The Heat Networks (Market Framework) (Great Britain) (Amendment) (No. 2) Regulations 2026

Made: 6th January 2026

Laid before Parliament: 7th January 2026

Coming into force: 28th January 2026

In accordance with sections 219(7) and 220 of that Act, before making these Regulations, the Secretary of State— consulted such persons or bodies as the Secretary of State considered appropriate; and gave notice to, and considered the representations of, the Scottish Ministers.

consulted such persons or bodies as the Secretary of State considered appropriate; and

gave notice to, and considered the representations of, the Scottish Ministers.

Citation

1

These Regulations may be cited as the Heat Networks (Market Framework) (Great Britain) (Amendment) (No. 2) Regulations 2026.

Commencement

2

These Regulations come into force on the 21st day after the day on which they are laid before Parliament.

Extent

3

These Regulations extend to England and Wales and to Scotland.

Heat Networks (Market Framework) (Great Britain) Regulations 2025 amended

4

• (1) The Heat Networks (Market Framework) (Great Britain) Regulations 2025[^f00002] are amended as follows.

• (2) In regulation 56(11) (application of Part 2 of the Consumers, Estate Agents and Redress Act 2007 with modifications)—

• (a) for the definition of “micro-business” substitute—

• “micro-business” means a business that— consumes less than 247,000 kilowatt hours of heat per year; or has fewer than 10 full-time equivalent employees and— an annual turnover of £2 million or less; or a balance sheet total of £2 million or less;

• (b) for the definition of “small business” substitute—

• “small business” means a business other than a micro-business that— consumes less than 420,000 kilowatt hours of heat per year; or has fewer than 50 full-time equivalent employees and— an annual turnover of £6.5 million or less; or a balance sheet total of £5 million or less.

Signed

Martin McCluskey — Parliamentary Under-Secretary of State — Department for Energy Security and Net Zero — 6th January 2026

Explanatory note

(This note is not part of the Regulations)

EXPLANATORY NOTE

These Regulations amend the Heat Networks (Market Framework) (Great Britain) Regulations 2025 (the “2025 Regulations”). Regulation 56 of the 2025 Regulations requires persons holding a “heat network authorisation” to be members of a redress scheme in relation to complaints from domestic and certain business consumers in connection with the supply of heating, cooling or hot water. These Regulations clarify the business consumers to which that requirement relates.

A full impact assessment has not been produced for this instrument as no, or no significant, impact on the private, voluntary or public sectors is foreseen. A full impact assessment of the effect of the 2025 Regulations on the costs of business, the voluntary sector and the public sector is available alongside the 2025 Regulations on www.legislation.gov,uk. Hard copies may be obtained from the Heat Networks Policy team, Department for Energy Security and Net Zero, 55 Whitehall, London SW1A 2HP.

Footnotes

[^f00001]: 2023 c. 52. See section 219(9) of the meaning of “the appropriate authority” in section 219(1).

[^f00002]: S.I. 2025/269, amended by S.I. 2026/7.