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Projects to cut carbon from public sector buildings reduce the cost of heating and powering via renewable technology, as well as helping public sector bodies to achieve their local energy goals.

Many public sector organisations find they lack the skills or resources they need to deliver these projects, that’s why the Greater South East Net Zero Hub is here to provide FREE advice and support to help you achieve your goals. If you’ve got a question, contact us.

Greater South East Net Zero Hub – Public sector building

Achieve local energy goals

These projects might involve:

  • Adding insulation
  • Installing more energy-efficient lighting
  • Introducing low carbon heat technologies such as heat pumps to replace fossil fuel boilers
  • Connection to or development of a heat network
  • Generation of renewable power from solar panels, or wind or hydro turbines

Funding and financing

Public Sector Decarbonisation Scheme

The Public Sector Decarbonisation Scheme, run by the Department for Energy Security and Net Zero, provides grants to reduce carbon emissions from public sector buildings through low-carbon heating and energy efficiency measures.

In the June 2025 Spending Review, the government announced no further funding would be committed to the scheme beyond currently awarded projects.

Grant funding for projects awarded under Phase 3c will continue until 31 March 2026, and until 31 March 2028 for Phase 4.

If you have any questions, please contact us.

Public Sector Low Carbon Skills Fund

The Low Carbon Skills Fund, which is supported by the Department for Energy Security and Net Zero, has provided grants for public sector organisations to engage the specialist advice needed to create a robust heat decarbonisation plan and/or detailed designs to prepare for heat decarbonisation and energy efficiency works.

No new funding has been allocated to the scheme.

Greater South East Net Zero Hub – Finance data

Public sectors

Further and higher education
Greater South East Net Zero Hub – Further education

Further and higher education institutions operate high energy use buildings and manage operationally complex estates within the public sector.

Universities and college campuses often include high energy demand facilities such as science laboratories, IT server rooms, 24/7 libraries, catering outlets and student accommodation. University estates may consume tens of millions of kWh of gas and electricity annually, at a cost running into the millions. This places considerable strain on budgets and makes the sector a substantial contributor to local and national carbon emissions.

Energy costs represent a significant portion of operational expenditure for colleges and universities. Even relatively small reductions in energy consumption, combined with the use of renewables, can free up significant funds to invest in enhancing the educational offer. There is now a growing recognition of the co-benefits of decarbonisation including campuses offering healthier learning environments, reducing long term operational risks, and improved resilience against energy market volatility. In some cases, retrofit has improved institutional rankings tied to sustainability.

Need support? Complete our expression of interest form

Schools
Greater South East Net Zero Hub – Schools

Schools play a crucial role in reducing carbon emissions and fostering sustainability.

Decarbonising a school building not only helps combat climate change but also reduces energy costs and provides an example to pupils and parents of low carbon technologies in action. With all schools encouraged by the Department for Education to have a sustainability leadership and climate action plan in place, now is the time to start.

Despite the benefits of decarbonisation for schools, they face a number of barriers including limited access to capital funding, lack of in-house expertise, complex estate portfolios often with a varied age range from historic to more modern, and competing priorities.

Many schools face challenges related to high energy consumption, particularly during the colder months with the Department for Education estimating that across the 2025/26 financial year alone, energy spend in UK schools could reach £1.7 billion. However, taking action to improve energy efficiency and integrate renewable technologies can lead to long-term savings, more comfortable learning environments, and greater resilience to rising energy prices.

A growing body of support is emerging for schools on their decarbonisation journey including support from UK Climate Change • Let’s Go Zero, regional Net Zero Hubs and The Green Finance Institute who have recently released a report on Financing Decarbonisation of Schools.

Need support? Complete our expression of interest form

Theatres
Greater South East Net Zero Hub – Theatres

There are around 1,100 theatres across the UK, occupying an estimated 1.5 to 2 million square metres of space nationally.

These venues are typically heated by gas-fired boilers and conventional HVAC systems, many of which are outdated and inefficient. Finance remains the most significant barrier to decarbonising theatre buildings. In a 2021 Theatres Trust survey, 86% of theatres identified funding as a major challenge, rising to 92% among historic venues. As a result, nearly a quarter (24%) of theatres have not made any green improvements to their buildings in the past 15 years. Of the 70% that have undergone refurbishments, only 20% prioritised energy efficiency.

The age of theatres varies widely with historic, mid-century, and modern each presenting unique sustainability challenges. Older buildings, for example, often face planning restrictions due to listed status, making interventions like insulation or window upgrades complex. Despite these obstacles, opportunities for decarbonisation exist, such as connecting to low-carbon heat networks, installing air or ground-source heat pumps, upgrading to LED lighting, and improving energy management systems.

As a starting point, please refer to the Theatre Green Book, an initiative by theatre-makers to move theatre towards sustainability.

Need support? Complete our expression of interest form


Case study

The Royal Opera House

The Royal Opera House has recently refurbished and updated the ground source heat pump at the Bob and Tamar Manoukian Production Workshop in Thurrock.

