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£10m Commercial Boiler Scrappage Incentive for London SMEs Launched

£10m Commercial Boiler Scrappage Incentive for London SMEs

Did you know that on the 30th July this year (2018), Mayor Sadiq Khan launched the first commercial boiler scrappage scheme for London SMEs of its kind?

With the aim to incentivise small and medium enterprises to update their older boilers for newer, greener solutions, this scheme means many of our London customers could be eligible for cashback on a brand new, eco-friendly solution.

The scheme has been introduced as part of the Mayor of London’s £34m “Energy for Londoners” campaign.

It sees a capital incentive available to all London SMEs that either own their premises, pay commercial rates to their landlord or are tenants with a “building maintenance” responsibility.

First Boiler Scrappage Scheme of its Kind in UK

This new scheme will allow any eligible businesses to make the most of the £10m on offer to ease the cost of replacing heating systems.

SMEs will have access to cashback on a variety of new heating solutions. This includes the following:

  • 30% when it comes to the installation of a gas or LPG boiler that is 70kW or larger in size.
  • 35% on the installation of any hybrid systems, heat pumps or connecting to a local heat network.
  • There is also a further 5% cashback available if the SME is based in an “Air Quality Focus Area.”

These particular areas are very important, usually close to schools or other similar priorities.

The thought process is, if we want to protect our environment and build a capital city that is safe for future generations, it is vital we make changes to the way our businesses (particularly in our capital city) run.

For example, did you know that London is still failing to meet the legal limit for NO2 (Nitrogen dioxide)?

Scheme Will Improve Air Quality & Reduce Carbon Emissions

Many manufacturers that we work with and provide solutions for, including Vaillant, support this programme to improve the city’s air quality and pollution.

In the case of Vaillant, make sure you check out their solutions on offer with this scheme, from their floor-standing ecoCRAFT to their air, ground and water source heat pumps.

Here at PHS we install and maintain a variety of boiler manufacturers including Alpha Heating Innovation, Ariston, ATAG, ATMOS, BAXI, BIASI, Buderus, Chaffoteaux & Maury, HeatLine, Ferroli, GlowWorm, Worcester, IDEAL, InterGas, Johnson & Starley, Kerson Boilers, Potterton, MAIN, Radiant, RavenHeat, Remeha, Saunier Duval, SIME, TERMET, Vaillant, Viessmann and Vokera.

Unsurprisingly, the majority of boiler companies have encouraged the incentive, so you’re likely to find a good deal if you ask at the moment.

Manufacturers have welcomed the £10m Commercial Boiler Scrappage Scheme for London SMEs to such an extent that many are asking the government to create a nationwide programme which will help clean our air across the country.

Scheme Will Be Available Until 31 March 2020

If you would like to hear more about what manufacturers are working with this scheme within London, call our team for invaluable insight and to find out what we can do to help you.

We can discuss the best deals currently available to us, consider what is most effective for you whilst also looking at what is a long-term and cost-effective solution.

Remember though, eligible SMEs will only have until 31st March 2020 to complete installations and claim cashback with this particular scheme.

The programme closes then unless funding is used up earlier than that. We highly recommend you think about your boiler now.

If you think your boiler needs replacing sometime in the next few years, now is definitely the best time to make the most of this scheme and earn some money back in the process.