Heat pump investment accelerator competition

News article

Support for major investments in the manufacture of heat pumps and strategically important components.

The UK Government’s heat pump investment accelerator competition, delivered by the Department for Energy Security and Net Zero (DESNZ), which is worth up to £30 million in total, aims to bring forward investment in the UK heat pump manufacturing supply chain, to build resilience, create new low carbon jobs and secure the economic benefits of net zero.

The competition is open to UK-registered businesses (which includes those that may be set up for the purpose of delivering the project in the application), who can apply for grant funding of up to £15 million per project, for major investments in the manufacture of heat pumps and strategically important components.

Projects must be for the construction of a new heat pump (or related components) factory, or the extension, expansion, retooling, refurbishing or reworking of an existing building. It must involve the manufacture of heat pumps and/or heat pump components, such as heat exchangers, compressors, evaporators, control systems or thermal storage.

The competition is open to a wide range of technologies, however potential applicants should note that air to air and water heating only, whilst allowable, will attract lower scores under part of the strategic alignment criteria compared with hydronic heat pumps and their components. 

Find out more about the Heat Pump Investment Accelerator Competition, including guidance on:

  • how the scheme will work
  • the eligibility criteria
  • how to apply
  • how applications will be assessed
  • how funding will ultimately be distributed, including the contractual arrangements
  • how successful projects will report progress

The submission deadline has been extended until 3pm on Wednesday 18 October 2023.


First published 30 March 2023