Heat pump demand surges as Boiler Upgrade Scheme applications almost double
Heat pump applications were up 93% annually in April and the rise is expected to continue
Demand for heat pumps is skyrocketing as applications to the government's Boiler Upgrade Scheme have nearly doubled, Ofgem has revealed.
Applications were up 93% in April 2024 compared to figures this time last year, with the energy-efficient heating solution becoming more popular than ever.
We look at why ground and air source heat pump figures are rising and whether this trend is set to continue.
Heat pump applications rose by 93% annually in April
In April 2024, heat pump applications rose by 93% year-on-year as Ofgem revealed that more than 40,000 applications have been made.
The Boiler Upgrade Scheme's two-year anniversary on 23 May 2024, marks a milestone, with more families in England and Wales benefiting from the low-carbon heating solution. Additionally, monthly applications between November and April averaged 2,136, up 49% from the previous period.
Claire Coutinho, Secretary of State for Energy Security and Net Zero, said: "The latest numbers from our Boiler Upgrade Scheme show that for more and more families, the switch to a heat pump is starting to make financial sense."
Minister for Energy Efficiency and Green Finance Lord Callanan said: "A 93% increase in applications year-on-year in April shows our decision to increase grants for heat pumps was the right one, making it easier for households to switch to cleaner heating.
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"Heat pumps are three times more efficient than gas boilers and more and more people are enjoying the benefits, without large upfront costs."
Government supporting heat pump installations
Heat pumps are becoming more affordable with the Boiler Upgrade Scheme offering £7,500 towards the cost of a heat pump.
Since the scheme's introduction over £148million has been distributed for heat pump installations.
A £5million Heat Training Grant is supporting training for heat pump installers, with around 3,000 professionals trained since July 2023 and 10,000 more opportunities by April 2025.
Cheaper electricity tariffs have also been introduced as well as greater permitted development rights for heat pumps to allow for easier installations.
Claire Coutinho said: "Our plan is to give families a helping hand, rather than forcing them to make expensive changes before they are ready.
"Applications in April have doubled year-on-year, meaning more families are saving money."
Industry innovations driving heat pump adoption
The heat pump market has been entered by most heating suppliers, which has driven innovation in the sector.
Leading energy companies, such as Octopus Energy and British Gas, are now offering complete heat pump installations such as with the Cosy Octopus scheme or the ECO4 scheme, making them more viable to more households.
The heat pump industry is seeing rapid innovation with the development of smaller, hybrid, and high-temperature heat pumps.
It is predicted that heat pump applications will continue to rise, although it remains to be seen whether the government will meet its target of 600,000 installations per year by 2028.
News Editor Joseph has previously written for Today’s Media and Chambers & Partners, focusing on news for conveyancers and industry professionals. Joseph has just started his own self build project, building his own home on his family’s farm with planning permission for a timber frame, three-bedroom house in a one-acre field. The foundation work has already begun and he hopes to have the home built in the next year. Prior to this he renovated his family's home as well as doing several DIY projects, including installing a shower, building sheds, and livestock fences and shelters for the farm’s animals. Outside of homebuilding, Joseph loves rugby and has written for Rugby World, the world’s largest rugby magazine.