The latest data from MCS (Microgeneration Certification Scheme) shows that 2024 is on track to see more heat pumps installed in the UK than ever before.
In the first six months of the year there have been 27,000 certified heat pump installations in the UK, which is 45% higher than the same period in 2023. This means that the total figure for 2024 is almost certain to be higher than any previous years.
Charlotte Lee, Chief Executive of Heat Pump Association, said:
It is fantastic to see the continuing growth in heat pump installations within the UK, underscoring the progress and commitment from the sector in supporting the decarbonisation of heat. Clarity and confidence from the new Labour government on the direction of travel for the electrification of heat will be crucial to continue the momentum and ensure we stay on track for a record year.
The monthly government data on the Boiler Upgrade Scheme has also been published, showing a 81% increase in applications in June 2024, compared to June 2023.
Daniel Särefjord, Aira UK CEO, commented on this news:
It’s encouraging to see an 81% year-on-year increase in BUS applications, as many look to switch to cleaner and more affordable heating solutions. At Aira, we aim to make clean energy-tech more accessible and affordable with monthly payment plans to remove the barrier of high upfront costs, and offer new clean energy tariffs to save customers hundreds of pounds more on their annual energy bills.
Despite our best efforts, we need the new Labour government to help us secure a fairer deal for the heat pump industry. There are growing calls for the cost of electricity to be brought in line with some of our European neighbours, such as those in Scandinavia, and for unnecessary planning red tape, which has become a bureaucratic burden for businesses and the local authorities, to be removed. In the coming weeks, there are many opportunities for the government to positively impact our sector and move us closer to achieving the country’s national net zero targets – we call for action and eagerly await their next steps.
There was a small dip in June’s heat pump applications, likely a seasonal adjustment, but year on year there has been tremendous growth. It is a sign that the journey towards home electrification is gathering pace as households look to invest in low carbon heating.Heat pumps are becoming established as the long-term, economically rational decision. As more old and inefficient boilers reach end-of-life, we’ll see even more households motivated to make the change.Measures that make the switch to renewable energy sources more appealing and financially viable seem to be helping. Recent changes to the boiler upgrade scheme, such as increasing the heat pump grant to £7500 and removing mandatory insulation requirements, are reducing the initial outlay for households.However, maintaining momentum may still prove challenging. It’s likely more is needed to educate households about the long-term benefits of switching and to reassure the public that there is a robust industry waiting to meet demand and create additional jobs for low carbon heating.
Solar and storage
The MCS data also reveals more than 80,000 homes have had certified solar panels installed so far in 2024, having surpassed the 1.5 million installations mark earlier this year. Battery storage installations, meanwhile, have reached almost 8,000 certified installations in 2024, which is already more than any previous year with six months still to go.
Chris Hewett, CEO at Solar Energy UK, said:
I am glad that consumer demand for solar energy has remained both substantial and stable over the first half of the year, buoyed both by high energy bills and undoubtedly by environmental concerns too. This should provide installers with the confidence to invest in their staff, particularly in recruiting the new people we need to grow the sector.
We should also celebrate reaching the milestone of 1.5 million MCS-scale solar installations this spring, not to mention battery storage systems, the natural partner to solar PV, hitting a new record last month. It’s safe to say that now is something of a golden era for smaller-scale sustainable energy.
Ian Rippin, CEO at MCS, said:
As the decarbonisation of UK homes gathers pace, it’s vital that homeowner confidence in renewables continues to grow alongside that to sustain demand. High-quality installations are key to this because we want everyone to enjoy the benefits of home-grown energy, so it’s fantastic to see these record numbers for certified installations.
We also know that alongside consumer trust in the effectiveness of renewable technology, ongoing government support can make a significant difference in helping to make the transition. The recently published Heat Strategy for Wales highlights a clear commitment to heat pumps, and initiatives such as the Boiler Upgrade Scheme (BUS) – which provides up to £7,500 towards the installation of a heat pump – are crucial in providing support to consumers. It is no coincidence that the record number of certified heat pump installations has coincided with a record number of BUS applications in 2024, which is ensuring more homeowners have access to low-carbon technology. It’s something that we hope the government will continue to support as home-grown energy becomes more mainstream in UK homes.
For near-real-time updates on renewable installations, you can sign up for free to The MCS Data Dashboard here.
