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Public sector buildings to receive millions of pounds to decarbonise

18 July 2023

Public sector building in England and Scotland have both been boosted by two respective announcements around access to million pounds of grants that can help towards decarbonisation.

In Scotland, the Public Sector Heat Decarbonisation Fund (PSHDS) has been established to eventually replace the Scottish Energy Efficiency Loan Scheme which started in 2006. In total, £20 million has been earmarked to help public sector buildings of every type, from universities to council offices, transition from fossil-fuel powered heating to alternatives using less carbon. The following decarbonisation measures will be funded by the scheme:

  • Heat pumps
  • Using district heating networks
  • Insulating buildings via retrofit
  • Developing new low-carbon technology

English public sector buildings can also benefit from a similar level of support, with a new round of funding announced for the Public Sector Decarbonisation Scheme (PSDS). With a slightly broader remit than its Scottish equivalent, the PSDS delivers their grants for heat decarbonisation and energy efficiency measures. The projects awarded funding from the previous round were predominantly focused on heating initiatives.

Both grants are available through Salix Finance, the UK government's partners that have helped fund £2.7 billion worth of projects since 2004, saving 1.1m tonnes of carbon dioxide annually. We are ideally placed to help identify and quantify suitable projects for submission and assist with the application for finance. 

Want to know more about how your organisation could benefit from the scheme? Our experts can help support applications and develop a plan for how best to utilise the funds. Book a call with one of our net zero experts today.


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