1Energy is delighted to announce that Milton Keynes University Hospital has been signed as an anchor customer for the Milton Keynes Energy Network, a £95 million low-carbon district heating system that will transform how heat is supplied across the city.

The project is being developed by 1Energy with £17.6 million of support from the UK Government’s Green Heat Network Fund (GHNF), alongside over £78 million of private investment, delivered at no cost to the local council or community. Discussions are also underway with several other major heat users across Milton Keynes.

Using a combination of air source heat pumps and waste heat recovered from nearby data centres, the network will deliver sustainable heating and hot water through a 20 km system of underground pipes. It will have the capacity to supply the equivalent of 20,000 homes each year and is expected to be fully operational by 2027.

The scheme will significantly cut reliance on fossil fuels for connected buildings – reducing heating emissions by around 75% compared to gas boilers and saving over 15,000 tonnes of CO₂ annually, equivalent to planting more than 238,000 trees. Air pollution from the hospital and other connected sites will fall by up to 80%, improving local air quality and supporting public health.

By providing reliable, low-carbon heat, the Milton Keynes Energy Network will protect the NHS and other public services from volatile energy prices, while supporting local jobs, apprenticeships and supply chain opportunities during construction and operation.

The project is central to Milton Keynes City Council’s target to reach net zero by 2030 and supports the NHS’s ambition to achieve net zero by 2045. 1Energy is also developing its own plan to achieve net zero operations by 2030.

Tony Marsh, Director of Estates & Facilities, Milton Keynes University Hospital NHS Foundation Trust, commented: “Joining the Milton Keynes Energy Network is a major step forward in our journey to become a net zero hospital. This partnership will allow us to cut carbon emissions significantly while ensuring our heating infrastructure is resilient and future ready. As a healthcare provider, we have a responsibility to protect both the health of our patients and the health of our planet, and this project enables us to do both. We’re proud to be working with 1Energy to deliver a greener, more sustainable future for Milton Keynes University Hospital.” 

Investment and impact 

Heating remains one of the UK’s biggest challenges. It is responsible for over a fifth (21%) of air pollution, half of gas use – making it a key driver of the country’s fossil fuel dependence – and 37% of national CO2 emissions. Heat networks like the Milton Keynes Energy Network provide the lowest cost, simplest, fastest route to tackling this challenge on a city-wide scale.

The project will also help grow the local economy by creating and supporting over 100 new jobs and apprenticeships locally. In addition, it will deliver a wide range of local supply chain opportunities throughout its construction and operation. 

A project fit for a city that’s built for the future 

Since its designation as a New Town in 1967, Milton Keynes has been a symbol of forward planning, innovation and ambition. Designed with green space, modern transport networks and adaptability at its core, the city has consistently led the way in shaping how communities can live, work and thrive sustainably. 

The Milton Keynes Energy Network continues this tradition by becoming one of the country’s first cities to have a low-carbon heat network that utilises waste energy from data centres, the latest symbol of innovation and ambition. The project brings cutting-edge, resilient infrastructure to a city already known for its progressive vision. 

Commenting on the news Jeremy Bungey, Executive Director of 1Energy, said: “At 1Energy, our mission is to decarbonise heat — one of the toughest challenges in reaching net zero. The Milton Keynes Energy Network is a vital step in that journey, delivering efficient, low-carbon heating infrastructure that cuts emissions, improves energy security and supports public services like the NHS. It’s also an example of how we can repurpose waste heat into community value, powering a cleaner, healthier and more sustainable future.”