Trust welcomes delegation from Ofgem and SFHA to discuss heat network regulations

Trust welcomes delegation from Ofgem and SFHA to discuss heat network regulations

Trust Housing Association staff with members from Ofgem

Trust Housing Association welcomed representatives from Ofgem and the Scottish Federation of Housing Associations (SFHA) to its Later Living development in Pollok as part of ongoing sector engagement on the new statutory regulation of heat networks in the UK.

Trust’s Pollok development is served by a communal gas boiler system and therefore falls within the scope of the heat network regulatory framework now overseen by Ofgem.

The visit followed Ofgem formally assuming its role on 27 January 2026, as heat network regulator under powers introduced through the Energy Act 2023. Regulation is being introduced in phases and aims to strengthen consumer protection, improve transparency, and ensure consistent service standards for customers living in homes supplied by communal and shared heating systems.

Attendees included Claire Mottram, energy & sustainability manager at Trust Housing Association, Cassandra Dove, policy lead at SFHA, and colleagues from Ofgem. There were also representatives from SFHA’s Heat Networks Working Group for the pre-meet with Ofgem.

The visit provided an opportunity for regulators, sector representatives and Trust staff to meet directly with tenants, hear about their lived experience of communal heating, and for Trust to demonstrate how its Heat with Rent and Communal Energy services operate in practice.

The visit comes as Ofgem is about to launch its new registration portal for heat network suppliers and operators which will be subject to the new regulations, including social landlords who manage communal heating systems.

Trust Housing Association was established in 1973 from a philanthropic movement to provide safe, secure and supportive homes and has and has grown into a national, forward-thinking social landlord, managing almost 4,000 homes across Scotland.

Trust is one of Scotland’s largest providers of housing, care and support for older people, operating in 23 of the country’s 32 local authority areas. While working nationally, Trust remains firmly rooted in the communities it serves, supported by offices in Edinburgh, Wishaw and Glasgow, alongside a network of satellite sites across the country.

Pollok is one of Trust’s Later Living developments and delivers a Housing with Care service. The development comprises 40 flats, designed for independent living with private kitchens, bathrooms and living areas, alongside shared communal facilities such as a lounge and dining area. An on-site team provides care, support and an emergency call system, enabling residents to live independently while feeling safe and supported at all times.

Trust operates a Heat with Rent and Communal Energy Service across its housing stock, with around half of all customers and homes included as part of their tenancy agreement. The service covers a mix of gas, electric and a small proportion of oil heated homes. Over two thirds of Trust’s Heat with Rent homes are gas heated, the majority of which are served by communal boiler systems with a single shared meter supplying heat across the development.

Through the Heat with Rent service, Trust procures energy on behalf of customers and operates a pooled approach to charges, with a ring-fenced Equalisation Account to manage all income and costs. Charges are reviewed annually based on energy supplier cost forecasts and are calculated solely to recover the actual costs of providing heating and hot water. Trust does not generate profit from the Heat with Rent service, and to aid transparency, customers are consulted annually in setting charges.

This pooling approach is designed to make energy simpler to manage for customers, particularly within Later Living services. It supports affordable warmth, reduces the risk of fuel poverty, and promotes positive health and wellbeing outcomes. Trust’s energy procurement strategy is reviewed and approved annually by its Board and is currently delivered through the Scottish Government Framework, with energy purchased in advance of use to secure value and stability.

The overall tenant response to the visit was very positive and tenants had commented that they highly valued the service and that knowing their heating charge each month gave them greater peace of mind.

As the UK experiences its second energy crisis in the last five years, Trust’s procurement approach through the Scottish Government Framework means its customers are currently benefiting from the Scottish Government’s trading team having gradually purchased in advance, during cheaper market periods over the last 30 months. The current rate is set for the next financial year delivery period, which offers protection and savings at a time when energy costs remain expensive and volatile.

Trust has welcomed the introduction of heat network regulation and is actively preparing for the new requirements by reviewing and updating policies, procedures and reporting arrangements to support compliance and effective engagement with Ofgem.

Claire Mottram, energy & sustainability manager for Trust Housing Association, said: “Heat with Rent has always been about supporting our tenants by providing a fair, transparent and affordable approach to heating and hot water.

“We welcome heat network regulation and the focus it brings on consumer protection. Hosting Ofgem and SFHA at Pollok was a positive opportunity to show how our communal energy services already support these aims, while remaining firmly rooted in the needs of our residents.”

The visit to Pollok provided an important opportunity to demonstrate how a long-established and social landlord-led heat service aligns closely with the objectives of the new regulatory framework.

Speaking following the visit, Cassandra Dove, policy lead at the Scottish Federation of Housing Associations, said: “Heat networks are an important heating solution for housing associations and co-operatives across Scotland. They can continue to provide affordable warmth to tenants provided the social housing sector receives adequate support.

“SFHA has been calling for Ofgem’s regulatory framework, and the related technical standards proposed by the UK Government, to be proportionate and deliverable, particularly for housing associations operating on a not-for-profit basis.”

Amanda Miller, senior stakeholder engagement and communications manager at Ofgem, said: “We were pleased to be invited to meet members of the SFHA, it offered us a valuable opportunity to hear how members are responding to the change to regulation. It was also a pleasure to meet residents of the Pollok Later Living Development and to hear their lived experiences.”

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