UK's revised planning permission regulations stimulate heat pump purchases

UK's revised planning permission regulations stimulate heat pump purchases

UK's Heat Pump Industry on Track for 2028 Target

The UK's heat pump industry is experiencing rapid growth, with a strong momentum towards the government’s 2028 target of 600,000 annual heat pump installations. In 2024, total heat pump sales reached nearly 100,000 units, and early data for 2025 indicates this number is being surpassed again.

Key trends and figures include:

• Boiler Upgrade Scheme (BUS) applications have surged by 54% year-on-year in the first half of 2025, reflecting increased consumer uptake and confidence.
• Monthly BUS applications rose steadily through 2025, with June seeing 3,715 applications compared to 2,687 in June 2024, largely helped by the removal of planning permission requirements for most heat pump installations near property boundaries, speeding up installations and reducing delays.
• From January to June 2025, there were around 30,000 certified heat pump installations, marking a 12% increase over the first half of 2024, per Microgeneration Certification Scheme (MCS) data.
• Heat pumps accounted for about 28% of all renewable installations in new build properties during this period, with nearly 50,000 renewables (including heat pumps) installed in new builds; this share is growing as the Future Homes Standard mandates low-carbon heating and solar panels for new homes starting in 2027.
• Government grants, such as a £7,500 Boiler Upgrade Scheme grant for replacing boilers with heat pumps, continue to lower financial barriers and stimulate uptake, with approximately 75% of heat pump installs receiving government support in early 2025.

These factors—rising grant applications, supportive policy changes (especially the easing of planning restrictions), increased installations in new builds, and robust government incentives—are driving the UK on a strong trajectory to meet or exceed the 600,000 annual heat pump installations target by 2028.

Chris Collinson, CEO of Aira UK, stated that the current trends suggest meeting the 2028 heat pump installation goal is within reach. He also highlighted the need for reforms to taxes on electricity to further increase heat pump adoption and cost savings for consumers. Many in the industry argue that shifting green levies away from electricity bills and onto fossil fuels would help make low-carbon heating more affordable.

The UK’s heat pump sector is projected to grow at an average annual rate of around 50% to meet the target of 600,000 annual installations by 2028. The removal of planning permission requirements for most heat pump installations has sped up approvals and made it easier for households to switch to cleaner heating systems.

While heat pumps are more efficient, they are often more expensive to operate than gas boilers due to electricity costs. Industry voices say there is more to be done to speed up adoption and bring costs down for consumers. Campaigners and businesses are urging the government to back the next phase of reforms to keep the UK on track for its 2028 heat pump installation target.

For expert advice, how-to guides, and design inspiration for homebuilding and renovating projects, including the installation of heat pumps, the Homebuilding & Renovating Newsletter offers valuable resources. The heat pump industry is one of the fastest-growing and most dynamic sectors, with the potential to create jobs and contribute significantly to the UK’s carbon reduction goals.

1. The UK's heat pump industry is on a strong trajectory to meet or exceed the target of 600,000 annual installations by 2028, due to rising grant applications, supportive policy changes, increased installations in new builds, and robust government incentives.
2. In 2025, total heat pump sales reached nearly 100,000 units, and this number is being surpassed again, reflecting the industry's rapid growth.
3. Chris Collinson, CEO of Aira UK, stated that meeting the 2028 heat pump installation goal is within reach, but also highlighted the need for reforms to taxes on electricity to further increase heat pump adoption and cost savings for consumers.
4. The UK’s heat pump sector is projected to grow at an average annual rate of around 50% to meet the 2028 target, with the removal of planning permission requirements for most heat pump installations helping to speed up approvals.
5. Heat pumps are more efficient, but they are often more expensive to operate than gas boilers due to electricity costs, and there is more to be done to bring these costs down for consumers.
6. Government grants, such as the £7,500 Boiler Upgrade Scheme grant, continue to lower financial barriers and stimulate uptake, with approximately 75% of heat pump installs receiving government support.
7. The Boiler Upgrade Scheme (BUS) applications have surged by 54% year-on-year in the first half of 2025, reflecting increased consumer uptake and confidence.
8. From January to June 2025, there were around 30,000 certified heat pump installations, marking a 12% increase over the first half of 2024, according to Microgeneration Certification Scheme (MCS) data.
9. The UK heat pump industry's growth is significant, as the sector has the potential to create jobs and contribute significantly to the UK’s carbon reduction goals, and for expert advice, how-to guides, and design inspiration for homebuilding and renovating projects, consult the Homebuilding & Renovating Newsletter.

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