Overview

• The UK government has launched a consultation to expand its £7,500 Boiler Upgrade Scheme to include air-to-air heat pumps and heat batteries.
• Proposals include pay-monthly leasing and installment payment options to reduce the high upfront costs of heat pump installation, which can exceed £10,000.
• March 2025 saw a record 4,028 applications for heat pump grants, an 88% year-on-year increase, highlighting growing interest despite barriers to adoption.
• Plans to train 18,000 additional home retrofitters and invest £4.6 million in compressor manufacturing aim to address workforce and supply chain challenges.
• Heat pumps, essential to achieving the UK’s net-zero goals, are promoted as a cost-effective and environmentally friendly alternative to gas boilers.