The UK Government's spending review announcement has brought welcome clarification to the future of Feed In Tariffs (FITs) and the Renewable Heat Incentive (RHI).

The FIT scheme and the tariff rates will continue in their current form until the proposed review date of 2013.  However, if there is higher than anticipated demand, the Government has allowed themselves the option of making changes prior to this.  There is no indication as to what this demand would have to be, but the result is that installation sooner rather than later will be the best way to guarantee good FIT rates.  The DECC FIT information is here.

The RHI is expected to be implemented in June 2011, a little later than the original proposal of April.  There is also more detail to be announced regarding the tariffs and the technologies that well be supported.  This is good news for the small-scale renewable heat industry and should encourage more people to consider installations.  You can see the latest information from DECC here.