MPs warn electricity prices must be "fair" to boost heat pump uptake


With snow landing across the UK this week and temperatures plunging, central heating has certainly been necessary. But how we heat our homes looks set to change in the next 10 or 20 years. The government believes that heat pumps will be the main home heating technology of the future. And rightly so.

Heat pumps are much more efficient than gas boilers, meaning they can heat your home to the same level as a boiler but using three times less energy. 

They last up to twice as long. Whereas a gas boiler works for an average of 12 years, heat pumps now last between 20 and 25 years.

And they can use the abundant renewable electricity that the UK is a world leader in, rather than costly and polluting gas from abroad.

It is true that the upfront cost is currently more than a gas boiler, but the sticker price is coming down and the government is working with industry to speed this up through two key initiatives.

First, there are generous grants available, which cut the price of a new heat pump by £7,500 for households. As a result, heat pumps can now beat gas boilers on price.

And secondly, there are new targets that heating firms have to hit, to ramp up their sales of heat pumps. With greater supply and choice between models for consumers, the costs of heat pumps will come down. 

Boiler firms only need to shift 4% of the sales to heat pumps to hit their targets for next year. That should be easily achievable when you consider that consumer demand for heat pumps tripled following the increase in the grant last year and total sales grew by 20%.

But disappointingly, some companies have decided to increase the cost of new gas boilers, pre-empting a possible fine for not meeting the targets. Blaming heat pump targets before they have even come into force is completely unfair to consumers, as Energy Security Secretary Claire Coutinho has rightly said.

That doesn’t mean consumers don’t need more support to switch to heat pumps. The government should make electricity cheaper by taking some of the levies off bills that fund historic renewables projects. We should be encouraging, not punishing, those who are utilising clean electricity. Ministers should publish a plan on how to do this in a way that is fair for all bill payers. 

Heat pumps are necessary to stop climate change, but are also the smart, energy-saving choice for consumers. The government must hold steady, provide extra support for electricity bill-payers, and continue the rollout of heat pumps.

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