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London boiler cashback scheme announced

February 4, 2016 featured image

The Greater London Authority (GLA) has announced a new London Boiler Cashback Scheme, which could see 6,500 homeowners with old, inefficient boilers get £400 off a new, A-rated appliance.

This is fantastic news for homeowners and Gas installers, with both set to benefit from the scheme.

The new scheme will be administered by the Energy Saving Trust (EST) and will give £400 cashback on replacement of a working, 70% or less efficient boiler with a new boiler boasting a minimum efficiency of 90%.

Any boiler replacements will have to be carried out by a Gas Safe Registered engineer. We predict busy times ahead for engineers working in London!

The announcement was made during the annual cold homes week and is part of London Mayor, Boris Johnson’s Climate Change Mitigation and Energy Strategy (CCMES). The aim is to slash London’s emissions by 60% by 2025 compared to 1990 levels.


Industry comments


Adam Foy, Ideal’s Head of Product & Marketing responded to the announcement:


“It’s fantastic news that householders in the Greater London area can receive up to £400 off a new A-rated Ideal boiler with the GLA’s new London Boiler Cashback Scheme, worth £2.6m.


“The scheme is hugely beneficial for homeowners, as research from the Energy Saving Trust shows that replacing an old, non-condensing gas boiler with an energy efficient A-rated condensing boiler could save householders up to £340 in heating bills each year. This coupled with a £400 voucher and up to 10 years’ warranty on an Ideal boiler, will be of significant value to many across London, ensuring increased comfort and peace of mind as well as reduced costs.


“The UK has to meet tough energy reduction commitments – 20% by 2020 – and the GLA’s commitment to improving the energy efficiency of homes in its area will be another step towards meeting that target.”


Tim Pollard, Head of Sustainability at Plumb Center, said:


“Today’s announcement is good news for London’s homeowners and private landlords. Boilers account for over half of the average household’s annual energy spend and four-fifths of a home’s carbon emissions, so an efficient boiler makes a big difference. This cashback scheme offers homeowners the opportunity to claim back around 20% of the install cost so presents a very appealing proposition.”


Paul Hardy, Managing Director at Baxi welcomed the news:


“We’re delighted with the news that the Mayor of London has today launched a Boiler Cashback Scheme that will help 6,500 owner occupiers and private landlords across London to replace old, 70% or less efficient boilers with new 90% plus efficient boilers.


“By replacing old, inefficient boilers with new A-rated gas boilers or renewable/low carbon heat technology, this initiative is not only a positive move towards reducing emissions from homes, but will, importantly, help to improve the living standards for those able to take advantage of the scheme.


“With over 50 per cent of the population in London living in rented accommodation, the scheme is a valuable opportunity for tenants to encourage their landlords to upgrade their heating system, and benefit from lower energy bills as a result – saving as much as £340 a year.


“The fact that replacement must be installed by a Gas Safe registered installer means the scheme will also play a significant role in once again highlighting to consumers the importance of choosing an accredited installer for any gas boiler work.


“No doubt the scheme will be welcome news for Londoners, but with research showing that there are currently over 2.3million fuel poor homes in England, we hope to see other cities across the UK follow suit.”


Jeremy Hawksley, OFTEC director general, commented:


“The introduction of a boiler scrappage scheme in Greater London which includes oil is to be celebrated. It demonstrates what we have been saying all along – that boiler scrappage is an ideal way to help UK households reduce carbon emissions from heating in a practical, affordable way.


“With an estimated 4.5 million UK homes still classed as fuel poor, and cost remaining a major motivator for most consumers, our country urgently needs carbon reduction schemes that don’t cost the earth and actually work.


“A simple, UK-wide boiler scrappage scheme is a realistic to carbon reduction which appeals to the majority of homeowners. If the Government can achieve mass consumer support, the fall in greenhouse gas emissions from heating would be enormous.”


Worcester Bosch is offering a further £100 cash-back to the successful recipients who choose a high-efficiency Greenstar model. Neil Schofield, Head of External Affairs at Worcester, Bosch Group said:


“We believe the London Boiler Cashback Scheme is such a good idea that we’ve decided to enhance the standard offer with an additional £100 cash-back for every one of our boilers installed. As a manufacturer, it is vitally important that we do all we can to make simple and effective incentives work, and we hope to see as many London homeowners as possible take up the offer.”


“This is a simple policy with clear benefits for everyone involved, and the Greater London Authority should be praised for adopting a common sense approach to heating efficiency.”


Stewart Clements, Director of HHIC said:


“This is a great scheme. We know that there are 9 million inefficient boilers operating in UK homes. These boilers use more energy, creating more carbon emissions and are more expensive to run than their modern day counterparts. We also know from the national boiler scrappage scheme that operated in 2010 that replacing a boiler is often the catalyst for installing other energy efficiency measures, such as TVR’s and heating controls – all of which help reduce household bills and carbon emissions.


“It is also refreshing that the scheme will be marketed via the local boroughs existing referral mechanisms to ensure that those in fuel poverty and with seasonal health needs are targeted and that Gas Safe Registered installers will be able to undertake the installation work without being forced to gain additional and costly accreditations. The Mayor and his team have clearly done their homework and are pulling out all of the stops to deliver a first class programme. I hope that MP’s are watching closely so that once the benefits are clearly demonstrated it can be rolled out across their constituencies.”

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