Find out more


Case study

Theatre Royal Plymouth

Theatre Royal Plymouth (TRP), a Grade II listed building, has a history dating back to 1758, but the current building was designed in 1977 and opened in 1982.

TRP is fortunate to be able to benefit through Plymouth County Council’s District Heat Exchange, which has enabled the theatre to reduce its gas usage.

Find out more

Hospitals
Greater South East Net Zero Hub – Hospitals

The UK’s hospitals are among the most energy-intensive buildings in the public sector.

Operating 24/7 with strict requirements for temperature control, air quality and hygiene, a typical acute hospital can consume over 40 million kilowatt-hours (kWh) of energy each year with large NHS trusts significantly exceeding this figure (NHS England – Greener NHS). The NHS estate alone accounts for approximately 4% of England’s total carbon emissions, while healthcare buildings are responsible for around 40% of all public sector emissions, driven by the demands of heating, ventilation, sterilisation equipment, and hot water.

Much of the NHS estate faces challenges related to ageing infrastructure, outdated fossil-fuel heating systems such as combined heat and power (CHP) units, and the complex logistics of retrofitting critical care environments that must remain fully operational. Many hospital sites are also experiencing annual energy bills exceeding £1 million, with future cost volatility driven by global energy market pressures.

Decarbonising healthcare estates is essential to achieving both national Net Zero targets (set at 2040 for direct emissions) and delivering local sustainability goals. Progress is already underway, with opportunities emerging through the deployment of low-carbon heating systems, heat networks and Great British Energy’s project to install rooftop solar on 200 hospitals.

Need support? Complete our expression of interest form

Council offices
Greater South East Net Zero Hub – Council offices

Council offices play a vital role in local government operations and are a key component of the wider public estate.

With over 300 local authorities across the UK having declared a climate emergency, many are aiming to reach Net Zero by 2030. Decarbonising council offices not only contributes significantly to that goal but also allows councils to lead by example, demonstrating environmental responsibility to their communities. The majority of energy consumption comes from space heating, lighting, and IT equipment, an issue often exacerbated by ageing infrastructure, poor insulation, and outdated fossil fuel heating systems like gas-fired boilers.

Across the UK, councils manage thousands of civic and administrative buildings, ranging from large regional headquarters like Endeavour House in Ipswich (11,000 m²) and Number One Riverside in Rochdale (17,000 m²) to smaller municipal offices. Many of these are still heated using gas, and some are housed in heritage or listed buildings, further complicating retrofit efforts. Obstacles to decarbonisation include limited funding, inconsistent national guidance, and a shortage of internal capacity to apply for grants or coordinate delivery.

Despite financial and logistical barriers, practical solutions are emerging that can help councils decarbonise their buildings while delivering strong value for money. Opportunities include connecting to low-carbon heat networks through upcoming heat zoning legislation, installing low-carbon heating systems such as heat pumps, undertaking building fabric improvements, and implementing energy management systems. These measures not only reduce Scope 1 and 2 emissions, but also lower operational costs, future-proof public buildings, and reinforce councils’ roles within their communities. For many local authorities—particularly smaller districts or borough councils with limited budgets—any retrofit or energy efficiency investment must be cost-effective. Projects that deliver long-term savings or generate revenue, such as solar PV installations or energy efficiency leasing models, are often the most viable pathways to achieving Net Zero ambitions.

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Crematoriums
Greater South East Net Zero Hub – Crematoriums

The UK bereavement industry is valued at approximately £2.5 billion annually, with cremation accounting for around 78% of all funerals.
(Environmental Stewardship Group, 2021; The Cremation Society, 2019; Copeland, 2021).

As of 2024, there are 334 crematoria in operation across the United Kingdom (The Cremation Society, 2024), collectively processing over 550,000 cremations each year. Currently, over 99% of cremators in the UK are powered by gas—primarily natural gas or liquified petroleum gas (LPG)—with only a few capable of using both gas and liquid fuels. A standard gas-powered cremation in the UK is estimated to produce approximately 126 kg of carbon dioxide equivalent (CO₂e) emissions per cremation.

In response to rising climate concerns and the UK’s legally binding net zero targets, there is growing interest in low-carbon alternatives to traditional gas cremation. Electric cremators, capable of running on renewable energy, offer the potential to significantly reduce operational emissions and have been installed in a small number of UK facilities as part of pilot projects or upgrades. Other emerging technologies, such as bio-LPG, hydrogen fuel, and resomation (alkaline hydrolysis), remain in the early stages of adoption and face challenges related to regulation, infrastructure, and public acceptance. However, significant barriers persist, including the high capital cost of new cremators and electrical upgrades, limited grid capacity, planning and permitting delays, and uncertainty surrounding newer technologies. Overcoming these challenges will require coordinated national guidance, upfront investment, and collaboration across sectors to support crematoria in transitioning sustainably while continuing to deliver essential end-of-life services (The CDS Group, 2023).

