The Scottish Government has announced plans to introduce a revised Heat in Buildings Bill, setting a new target for decarbonising heating systems by 2045, while continuing efforts to alleviate fuel poverty. Acting Minister for Climate Action Alasdair Allan confirmed the government's intention to present the revised Bill to the Scottish Parliament later in 2025.

The revised Bill will include:

• A 2045 target for decarbonising heating systems, providing a clear long-term direction for homeowners, landlords, and other building owners.

• Provisions to stimulate heat network development, including requirements for large, non-domestic premises and potential powers to mandate public sector buildings to connect to district heating when available.

• Powers to establish minimum energy efficiency standards for owner-occupied and non-domestic properties, subject to further assessment. Existing powers will be used to progress regulations for minimum energy efficiency standards in the private rented sector.

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Dr. Allan emphasised the need for a balanced approach: "It is vital that we find the right balance both to reach net zero by 2045, and reduce fuel poverty." He acknowledged the current economic challenges faced by many households and businesses, highlighting the need to avoid placing undue financial burdens on building owners, particularly those in rural and island communities.

"Our plan to deliver a revised Bill responds to the legitimate reservations and concerns raised since our consultation completed, including the risk of exacerbating fuel poverty and burdening every individual householder with an overly onerous responsibility as we decarbonise," Dr. Allan explained.

The proposed Bill will maintain a technology-neutral stance, recognising that diverse properties and individuals require tailored solutions, especially in remote and rural areas. The Bill will be complemented by ongoing initiatives such as the Social Housing Net Zero Standard and reforms to Energy Performance Certificates.

Dr. Allan also welcomed the second report from the independent Green Heat Finance taskforce, which focused on financing place-based solutions, heat networks, and social housing retrofits.

He added: "This report makes a very important contribution to our understanding of the work we need to do to boost clean heat demand amongst consumers and instil market confidence to develop new products, including financing solutions."

The Minister also highlighted the need for UK Government action, particularly in rebalancing gas and electricity prices, to stimulate the clean heat market and reduce fuel poverty.