NEWS EXTRA


UK HEAT PUMP SALES REACH RECORD HIGH IN 2025


N


ew data published by the Heat Pump Association UK shows that heat pump sales reached another record high in 2025, with


over 125,000 units sold in the UK, a 27% increase on the previous year This marks another year of sustained growth


for the sector, with 36% of heat pump sales being manufactured in the UK. Breaking down the HPA UK factory gate sales data


further, key highlights include: ¡ 125,037 total heat pump sales, including 110,353 hydronic heat pump sales in 2025 ¡ A 27% increase compared to 2024 sales ¡ All types of heat pumps saw a steady increase in sales when comparing 2025 to 2024, with a 26% rise in Air to Water Monobloc heat pumps, a 32% increase in Ground and Water source heat pumps and 36% increase in Domestic Hot Water heat pump sales ¡ The number of heat pumps sold in the UK that were manufactured in the UK increased by 38% in 2025 relative to 2024 Whilst this growth is very positive, the rate of


growth has slowed compared to the 56% surge recorded in 2024. To achieve 450,000 heat pumps installed per year by 2030, in line with the target set out in the Warm Homes Plan, the market would need to see 33% compound growth in heat pump sales year on year. Our latest analysis shows that the economic opportunity associated with accelerating the deployment of hydronic heat pumps in line with the Carbon Budget Growth and Delivery Plan could


increase UK gross value added by £14 billion over the course of the decade and contribute to a potential 62% reduction in the reliance on imported gas by 2035.


Commenting on the data, Charlotte


Lee, HPA UK, Chief Executive, said: “Following the publication of the Warm Homes Plan, it’s evident that heat pumps remain a pivotal technology to decarbonise heat in the UK. The continued growth of the UK heat pump market is extremely positive, but to meet the Government’s target of 450,000 heat pump installations annually by 2030, momentum must be maintained.


The sector eagerly awaits the


publication of the Future Homes and Building Standard Regulations and calls on the Government to urgently publish a consultation which sets out options to reduce the price of electricity relative to gas. Both are needed to provide the sector with confidence that the main barriers to accelerate heat pump deployment are being unlocked.” Paul Kenny, director general of the European Heat Pump Association, commented: ‘The growth in UK heat pump sales is testament to the steady policy support from the government in recent years, a link that also clearly plays out across EU markets. This positive trend will be consolidated by the UK’s new Warm Homes Plan. Its comprehensive mixed


package of regulatory actions and long term funding of subsidies can serve as inspiration to EU markets looking to grow their heat pump sectors and reap the benefits in terms of competitiveness and domestic production. However, as in much of Europe, the ratio of tax on electricity to gas remains an issue in the UK and must be addressed to ensure heat pumps large and small are the most cost efficient choice for end users.’ With the Warm Homes Plan reaffirming the


Government’s commitment to heat pumps, HPA UK is calling for urgent action to unlock further growth.


£22.5BN economic opportunity if UK accelerates heat decarbonisation


The Heat Pump Association UK (HPA UK) has published new analysis showing that the transition to low carbon residential heating represents a significant economic, employment and energy security opportunity. The report, From Carbon to Competitiveness: The UK Opportunity Associated with Decarbonising Residential Heating, models the impact of accelerating the deployment of decarbonised heating in line with the ambition set out in the Government’s Carbon Budget and Growth Delivery Plan for 2025-2035. It finds that electrifying home heating, primarily through hydronic heat pumps, could increase total Gross Value Added (GVA) from residential heating from £12.2 billion today to


£22.5billion by 2035, an 85% rise from 2025. Key findings include: ¡ Heat pump manufacturing, installation and use was already worth £1.0 billion to the UK economy in 2025,with the opportunity to rise to £15.0 billion by 2035. ¡ Heat pump related employment could grow by over 110,000 full- time equivalent jobs by 2035, accounting for 82% of jobs in the residential heating sector. ¡ UK manufacturing could expand by between 15-fold and 27-fold by 2035, with further potential


through exports. ¡ Gas demand could fall by 63 TWh between 2025 and 2035, saving enough energy to run the London Underground for 75 years. ¡ Public health benefits are evident, including a projected 6% reduction in overall UK air pollution by 2035 as fossil fuel boiler numbers decline.


¡ Carbon abatement from the rollout of heat pumps could reach 17 MtCO2e annually by 2035, equivalent to 20 million passenger flights from London to New York.


8 March 2026


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