Evolving capital programmes, policy changes, and numerous other factors are combining to build pressure from several directions at once. Decarbonising school heat is no longer a niche sustainability issue, but a core condition, cost and compliance challenge that cannot be ignored.
Within the public sector, education is the largest emitting segment, with heating by far the biggest source of energy demand in schools. Schools are being asked to contribute to national targets while also managing ageing buildings, volatile energy costs and constrained budgets.
Maintained schools and academies in England spent around £1.2 billion on energy in 2023/24, while the Department for Education estimates that £11.4 billion is needed to bring school buildings up to a good standard of repair. Heating, ventilation and air conditioning alone represent £2.1 billion of that repair need.
This means heat decarbonisation must compete with urgent priorities such as building safety, fabric condition and resilience. And that results in difficult decisions and choices – for example, replacing an end-of-life boiler with another fossil fuel system may appear the simplest option, but doing so risks locking in emissions and exposure to gas price volatility for years to come.
The reality is that when it comes to heating, schools are not straightforward retrofit environments. Many face limited electrical capacity, constrained plant rooms, complex occupancy patterns and challenges associated with completing work on site without disrupting staff and pupils.
Grid connection delays can stall heat pump projects, while higher electricity prices continue to affect the business case. In some buildings, full electrification may be technically or financially difficult in the short term.
There is, however, a shift in policy direction to help schools and the wider education sector. The Education Estates Strategy provides a longer-term framework for improving the condition, resilience and performance of education buildings, backed by significant capital investment through to the end of the decade and funding certainty extending to 2034/35.
Alongside this, the Future Buildings Standard will strengthen requirements for new non-domestic buildings from 2027, making low-carbon heating and solar generation central to compliance for new schools and major works.
However, improving existing estates remains a problem. Major heating upgrades are often only planned when there is a need for works to be carried out for regulatory requirements or when appliances reach the end of their lifecycle.
The next phase of non-domestic Minimum Energy Efficiency Standards is still uncertain, leaving a gap between strategic ambition and day-to-day delivery across thousands of existing buildings.
Funding is also transitional. The Public Sector Decarbonisation Scheme has been the main dedicated route to access funding opportunities for public sector heat decarbonisation projects, but Phase 4 has closed to new applications and funded projects run to 2028, with no indication of a successor programme.
Other routes, including the Condition Improvement Fund, School Condition Allocation, Great British Energy’s funding programme for funding rooftop solar in schools, and the new Renewal and Retrofit Programme, can all be used to support decarbonisation, however they aren’t always ring-fenced for low-carbon heat.
That is why it’s essential to take a whole-estate approach. Fabric improvements, controls, distribution upgrades, electrical capacity, solar PV, battery storage and heat pumps need to be planned together, rather than treated as separate interventions.
Hybrid heating systems may also have a role where they allow schools to decarbonise a significant share of heat demand while maintaining resilience and managing technical constraints. Essentially, these can act as a stepping stone towards full decarbonisation.
Well-designed and implemented heating upgrades can lower energy demand, reduce exposure to fossil fuel volatility, improve comfort and support more predictable maintenance. Better thermal conditions also matter for pupils and teachers, with poor building performance linked to disruption, discomfort and wider impacts on learning environments. Low-carbon systems can additionally become visible teaching assets, helping pupils understand the practical reality of the net zero transition.
The next phase must therefore be about delivery, not just ambition. Schools need clear guidance, early-stage technical support and funding models that reward planned, integrated programmes rather than reactive plant replacement.
For the heating industry, the task is to help schools identify the opportunities and plot a practicable, phased net zero pathway. Achieving this will simultaneously help create better learning environments while delivering lower bills and emissions and preparing the education sector for a net zero future.
Education Estates 2026 provides an opportunity for education leaders, estates professionals and consultants to explore practical approaches to decarbonisation and energy efficiency.
Visit the Baxi team on Stand 653 at Manchester Central on 20-21 October 2026 to discuss your estate challenges, discover low-carbon heating, hot water and cooling solutions, and learn how integrated approaches can support your pathway to net zero.
You can also join our EduFringe session, "Decarbonising the Education Estate: Practical Pathways to Net Zero", presented by Jeff House, Director of External Affairs and Policy at Baxi, on 21 October 2026 at 12:45pm.
At Baxi, our Decarbonising the Education Estate – Policy and Regulatory Landscape, report explores decarbonisation within education and the pathway towards practical, low-carbon heating throughout the sector. Download here.
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