5 UK policies that drive the transition to heat pumps


The heat pump market is heating up

Heating and cooling account for a significant share of our worlds’ carbon emissions. To reach carbon neutrality by 2050, the EU has spawned a range of bold policies all over Europe. Among these, the EU Green Recovery package is pushing for an increasingly efficient building stock across Europe. 

As part of these ambitions, EU leaders came together in July 2020 to facilitate a more carbon-neutral building stock and designed a €1.8 trillion package – of which 30% will be made available for the “Green Transition”.  This proposal aims to increase building renovation rates by at least double to meet decarbonisation targets.

Yet, so far, the road to decarbonising the HVAC industry has been going slow. A 2020 report by Delta EE*, a leading European research and consultancy, found that the share of fossil fuels in the overall energy consumption for heat has decreased by only a few per cent over the last decade.  

There are still over 100M fossil fuel boilers in European homes today, compared to only 15M heat pumps, which present a successful low-carbon alternative to date. At this rate, it would take more than 200 years for the remaining fossil boilers in Europe to be replaced by lower-carbon alternatives.

To achieve carbon neutrality by 2050, replacement rates of our heating systems need to increase six-fold from where they are today. 

It’s time for boiler and heat pump manufacturers to make an impact and facilitate low-carbon heating solutions. 

The whitepaper looks at the five key policy instruments implemented by the UK and unfolds their implication for the future of HVAC installations on a global scale. It will discuss the major trends of our industry and guide OEMs on how they can get ready to align with tomorrow’s policies. 

5 key instruments that support the transition to heat pumps

  1. Phasing out the installation of new fossil fuel boilers
  2.  Heat pump subsidy schemes
  3. Balancing energy prices 
  4. Funding for R&D to drive down costs of heat pumps
  5. Market-based incentives on manufacturers 

Download the whitepaper below to find out more.