Demands for heat pumps have surged by over 30%
New figures show applications for the government heat pump grants have increased by 39% compared to this time last year.
In September 2023, Prime Minister Rishi Sunak announced plans to increase the heat pump grant which was originally introduced in 2021. When the grant was initially announced, the government revealed that the treasury would be providing £450m to the public to encourage households to install heat pumps.
However, since the Prime Minister increased the grant to £7,500 for each installation of an air source or ground/water source heat pump, applications have gone through the roof.
New figures, which were unveiled yesterday – 29th February 2024 – show there were over 2,000 applications for heat pumps in January 2024 – only exceeded by October and November last year.
Heat pumps are an energy efficient, low carbon way of heating homes. They work by moving heat from a cool space to a warm space by transferring thermal energy using a refrigeration cycle. In addition to being better for the environment, research suggests they also help homeowners save money on their heating bills. According to findings from Air Source Heat Pumps London, a standard heat pump can save the average three-bedroom household in the UK up to £1500.
The news of applications increasing follows recent government figures showing the UK is the first major economy to halve its emissions – having cut them by 50% between 1990 and 2022, while also growing the economy by 79%.
Claire Coutinho, energy security secretary, said: ‘I don’t want families to have to choose between cutting costs and cutting emissions. I want families to feel supported, not forced, to make changes that are right for them.
‘After we made out heat pump scheme one of the most generous in Europe, applications have soared by 40% year on year – showing our approach if the right one.’
The figures also revealed the average monthly number of applications from November 2023 to January 2024, the months after the grant increase, has been 39% higher than the monthly average before the uplift.
Up to the end of January, the scheme has now received 33,424 applications in total and has issued more than £133m in vouchers to customers.
‘It’s great to see interest in the Boiler Upgrade Scheme increasing, supporting the installation of over 20,200 heat pumps to date across England and Wales,’ said Charlotte Lee, chief executive of the Heat Pump Association. ‘The uplift in the grant value for air source and ground source heat pumps in October 2023 to £7,500 has been well received by both the sector and consumers and we hope this increasing interest will be a trend which continues forward as we move to decarbonise home heating in line with the government’s legally binding net zero targets.’
Image: Shutterstock
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