Need support? Complete our expression of interest form

Fire, Police and Ambulance
Greater South East Net Zero Hub – Ambulance

The UK’s fire, police, and ambulance services operate from thousands of buildings nationwide ranging from urban headquarters to rural stations, collectively occupying a significant portion of the public estate.

These facilities are typically heated by gas-fired boilers and are energy-intensive due to aging infrastructure, limited insulation, and 24/7 operational demands.

Decarbonising this sector presents complex challenges, including constrained budgets, listed building restrictions, and the need to maintain uninterrupted emergency services. However, opportunities for emissions reduction are growing through the adoption of low-carbon heating systems, solar PV, improved building fabric, and energy management technologies.

An additional area of progress lies in the transition to electric emergency vehicles (EVs). Several UK police forces are already trialing or deploying EV patrol cars and vans, and ambulance trusts have begun introducing zero-emission patient transport vehicles. As of 2024, around 4,000 EVs are in operation across the wider UK emergency fleet, with this number expected to grow as charging infrastructure improves and vehicle performance meets operational needs. Co-locating EV charging points at fire, police, and ambulance stations offers a valuable opportunity to align fleet decarbonisation with estate energy upgrades. This integrated approach enhances long-term cost savings, strengthens energy resilience, and ensures the UK’s emergency services demonstrate leadership in sustainability while maintaining critical public safety operations.

Need support? Complete our expression of interest form

Libraries
Greater South East Net Zero Hub – Libraries

Libraries and museum spaces frequently include ageing infrastructure, large volumes of space and climate sensitive environments that require constant temperature and humidity control, especially in archives and exhibition areas which makes them complicated to decarbonise.

A report by Julie’s Bicycle, a UK environmental organisation, estimates that the UK’s cultural sector generates around 5.2 million tonnes of carbon dioxide equivalent (CO2e) each year.

Many libraries and museums in the UK are large, often historic or listed buildings that consume hundreds of thousands of kWh annually. Poor insulation and outdated fossil-fuel heating systems mean much of that energy leaks away. The Council for Museums, Archives and Libraries states that UK museums alone emit around 1.7 million tonnes of CO2 per year with annual energy costs estimated to be £140 million.

Optimising energy use across libraries and museums reduces emissions and running costs but also strengthens the long-term resilience of the buildings. Decarbonisation measures such as LED lighting, smart controls and renewable heating safeguard the cultural heritage of the buildings for future generations.

Need support? Complete our expression of interest form

Leisure centres and pavilions
Greater South East Net Zero Hub – Leisure centres

Leisure centres are among the facilities with the highest energy demand within a local authority’s estate.

Across the UK, there are around 2,700 public leisure centres collectively covering an estimated 40 million square metres of floor space. These centres, particularly those with swimming pools, require substantial energy inputs to maintain comfortable conditions for users. The Welsh Government’s Energy Service states a large leisure centre with a pool (> 4,000–6,000 square metres) typically consumes over 2 million kWh of natural gas and more than 500,000 kWh of electricity annually.

Most facilities use gas-fired boilers to provide space heating, hot water, and maintain pool temperatures. Shifting to low-carbon alternatives is particularly challenging in older or less efficient buildings where outdated systems, limited space, and other structural constraints can complicate upgrades. In addition to the significant cost implications, leisure centres contribute materially to a local authority’s carbon footprint, a factor of growing importance as the 2030 public sector Net Zero target approaches. Where the service is managed directly by the local authority, emissions are counted under Scope 1 and 2 categories. In cases where operations are outsourced to a third-party provider, emissions are classified as Scope 3, often complicating accountability and intervention strategies (Energy Service).

Energy costs typically represent the second-largest share of a leisure centre’s operating budget after staffing and are projected to account for 20–25% of total expenditure based on recent trends. In response to rising costs, many facilities have been forced to implement austerity measures such as reducing opening hours, lowering pool temperatures, limiting staff, and scaling back aquatic programmes—actions which are already having a negative impact on community health and wellbeing (Sport England, 2024).

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Decarbonising leisure centres presents several challenges:

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  • Many are aging buildings with outdated systems and poor thermal performance.
  • A significant number are designated as heritage or listed buildings, limiting structural interventions.
  • There is often limited access to capital funding for low-carbon retrofits.
  • Long-term energy contracts or lease agreements may restrict flexibility for upgrades.

Despite these challenges, decarbonisation can be achieved through a range of measures including low-carbon heating systems (e.g. air or ground source heat pumps), connection to heat networks, solar PV installations, building fabric improvements, and the use of advanced energy management systems. From both an emissions and cost-management perspective, it is clearly in the interest of local authorities to prioritise energy reduction and carbon mitigation efforts within their leisure facilities.

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If you are a public sector organisation in the Greater South East region of England and need support to achieve your clean energy ambitions, complete our expression of interest form

Case studies

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