that miss government-set heat pump targets, fines which are spread


BESA conference tickets


This year’s BESA Annual Conference will take place on 22 October and will focus on how building engineering firms can turn legal and technical compliance into a strategic business advantage rather than a box-ticking exercise. Under the theme ‘Beyond Compliance: Raising Standards, Proving


Competence, Delivering Better Buildings’, the event will examine pressures facing the sector, including rising costs, regulatory scrutiny and increased risk for contractors. Sponsored by Mitsubishi Electric, it will highlight how investment in competence, quality and resilience can support safer buildings and business growth. Held at The Brewery in London for the third year running, the one-


day programme will take place ahead of the Association’s Industry Awards. Get your ticket using the reader link below. ◼ phamnews.co.uk/626/04


Vulnerable households to benefit from hybrid heating


Thailand has been confirmed as the destination for Ideal Heating’s 2028 Premier Club, a reward programme for heating installers who meet sales targets, with enrolment now open. The announcement comes after strong demand following this year’s trip to Los Angeles and Los Cabos. The 2028 event will be the fifth instalment of the programme. Installers qualify through Ideal’s Connect loyalty scheme, earning


points on products including boilers, heat pumps and smart controls. Those who reach the threshold are guaranteed a place, with qualification not decided through prize draws or ballots. Marketing director Carrie Young says: “For the first time, we are


announcing the destination this early, and that is a direct response to the demand we are seeing from installers. Feedback has been phenomenal.” Enrolment opened in early May, with qualification beginning in July. ◼ phamnews.co.uk/626/05


NIBE to take on installation and commissioning


Cadent will provide free hybrid heating systems to ten vulnerable households in a trial designed to test low-carbon heating performance in real homes. Funded through Cadent’s


Services Beyond the Meter programme, the initiative will install systems combining an air-source heat pump with a gas boiler. The project is being delivered with Worcester Bosch, TAGGAS and YES Energy Solutions across Cadent’s network, with the first installation due in Coventry. El igible households must


have an Energy Performance Certificate rating of D or below, agree to a smart meter and include at least one person vulnerable to cold weather. Household income must not exceed £31,000 or meet criteria for means-tested support. The systems wi ll switch


automatically between heat sources, with heat pumps expected to provide most heating and potentially cut gas use by up to 60%. Participants will receive monitoring, surveys and additional energy support through the trial.


With the aim of simplifying the adoption of low-carbon home heating for homeowners, NIBE Energy Systems has launched NIBE Home, a new direct-to- consumer installation service that brings the entire heat pump journey under one roof. The new offering, available in


England and Wales, is designed to remove complexity from the installation process. It enables homeowners to have an air source heat pump installed directly through NIBE, with every stage,


from the initial quote and system design to installation, servicing and long-term monitoring, managed from start to finish. Through this approach, NIBE says


adds Foster. “Industry has repeatedly warned that the real barrier is demand, driven by cost, disruption and suitability of homes, warnings that Whitehall has chosen to ignore.”


According to EUA, the policy


failure is rooted in economics the government refuses to confront. According to MCS data:


cost (2026 YTD): £13,700 • Typical gas boiler replacement:


• Average heat pump installation


~£2,500 • The government grant (BUS) is


worth £7,500, leaving £6,200 to be found by the householder. “Even after the full subsidy,


households still face thousands of pounds in additional costs, alongside disruption and energy bill uncertainty,” says Foster. “It is therefore no surprise that forcing manufacturers to sell heat pumps does not force households to buy them. “Despite missing its own heat pump sales targets in 2025-26, the government has responded not by fixing the policy, but by raising targets again for 2026-27, automatically increasing penalties and the boiler tax yet further. “This approach punishes


consumers for government failure, while doing nothing to address the structural weaknesses in the heat pump market. The CHMM should be scrapped. The evidence is now clear:


MCS heat pump installations are falling, not rising... the policy is not delivering heat pump deployment.”


NEWS IN BRIEF


◼ Grant UK is now an Associate Member of Homes for Scotland (HFS). Working closely with Scottish government and their members, HFS influences policy around new build homes in Scotland. Grant UK will support HFS’s work with a focus on low-carbon heating.


◼ Wirral-based Stiebel Eltron UK has been accredited with the Best Buy Label by Ethical Consumer, reinforcing its position as a leading provider of ethical and sustainable heating solutions in the UK.


◼ Mitsubishi Electric has announced two women’s rugby partnerships, including work with the


Rugby


Players Association’s Thrive programme and Premiership Women’s Rugby. The deals will support player career development and reflect the company’s focus on sustainability and low-carbon solutions.


◼ A Bronze Medal from sustainabi lity


assessor


EcoVadis has been awarded to Instantor, with a score of 68 out of 100, placing the press solutions firm in the top 35% of companies globally.


◼ UK ventilation manufac- turer Envirovent has reached a significant milestone with the production of its three millionth Filterless Infinity Fan, which is widely used in the social housing sector and was first released in 2004.


◼ Ideal Heating has been awarded The King’s Award for Enterprise in the Innovation category, recognising its work developing an end-to-end heat pump delivery package aimed at supporting the UK’s shift to low-carbon heating. The honour marks the fourth time the company has received a King’s or Queen’s Award.


that customers will benefit from: • An online journey that


includes an indicative quote and tailored system recommendation


• A detailed property survey


and tailored design (with a fixed fee redeemable against purchase)


• Full system installation and


commissioning by NIBE • Ongoing monitoring and


support • Three years’ servicing


included • A range of payments options


available Where a project falls outside the


scope of NIBE Home, homeowners will be referred to the company’s network of trusted NIBE Pro partners (fully trained and MCS- certified installers). ◼ phamnews.co.uk/626/06


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