The National Audit Office highlights significant challenges in the UK’s effort to adopt electric heat pumps for residential heating, including high costs and low consumer awareness, despite government investment aiming for net-zero emissions by 2050.
The National Audit Office (NAO) has reported a stagnation in the UK’s efforts to decarbonise residential heating through increased installations of electric heat pumps, identifying high installation costs, policy uncertainties, and low consumer awareness as core obstacles. The move towards renewable heat sources, such as heat pumps, is integral to the UK’s ambition to achieve net-zero carbon dioxide emissions by 2050, considering home boilers contribute to approximately 18% of the nation’s CO₂ emissions. Despite heat pumps being more efficient and environmentally friendly, their adoption is lagging due to their cost, which is currently four times higher than that of traditional gas boilers.
Confronting these issues, the UK Government has announced a £75 million investment to enhance energy efficiency in social housing, a part of the broader Social Housing Decarbonisation Fund exceeding £1 billion since 2019. The goal is to retrofit around 100,000 households by September 2025, focusing on installing heat pumps, double glazing, and insulation to help low-income households save up to £400 annually on energy bills. This initiative aims to generate over 1,300 jobs and leverages co-funding from councils and housing associations to elevate total investment to more than £200 million.
The NAO’s findings stress the necessity for the government to better educate the public about the benefits of heat pumps and the critical role they play in tackling climate change. Despite a 6% reduction in heat pump prices since 2021, only 55,000 units were sold in 2022, significantly lower than the 600,000 annual target set for 2028. The reports suggest an urgent need for the government to address affordability, enhance public understanding, and clarify the potential role of hydrogen in heating.
Furthermore, industry critics have highlighted the consequences of the government’s delayed decisions and unclear stance on alternative heating solutions like hydrogen, which has undermined investments in heat pump technology and impacted consumer prices. While the government has increased grants for heat pump installations and launched campaigns to promote energy efficiency, there are calls for more decisive actions and strategies to ensure the widespread adoption of low-carbon heating and meet the country’s climate goals.
