(Heat) pump it up: How can we drive a policy shift to boost uptake for heat pumps across the UK?
The UK heat pump sector is at a pivotal moment. With the government’s push to achieve net-zero by 2050, heat pumps are an essential technology for decarbonising heat pumps still represent under 1% of UK heating systems.
To meet the government’s target of 600,000 installations per year by 2028, policies like the Clean Heat Market Mechanism (CHMM) and Clean Heat Training Grant must be leveraged to boost uptake, while consumer education and upskilling initiatives need to scale up to address barriers.
State of the sector
Heat pump installations rose by over 60% in 2024, driven by policies like the Boiler Upgrade Scheme, offering grants of up to £7,500, and the CHMM, which incentivises manufacturers to shift from fossil fuel boilers to heat pumps by setting sales targets. However, high upfront costs, poorly insulated homes, and a shortage of skilled installers are hindering installation rates. Meanwhile consumer misconceptions around noise and r performance in cold weather, have dampened public enthusiasm.
Barriers to adoption
Meanwhile, upfront costs remain a significant obstacle, even with grants, and running costs for heat pumps are also often high in inefficient homes or those without optimised electricity tariffs. The CHMM aims to drive down these costs by increasing market competition, but its impact is still unfolding as political backing for the policy ebbs and flows.
Critically, the UK also faces a severe installer shortage, with fewer than 11,000 certified professionals against a projected need for almost 30,000 by 2028, according to the Heat Pump Association. This gap threatens to stall the sector’s growth unless addressed urgently.
Strategies to boost uptake
To accelerate adoption, the following measures are essential:
Strengthening financial incentives
The Boiler Upgrade Scheme and CHMM must be complemented by low-interest loans or VAT reductions to make heat pumps more affordable. The CHMM’s push for manufacturers to prioritise heat pumps could lower costs over time, but immediate subsidies are needed to bridge the gap, or the additional costs will continue to be passed onto consumers. Dynamic tariffs rewarding off-peak electricity use could also further reduce running costs.
Upskilling the workforce
Expanding the installer base is non-negotiable. The Clean Heat Training Grant, which funds training for heat pump installation, is a vital tool for achieving this. By covering up to 75% of training costs (capped at £500), it encourages gas engineers to upskill. However, the program must be scaled up with increased funding and fast-track courses. Partnerships between government, industry, educators and colleges can create regional training hubs, while tax breaks for upskilled installers could accelerate uptake to ensure the workforce supply matches demand.
Infrastructure improvements
Retrofitting homes with better insulation and upgrading electricity grids are critical to maximise heat pump efficiency. Government-backed retrofit programs, prioritising low-income households, can ensure equitable access to low-carbon heating, while planning reforms can ease barriers to installation. This autumn’s publication of the revised Future Homes Standard, set to mandate heat pump installation in all new builds from 2027, offers a perfect opportunity for further progress to be made.
The path forward
The UK heat pump sector is poised for growth, but its success hinges on leveraging policies like the Boiler Upgrade Scheme, CHMM and Clean Heat Training Grant. By reducing consumer costs, prioritising upskilling through expanded training programs, and improving home efficiency, the Government can drive adoption of this crucial technology for achieving net zero. With these efforts, heat pumps can become the default nation-wide heating solution, aligning the UK with its net zero goals while delivering sustainable savings for households in the green economy.