Increase in Submissions for the Boiler Upgrade Program Persists
UK Makes Progress Towards Heat Pump Target, but Challenges Remain
The UK government has reported a significant increase in the adoption of heat pumps, with the Boiler Upgrade Scheme (BUS) receiving 2,687 applications for a grant of £7,500 in a year-on-year comparison. However, the country still faces challenges in meeting its target of installing 600,000 heat pumps annually by 2028.
The primary obstacles include an installation rate gap, skills shortages, the scale of legacy systems, and planning and approval delays. Only around 30,000 heat pumps were installed in the first six months of 2025, which is far below the 600,000 annual target, making the pace about 90% short of the government’s ambition.
Despite these challenges, accelerated government grants, regulatory reforms, and skills training programs are key solutions driving growth towards meeting the goal. The Boiler Upgrade Scheme grants have significantly increased uptake, with applications rising 54% year-on-year in early 2025. Planning permission reform has also reduced approval times and boosted installations.
Industry leaders estimate the UK must sustain around a 50% annual growth rate in heat pump installations, which current trends suggest could be achievable. Training initiatives, such as the UK’s first heat pump installer apprenticeship, aim to close skill gaps, expanding installer capacity.
However, maintaining this rapid growth and overcoming skills shortages remain critical challenges. The National Audit Office has called for a broad rethink about scaling-up the installation of lower carbon heating systems. Gail Parker, low carbon homes director for British Gas Zero, expressed excitement over households choosing sustainable heating options but noted the challenge of bringing heat pumps further into consideration for homeowners planning to upgrade their heating system over the summer months.
Daniel Särefjord, CEO of Aira UK, has expressed concerns about the current government's efforts towards heat pump targets and called on the next government to help secure a fairer deal for the heat pump industry. Aira UK aims to make clean energy-tech more accessible and affordable through monthly payment plans and new clean energy tariffs.
The revisions to the Boiler Upgrade Scheme, announced in March, include offering biomass boilers with an integrated function for providing heat for cooking. Parker noted that the recent amendments to the Boiler Upgrade Scheme could have contributed to the increased interest in heat pumps.
The National Infrastructure Commission has warned that the UK government is off-track in stimulating market demand for heat pumps. Application numbers in June fell by 10% compared to May, when 2,986 applications were received. Särefjord has remarked that many are looking to switch to cleaner and more affordable heating solutions, citing an 81% year-on-year increase in BUS applications.
In conclusion, while the UK is making progress towards its heat pump target, maintaining this rapid growth and overcoming skills shortages remain critical challenges. The government, industry, and training initiatives are working together to address these issues and enable the UK to reach its goal of 600,000 heat pump installations per year by 2028.
- To reach the target of 600,000 heat pump installations per year by 2028, the UK government and industry must focus on overcoming skills shortages and maintaining the current growth rate.
- Accelerated government grants, regulatory reforms, and skills training programs, like the UK’s first heat pump installer apprenticeship, are crucial in driving growth in the renewable-energy sector and meeting the heat pump target.
- Financial institutions and environmental-science experts should collaborate in providing affordable financing options for heat pump installations to reduce the financial burden on homeowners and encourage the adoption of such solutions for climate-change mitigation.
