Ministers Scrap Green Heating Plans For New Homes As SNP Dumps Green Party Policy

17th March 2025

The Scottish government is to scrap flagship plans to make homeowners switch to greener heating soon after buying a new home.

The acting net-zero secretary Gillian Martin told MSPs that the draft Heat in Buildings Bill, external would no longer be put forward in its current form.

She said the legislation - drafted by the Scottish Greens as part of the Bute House Agreement - would "make people poorer."

But Scottish Green co-leader Patrick Harvie, who drafted the bill, said the decision "flies in the face of the climate ambitions that this government is supposed to have".

Scrapping the Heat in Buildings Bill in Scotland could have significant implications for jobs, particularly in industries related to renewable energy, construction, and housing. The bill was designed to phase out gas boilers and promote greener alternatives like heat pumps, which would have created demand for skilled workers in installation, maintenance, and manufacturing.

However, the decision to scrap the bill has created uncertainty for businesses and industries that were preparing for its implementation. For example, companies involved in heat pump production and installation have expressed concerns about the lack of clarity and potential loss of opportunities. On the other hand, some business leaders have argued that the bill, in its original form, was flawed and could have imposed significant costs on businesses and homeowners.

The delay or cancellation of such legislation might slow down the growth of green jobs in Scotland, which are crucial for achieving climate goals and transitioning to a low-carbon economy

According to The Institute For Public Policy Research scrapping the heat in buildings bill is the wrong decision and puts Scotland's climate targets even further out of reach. Without legislation there is no credible plan to deliver the massive project of retrofitting clean heat in around 2.5 million homes across Scotland to prepare them for a future without fossil fuels.

That's not to say the bill was perfect. At its heart there was a massive hole: how to pay for the transition fairly. Our research shows that grants backed up by taxes is far more equitable than leaving households to pay the costs themselves. Instead of scrapping the bill altogether, the Scottish government should lead an upfront conversation about the costs of climate action and how we can cover them collectively.

The Scottish Federation of Housing Associations (SFHA) warned that the uncertainty surrounding Scotland's decarbonisation plans could have serious financial implications for housing associations.

SFHA chief executive Sally Thomas stated: "The decision to scrap the Heat in Buildings Bill casts huge uncertainty on how the Scottish Government plans to decarbonise Scotland's buildings without requiring tenants to foot the bill.

"But moreover, it is fundamentally a question about fairness: the Scottish Government is currently requiring housing associations to invest billions of pounds in clean heating systems, but is not yet requiring the same financial sacrifices, or standards, for other types of housing.

“The Scottish Housing Regulator estimates the cost of decarbonising Scotland’s social homes alone at £9 billion- yet government has made less than 0.5% of this sum available to housing associations to achieve it.

“So, whilst we wholeheartedly support the efforts to make homes more energy efficient and use clean sources of heat, it cannot be funded through higher rents.

“The Scottish Government needs to set out an approach to future clean heating standards which levels the playing field across all types of homes. It is untenable to expect social housing to decarbonise alone without the funding to do so."