The Future Homes Standard will ban gas boilers in all new English homes from 2025 – not by legislation alone, but by making heat pumps the only viable option under the new fabric efficiency rules. Inside Housing’s analysis of the consultation documents reveals five key shifts that matter far beyond the building trade. For the 28 million existing UK homes, the standard is both a warning and a roadmap.
As Inside Housing reports, the standard demands a 75-80% reduction in heat demand compared to the 2013 Building Regulations. That means triple glazing, airtightness of 5 m³/h·m² or better, and mechanical ventilation with heat recovery become standard in every new-build. The headline figure for homeowners: a typical 3-bed semi would use around 2,500 kWh of heating per year instead of the current 10,000-12,000 kWh.
Who pays – and who saves
The government’s impact assessment puts the extra build cost at £4,000-£6,000 per home. But the annual energy saving for a household on a typical tariff (28p/kWh electricity, 6p/kWh gas) works out at £200-£400. Over a mortgage, that roughly breaks even within 15 years. The catch: those savings assume heat pump efficiencies of 300% (a Seasonal Coefficient of Performance of 3.0), which requires proper installation and good insulation. A badly fitted heat pump in a draughty new-build could push bills up, not down.
Ofgem has not yet confirmed how the standard interacts with the Boiler Upgrade Scheme grants for existing homes, but the logic is clear: the same technology stack – heat pump, low-temperature radiators, airtight fabric – is the template for the retrofit grants that may become mandatory for older homes after 2030.
What it means for your EPC
New homes built to the Future Homes Standard will default to EPC band A or B. That sets a new baseline. For existing homes, the government’s Heat and Buildings Strategy already signals that EPC C will be the minimum for rented homes by 2028. If you own a 1930s semi currently rated D or E, the gap between your home and a new-build’s performance will widen. Energy Saving Trust data shows that upgrading cavity wall insulation, loft insulation to 270mm, and double glazing can lift a D-rated home to C, but the cost is typically £3,000-£5,000. Adding a heat pump later costs £7,000-£13,000 after the £7,500 grant.
But – and this is the critical pivot – the Future Homes Standard does not force existing homeowners to upgrade. The policy applies only to new builds. Yet the direction of travel is unmistakable: the same efficiency metrics will likely appear in the next iteration of the Energy Company Obligation (ECO4) and in the Clean Heat Market Mechanism, which already penalises boiler manufacturers who fail to sell enough heat pumps.
What you should do now
If you are planning to build or buy a new home after 2025, the standard means you will get a heat pump and high insulation as standard. Budget for slightly higher purchase costs but lower running costs. If you own an existing home, the message is: start your fabric improvements now. The cheapest time to insulate is before the grant deadlines tighten. The Boiler Upgrade Scheme is open until 2027, but its budget is finite – applications hit 80% of the annual cap in some regions by May 2024.
Households on standard variable tariffs can apply through gov.uk from now. Eligibility closes on 31 March 2027. For those in rented homes, the EPC C deadline for landlords is 2028 – start the conversation with your landlord now, because the lead time for a heat pump installation is 6-12 months in busy areas.
Frequently Asked Questions
No. The standard only applies to new homes built after 2025. Existing homeowners can keep their gas boilers, though future EPC minimums for rentals may push landlords to upgrade. The Boiler Upgrade Scheme remains the main incentive for existing homes to switch to heat pumps.
For a typical 3-bed semi built to the standard, heating demand drops to about 2,500 kWh. At current electricity rates (28p/kWh) and a heat pump efficiency of 300%, annual heating costs are roughly £230-£300 – compared to £600-£800 for a gas boiler in a 2013-standard home. Exact figures depend on your tariff and thermostat settings.
