Heat batteries to join Boiler Upgrade Scheme in boost for consumer choice

Heat batteries are set to be included in the Boiler Upgrade Scheme (BUS), in a move that could widen access to low-carbon heating for homes less suited to heat pump installation.

The change means eligible households will be able to access a £2,500 grant towards the installation of a qualifying heat battery system, with the Department for Energy Security and Net Zero expected to introduce the measure in 2026/27.

The announcement has been welcomed by tepeo, manufacturer of the ZEB heat battery, which stores electricity as heat for use on demand.

Johan du Plessis, CEO of tepeo, said the decision recognised that “a one size fits all approach does not work” when it comes to decarbonising home heating.

He added that millions of UK homes are not ideally suited to heat pumps, and that support for alternative technologies could help make low-carbon heating more achievable across a wider range of property types.

Heat batteries are typically positioned as an option for flats, smaller homes and properties without outdoor space, where conventional air source heat pump installation can be more challenging. They can also make use of cheaper off-peak electricity tariffs by storing heat for later use.

A boost for consumer choice

For installers and heating engineers, the development signals a broadening market in electrified heating technologies beyond heat pumps alone. As policy support evolves, opportunities may grow for businesses willing to diversify skills across multiple low-carbon systems.

Sarah Honan, Head of ADE: Demand, described the announcement as “a massive moment for consumer choice”, while also calling for wider reforms to electricity pricing and VAT treatment for heat batteries.

For the oil-heating sector, the update reinforces a wider message already emerging across the market: future-proofing increasingly means understanding a broader mix of heating technologies so homeowners can be guided towards the solution that best fits their property, budget and circumstances.

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