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Clean Heat Market Mechanism

Clean Heat Market Mechanism

The government has confirmed its plans for the new Clean Heat Market Mechanism (CHMM), which will take effect from January 2024. 
Under the scheme, manufacturers of fossil fuel boiler manufacturers must sell a percentage of heat pumps proportional to their fossil fuel boiler sales. The targets are 4% of all sales in year one, and 6% in year two.
Manufacturers will receive a £3,000 fine for every missed heat pump sale. A simple example, if a boiler manufacturer sells a total of 100,000 boilers, they will in 2024 need to sell 4,000 heat pumps to avoid the levy.
Because of the changes in government policy introducing the CHMM, the price of boilers is set to increase from the first of January 2024: 
  • Baxi will increase by £120 per boiler
  • Ideal will increase by £110 per boiler 
  • Vaillant will increase by £95 per boiler 
  • Worcester Bosch will increase by £120 per boiler 
At City Plumbing we work closely with the UK’s leading boiler manufacturers and as such, will continue to further understand and communicate any more details as they develop. 
Boilers sold into the new build sector will not be included within this. 
The full government announcement can be found here. Within this document the government outlines that this change is necessary to make heat pumps a more affordable and attractive option against fossil fuel boilers. 
For any questions about boilers, or to place an order, please contact your local branch, or check out our range and stock online.

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