- UK heat pump installations hit a record high in 2024, rising by 52% due to increased government incentives.
- Despite progress, sales remain far below the target of 600,000 per year, with high electricity costs a major barrier.
- Future housing policies and lower running costs could drive further growth in heat pump adoption.
Government incentives push UK heat pump installations to new heights
The number of UK homes installing heat pumps with government support reached a record high last year. Installations rose by 52% compared to 2023, driven by increased financial incentives.
The government’s Boiler Upgrade Scheme (BUS) played a big role. It offers households a £7,500 grant to help cover installation costs. In response to rising demand, the scheme’s budget nearly doubled to £295 million for 2024-2025. A new awareness campaign has also been launched to encourage more families to switch.
Despite the increase in installations, sales are still far below government targets. The UK aims for 600,000 heat pumps per year by 2028, but fewer than 100,000 were sold in 2024. Experts warn that high electricity costs are a major barrier. Lowering these costs could make heat pumps a more attractive investment for households.
At the same time, electric vehicle (EV) adoption is also rising. Over 380,000 new EVs were registered in 2024, setting another record. Heat pumps and EVs come together to take full advantage of cleaner, cheaper energy. With the increase in both, we’re starting to see the true turn towards greener living.
Changes in planning rules and future housing policies could also boost the market. Many new homes will soon be required to have heat pumps. If running costs drop, demand will surge.
For now, government support remains crucial in helping more people make the switch.
