Heat pump push should also target all-electric
13th October 2025
UK: The Energy and Utilities Alliance (EUA) has called for UK heat pump subsidies to be better targeted to boost overall sale numbers.
According to the EUA, replacing direct electric heating systems with a heat pump is a sensible approach to boost heat pump sales, as it secures energy bill savings for the consumer, as well as lower carbon emissions.
“We are pushing consumers to switch to heat pumps but in doing so, if they currently use gas, we are expecting them to pay more to heat their home. Having spent £13,000, on average, to fit a heat pump then putting up your energy bills is not a great proposition,” said EUA CEO Mike Foster.
Energy bill data produced by the EUA, show the following average heating costs (excluding standing charges):
Direct electric (standard tariff) £2691 per year
Direct electric (E7 tariff) £1374 per year
Heat pump (standard tariff) £898 per year
Gas boiler (standard tariff) £688 per year
In terms of carbon emissions, it calculates direct electric heating at 1711kg, gas boilers at 1988kg and heat pumps at 611kg.
Commenting on the figures, Foster said: “The bill savings for a heat pump, compared to direct electric heating, are huge at nearly £1800 a year. Even if that electric heating uses night storage radiators and Economy 7, the savings are still worthwhile at £476 a year. Switching a gas boiler to a heat pump, however, will increase bills by over £200 a year.”
The EUA claims that with over two million UK homes currently heated solely by electricity, and with the BUS scheme showing only 6% of recipients are swapping direct electric heating for a heat pump, compared to 56% who used gas, there is real potential for growth.
“A heat pump is considerably more efficient than direct electric heating options, so there are considerable carbon savings to make as well as bill savings. This makes for a powerful double-whammy, compared to switching gas to a heat pump, which comes with a trade-off between carbon savings and higher bills,” Foster said.
