Clean Heat Market Mechanism: revisions ahead of Scheme Year 2 (2026/2027)(2026 to 2027)

The government response summarises the responses received to the consultation and the government’s decision about the design of the Clean Heat Market Mechanism ahead of Year 2 beginning in April 2026.

The consultation set out proposals regarding the heat pump target for Year 2 and the naming of the Microgeneration Certification Scheme (MCS) as the sole certification scheme for the Clean Heat Market Mechanism. Having considered the responses received, this response sets out 2 decisions:

• the heat pump target for Year 2 will be set at 8%
• MCS will be the sole certification scheme for the CHMM

We will proceed with introducing scheme regulations to Parliament to implement the decisions set out in the government response in advance of Year 2 beginning on 1 April 2026.

We received 57 responses to the consultation from a wide range of stakeholders, including:

• heating industry organisations
• energy supply industry organisations
• representative and trade associations
• standards bodies and non-governmental organisations
• members of the public