Heat pumps can significantly reduce a property’s energy demand – and it is now becoming much easier to install them
UK homeowners are being advised of a new rule change that could help them save up to £533 a year on their energy bills. Record numbers of households are now choosing to install heat pumps in their homes as an alternative to gas boilers.
Data from the Microgeneration Certification Scheme (MCS) revealed there were almost 60,000 certified installations of heat pumps in 2024, which is 43 percent higher than in 2023.
Heat pumps are highly efficient electric appliances that transfer heat from the outside air or ground into a property. They significantly reduce a home’s energy demand and produce around three units of heat for every unit of electricity they use.
In a bid to cut greenhouse gas emissions from home heating appliances, the previous government set a target of 600,000 heat pump installations a year by 2028.
Ecofurb, a home energy efficiency service, has now revealed that current Labour government has made it significantly easier for homeowners to switch from a gas boiler to a heat pump thanks to changes announced as part of its Warm Homes Plan.
Under the new rules, heat pumps no longer need to be installed at least one metre from a property boundary, larger air source heat pumps are allowed under permitted development, and homeowners can even opt for an air-to-air heat pump.
These changes mean most homeowners don’t need to wait for local council approval before installing a heat pump – removing a significant barrier.
The replacement of old gas boilers, room heaters, electric boilers, and storage heaters offer the biggest savings. The installation of a heat pump will save households with old gas boilers or storage heaters around £533, according to Cotality.
Even replacing an A-rated gas boiler with a well-installed heat pump saves about £194 per year.
Whilst extremely well-insulated homes are much less likely to benefit significantly, better-insulated homes will have lower bills.
Russell, the MD and co-founder of Ecofurb, explains: “There are many ways we can make our home more energy efficient by retrofitting. These range from ways to reduce the need for energy, to creating energy from other sources.
“This can include heat pumps which either extract heat from the outside air (air source) or from the ground (ground source). Both options use electricity to run, but their heat output can be around four times its electricity input, making them a highly efficient solution.
“The main benefits of installing a heat pump are they are between 300-400 percent efficient and will save money for most homes, particularly when taking into account any changes in electricity prices versus gas prices.
“They will also significantly reduce carbon emissions, which can be brought to near-zero if the electricity is from a renewable source. However, space for underfloor heating or large radiators, and a hot water tank will be needed.
“Many spaces are already suitable or can easily be made appropriate for installing an air source heat pump and they require less maintenance work than the average gas boiler.”
Russell continued: “Energy-efficient homes are set to become the new must-have in the UK property market. Buyers won’t just be looking for a stylish kitchen or spacious garden anymore – increasingly they want homes that are future-proofed against rising energy bills and climate change.
“Retrofitting also makes the home more comfortable and healthier to live in all year round. It not only helps to make houses warmer in winter, but it also keeps them cool during the summer months – something which is vital as the current UK housing stock is not designed for our rising temperatures.
“Lastly, but also crucially, retrofitting is a much-needed solution that will help the UK to achieve net zero by reducing the carbon footprint of our homes to make them sustainable and resilient for the future. No matter your property type – whether it’s a flat or a listed period property, there are retrofit options for everyone.”
There is currently a boiler upgrade scheme in place in England and Wales, where households can take advantage of a £7500 grant and install a heat pump for less than the average cost of a gas boiler.