PSDS Phase 5 watch. No application window confirmed by DESNZ or Salix as of 22 June 2026. STATUS: AWAIT

Public sector decarbonisation scheme · schools

The PSC scheme for schools, without the marketing copy.

The Public Sector Decarbonisation Scheme (PSDS) is the only capital grant route at school scale for heat-pump and fabric retrofit. It is currently closed. This site answers the eligibility question in 30 seconds, costs your scheme against the £325/tCO2e ceiling, and routes you to the live alt-funding programmes during the Phase 5 watch.

Direct answer · 22 June 2026

PSDS Phase 4 closed for applications November 2024 [Salix]. No Phase 5 window has been confirmed by DESNZ [DESNZ]. The current binding rule is the £325/tCO2e Grant Carbon Cost ceiling. State-funded schools displacing gas, oil or LPG heating on owned estate are in scope; independent schools and PFI sites without landlord consent are not. Live alternatives for schools right now: DfE Renewal & Retrofit (£710m, April 2026 [DfE]), CIF for academies, GB Energy schools solar, Warm Homes Plan.

Eligibility wizard · 3 questions

Answer all three to see the outcome. Three questions, roughly 30 seconds.

Current grant rate
100%
Capital, no co-funding required
£/tCO2e ceiling
£325
Lifetime GCC, Phase 4 binding
School install £/m² band
£280–£540
Heat pump + fabric, mid case
Phase 5 window status
Not announced
DESNZ silent as of 22 Jun 2026
Oliver Wakefield-Smith
Founder · Digital Signet
Verified for Phase 4 / Phase 5 watch · refresh expected on Phase 5 confirmation by DESNZ

Three outcomes. One lane each.

Where are you in the bid stage?

The PSDS pipeline runs pre-feasibility, feasibility, application, award, delivery, reporting. Each stage page is built for the workflow the bursar actually owns at that point. No fluff stages.

Which measures pass the £325/tCO2e ceiling?

Indicative ticker, school-scale assumptions, gas displacement. Full method on the VfM ceiling page. Numbers cross-checked against Phase 3 and Phase 4 funded-project lists [DESNZ].

MeasureLifetime kgCO2eCapital ££ / tCO2evs £325
Loft and cavity insulation850,000£140,000£165PASS
LED relamp (bundled)320,000£85,000£266PASS
Fabric-first package1,100,000£310,000£282PASS
Air-source heat pump (with fabric)1,500,000£480,000£320PASS
Air-source heat pump (no fabric)900,000£420,000£467FAIL
Ground-source heat pump (small site)720,000£430,000£597FAIL

Live during the Phase 5 watch

£710m programme announced April 2026. State-school estate; allocation-based.
Publicly-owned solar PV for schools. Separate stream from PSDS.
Annual DfE round. Decarbonisation eligible where it meets a documented condition need.
Cross-government residential-led plan. Limited public-estate touchpoints.
LGA-supported ESCO route. Procurement vehicle, not a grant fund.
Free regional advisory support, expanded post-LCSF closure.

Reference pages