UK Government Loans £27m for Hull Low-Carbon Heat Network

The Hull District Heat Network (HDHN) project has received a £27 million loan from the UK Government's National Wealth Fund, alongside additional funding from a £15 million Green Heat Network Fund grant and £1.5 million from Levelling Up Partnership funding. This low-carbon underground heating system will supply heat generated from industrial waste heat and heat pumps to public buildings, educational institutions, and residential properties in Hull city centre, aiming to provide a cheaper and cleaner alternative to traditional heating solutions. The project, which started construction recently and is expected to last up to three years, supports Hull's goal of becoming carbon-neutral by 2030 and achieving net zero emissions by 2045. The network is expected to reduce carbon dioxide emissions by approximately 110,000 tonnes over 40 years, improve air quality, create green jobs, and enhance the city's energy security. It is the second local authority heat network backed by the National Wealth Fund after Solihull, demonstrating the government's commitment to decarbonizing the UK's building stock. Local leaders emphasize the project's benefits in reducing living costs and reinvesting savings into community services.