Fulfilling the government’s green retrofit agenda

Image (c) RPS Group

As the UK accelerates its push to decarbonise, low carbon heating upgrades
are emerging as a way to boost economic growth, creating jobs and upskilling opportunities within the building sector. Heating contractors are on the front line of realising the country’s vision of a Net Zero future. But with 600,000 installs needed by 2028, the success of large-scale retrofits hinges on a strategic government vision and investment. Graham Rothwell, Founder of RPS Group, shares his insights on how enhanced backing could accelerate progress.

The UK government is making low carbon heating upgrades one of the central pillars

of its green economic growth plan. Stats from the UK Green Council estimate that 29 million homes need retrofitting by 2050, presenting a dual opportunity: cutting emissions from both new and existing housing stock while creating valuable skill-building and training opportunities. It’s not just a focus for the construction trade but a lifeline for disadvantaged areas, creating jobs and revitalising local economies.

In theory, it’s a win-win and a view that I and other members of the GMCA Taskforce, (Greater Manchester Combined Authority), can fully get behind.

While I’m enthusiastic about the initiative and have witnessed first-hand the positive impact large-scale heat pumps can have on fuel-poor families, implementation comes with its challenges. However, with increased support, particularly around apprenticeships and policy, the ambitious target of 600,000 installations by 2028 could be within reach.

Here’s how we can make it happen.

The labour shortage challenge

One of the biggest challenges that heating contractors face is
a shortage of skilled workers. Installing heat pumps can be complex, requiring knowledge
of both plumbing and electrical systems, and prior understanding of legacy setups.

It’s expertise that mostly comes with supervised hands-on experience, and developing such skills takes time, and finding qualified hires isn’t a quick process. Within this is also the evolving nature of heat pump technology. As the systems improve and change, the skills required to install and maintain them must evolve too, meaning continuous training is essential.

To keep this technology thriving, heating contractors must now
look to the next of generationof workers, hiring apprentices to whom they can pass on their expertise. This comes with commercial difficulties of its
own. Training new staff requires significant investment in time and resources, and for smaller businesses, this can be a major hurdle. This puts significant pressure on contractors, who must shoulder the cost of training apprentices, which can be commercially challenging in a market filled with uncertainty and short-term contracts.

A path to progress

The solution lies in well-structured funding schemes and a
clear, actionable timeline for implementation. Like any business, heating contractors require a long-term plan to build confidence and drive investment in training, upskilling and recruitment.

While the Warm Homes Plan is
a promising start, the industry needs clarity on the availability and roll-out of financial support. Once in place, the industry can then focus on delivering upgrades to some of the most fuel-poor homes in the UK, which are often social homes, via the route of social landlords. This includes grants, incentives and subsidies that make upgrades more accessible and affordable for both businesses and homeowners.

There’s also another challenge to overcome – the fact that seasoned installers are often
paid based on project completion bonuses, so taking on an apprentice can actually slow down delivery and reduce their earnings. This creates a natural reluctance to invest time in apprentices, even though their role will be crucial in the coming years.

Image (c) RPS Group
Training new staff requires significant investment in time and resources

It’s why I believe that companies shouldn’t shoulder the full
burden of funding and supporting apprenticeships. The government must take a larger role in financing their training and employment to create a more balanced system. Young professionals are vital to the UK’s decarbonisation goals, making this a shared responsibility. By co-funding training programmes and offering tax incentives, the government can ensure a steady pipeline of skilled workers to support the retrofit agenda.

DNO SOS

Another major hurdle heating contractors face is the lack of support from Distribution Network Operators (DNOs). Heat pumps place greater demands on local electrical infrastructure but delays in grid upgrades often stall progress. By the time installations are ready, tenants may change their minds, forcing contractors and housing associations to start over.

This bottleneck highlights the urgent need for greater government intervention. Increased pressure on DNOs to streamline processes and prepare infrastructure is essential for achieving Net Zero goals. Vulnerable communities, particularly in lower socioeconomic areas, suffer the most from these delays.

At RPS Group, in partnership with Together Housing, we’re calling for a national retrofit plan to fast-track agreements between DNOs and social landlords. If we can break this gridlock, we stand a far better chance of meeting the UK’s ambitious heat pump targets.

The battle for hearts and minds

Negative media coverage and misinformation is also fuelling confusion and distrust around heat pumps, stalling progress
and hindering the wider adoption of this crucial technology. To overcome this, we must find ways to win the hearts and minds of the public at large.

Both local and central government have a role to play
in this, helping to reframe the narrative, by highlighting the long-term benefits of heat pumps and addressing myths and misconceptions head-on. This includes addressing the lack of understanding about how heat pumps work and their impact.

Through our experience on
the UK’s largest retrofit project in the North, we’ve found that early engagement with homeowners is absolutely essential to a successful installation. However, this requires time and patience to build trust. By explaining the technology clearly, we can help people see the value of making the switch.

Collaboration is key

The government’s green retrofit agenda represents a significant opportunity to reduce carbon emissions, create jobs and
boost local economies. Greater investment in training, clearer funding frameworks and a commitment to rolling out retrofit programmes will provide the certainty contractors need to scale up operations and meet the challenges ahead. But these are only achievable through a collaborative effort between policymakers, contractors and social landlords.

With the right support in place, the UK’s heating contractors can play a leading role in driving the green economy forward, ensuring that every home is equipped for a low carbon future.

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