More than £160m of clean energy projects are set to go ahead at NHS trusts across England following the announcement of the successful recipients of Phase 4 of the Public Sector Decarbonisation Scheme.

The fund, launched in October 2024, is worth £940m across all sectors and will run until the 2027/28 financial year, supporting energy saving and clean power upgrades.

Delivered by Salix on behalf of the Department for Energy Security and Net Zero, the grants will pay for a range of measures including heat pumps, solar panels, insulation, and double glazing, helping to reduce the UK’s reliance on fossil fuels.

It’s more important than ever that we focus on what is happening to our planet, with a key priority to reduce carbon emissions from buildings

In this round, more than £160m has been allocated to 23 healthcare providers, including hospital and ambulance trusts.

Recipients include Nottingham University Hospitals NHS Trust, which was awarded £36m; United Lincolnshire Hospitals NHS Trust, which gets £23m; Countess of Chester Hospital NHS Foundation Trust, which receives a grant of £24m; and The Newcastle Upon Tyne Hospitals NHS Foundation Trust, which won £41m in funding.

Salix chief executive, Kevin Holland, said: “It’s more important than ever that we focus on what is happening to our planet, with a key priority to reduce carbon emissions from buildings.

“We’re proud to deliver these energy efficiency projects together with our stakeholders.

“Government funding and effective partnerships will help to achieve the UK’s ambitious net zero 2050 goals.”

At United Lincolnshire Hospitals NHS Trust the £23m grant will pay for a range of measures including an electrically-powered heating and hot water system at Pilgrim Hospital in Boston.

This funding allows us to make significant upgrades to our infrastructure – replacing ageing systems with modern, energy-efficient technologies. It’s a major step towards achieving net zero across our estate

This will help to reduce the hospital’s reliance on fossil fuels for energy and will significantly improve the critical infrastructure across the site.

Mike Parkhill, group chief estates and facilities officer at Lincolnshire Community and Hospitals NHS Group, said: “Achieving the national green agenda begins with action at a local level.

“This funding brings us closer to achieving our net-zero target by 2040, while also reinforcing our commitment to provide modern and more energy efficient environments for our patients and staff.

“By significantly reducing carbon emissions and lowering our reliance on fossil fuels, we’re investing in a more-sustainable future for Boston.”

The Newcastle Upon Tyne Hospitals NHS Foundation Trust secured £41m to decarbonise the Freeman Hospital, and community sites at Benfield Park and Ponteland Road Health Centre.

Projects will include the installation of heat pumps, electrical upgrades, double glazing, solar panels, and energy-efficient lighting.

This funding brings us closer to achieving our net-zero target by 2040, while also reinforcing our commitment to provide modern and more energy efficient environments for our patients and staff

It is anticipated that the project will save over 9,300 tonnes of CO₂e per year, including over 2700 tonnes through improvements to building fabrics and energy efficiency. Over 6,658 tonnes of carbon emissions will also be saved by replacing fossil fuels with low-carbon heating solutions.

Sir Paul Ennals, trust chairman, said: “The NHS contributes significantly to the UK’s overall carbon emissions, and we all need to take action to reduce our environmental impact.

“Decarbonising the trust’s estate is an instrumental part of reaching our net zero by 2030 goal.

“This funding is vital in helping to create a greener NHS that works for both patients and the planet.”

David Coxon, energy manager, added: “This funding will help us to proceed with a major project to decarbonise heat at hospital and community sites, significantly reducing our carbon emissions and improving air quality locally.”

And Barts Health NHS Trust said it will spend its £13m grant on improvements at Newham Hospital, including the installation of solar panels, low-carbon heat pumps, and better lighting, as well as a new Building Management System (BMS).

The NHS contributes significantly to the UK’s overall carbon emissions, and we all need to take action to reduce our environmental impact

Simon Ashton, chief executive of Newham Hospital, said: “This investment is fantastic news for our hospital.

“Modernising our energy systems will create a more-comfortable environment for our patients and staff, allowing us to reach net zero and enabling us to reinvest the savings back into frontline care.

Rob Speight, sustainability lead for Barts Health NHS Trust, added: “This funding allows us to make significant upgrades to our infrastructure – replacing ageing systems with modern, energy-efficient technologies. It’s a major step towards achieving net zero across our estate.”

The full list of healthcare recipients by region is as follows

 

NORTH EAST

• Northumbria Healthcare NHS Foundation Trust £5.7m and £8.6m
• The Newcastle Upon Tyne Hospitals NHS Foundation Trust £41m

 

YORKSHIRE AND THE HUMBER

• Leeds Teaching Hospitals NHS Trust £6.6m
• South West Yorkshire Partnership NHS Foundation Trust £6m
• York and Scarborough Teaching Hospitals NHS Foundation Trust £8.7m

 

NORTH WEST

• Countess of Chester Hospital NHS Foundation Trust £24m
• Lancashire Teaching Hospitals NHS Foundation Trust £14m
• Manchester University NHS Foundation Trust £728,318
• Tameside and Glossop Integrated Care NHS Foundation Trust £14m

EAST MIDLANDS

• East Midlands Ambulance Service NHS Trust £937,935
• Nottingham University Hospitals NHS Trust £36m
• United Lincolnshire Hospitals NHS Trust £23m

 

WEST MIDLANDS

• The Robert Jones and Agnes Hunt Orthopaedic Hospital NHS Foundation Trust, Shopshire £7m
• University Hospitals Birmingham NHS Foundation Trust £14m
• University Hospitals of Derby and Burton NHS Foundation Trust £9m

 

EAST OF ENGLAND

• Medicines & Healthcare Products Regulatory Agency, Hertfordshire £11m
• Norfolk and Norwich University Hospitals NHS Foundation Trust £8.9m

 

SOUTH WEST

• Devon Partnership NHS Trust £2.1m
• South Western Ambulance Service NHS Foundation Trust £160,000

 

GREATER LONDON

• Barts Health NHS Trust £13.8m
• Imperial College Healthcare NHS Trust £6.4m
• London North West University Healthcare NHS Trust £5.9m
• Royal Free London NHS Foundation Trust £7.3m