Heat networks

In 2026, we’ll begin regulating heat networks in Great Britain (England, Scotland and Wales). Our role is set out in the Energy Act 2023 and the Heat Networks (Scotland) Act 2021.   

What is a heat network

Heat networks provide heating, cooling and hot water to buildings or homes from a central source. This means a property connected to a heat network does not need its own separate heating system.   

There are 2 types of heat networks:  

• communal heat networks supply customers within a single building, for example a block of flats - this is currently the most common form of heat network in the UK    
• district heat networks supply more than one building, for example housing developments  

Heat networks regulation

We want to make sure heat network customers get similar protections to gas and electricity consumers. Our regulations will focus on:   

• good customer service 
• improving reliability of energy supply 
• transparent, easy to understand energy bills 
• fair pricing 

Timeline for regulation 

We will introduce heat networks regulation in a number of phases.

Launch of consumer advocacy and advice services (1 April 2025)

From 1 April 2025, heat network customers can get free, impartial advice and support to resolve problems with their heat network operator from: 

• Citizens Advice (in England and Wales) 
• Advice Direct Scotland (in Scotland) 
• the Citizens Advice Extra Help Unit (for customers in vulnerable circumstances, by referral)  

Customers can also complain to the Energy Ombudsman if: 

• a problem they have reported to their heat network operator is not fixed within eight weeks 
• they receive a “deadlock letter”, stating their problem cannot be fixed 
• they're not happy with the response they get from their heat network operator 

For more information, see our Get advice on heat networks page. 

Authorisation of heat networks (1 April 2025 to 26 January 2027)

All heat networks operating before January 2027 will be automatically authorised. This is called ‘deemed authorisation’. 

After this period, authorisation will be granted by application to Ofgem. 

Launch of regulations (27 January 2026)

Our regulations for heat networks will start to come into effect from 27 January 2026.  From this date, heat networks suppliers and operators will need to comply with these regulations, which introduce new rules to protect customers.

Registration (Spring 2026 to 26 January 2027)

Operators of heat networks with deemed authorisation must register with us using the heat networks digital service by 26 January 2027. 

How to get involved

There are a few ways to let us know your thoughts on our heat networks activity, and to stay up to date.

Help us test the heat networks digital service

If you’re a heat network operator, we want your help to test our new digital service before it launches. If you would like to take part in our user research, please email heatnetworksregulation@ofgem.gov.uk.

External stakeholder advisory group

We launched an external stakeholder advisory group in December 2023 to inform development of policy and operational processes for the new regulatory framework.   

The group’s members represent: 

• energy services companies (ESCo) 
• local government 
• trade associations 
• consumer advocacy bodies 
• metering and billing agents 
• developers 
• property managing agents 
• independent heat network operators and suppliers 
• heat network consultants 
• social housing 
• private housing 
• the shared ground loop sector 
• the private rental sector 
• the Heat Trust 
• the Energy Ombudsman 

Read the external stakeholder advisory group’s terms of reference and find out more about its members. 

If you would like to contact a member of the group representing your sector, or would like to express an interest in becoming a member, please contact heatnetworksregulation@ofgem.gov.uk. 

Keep in touch

To join our mailing list for updates and opportunities to engage with us on heat networks, contact heatnetworksregulation@ofgem.gov.uk.