Report claims heat pump savings are unfounded
27th January 2026
UK: A new survey by a green energy company has found that 85% of heat pump owners have not experienced a reduction in energy bills.
The independent Censuswide survey of more than 1,000 heat pump owners also found that nearly 70% of owners reported that their heating costs had actually gone up.
The survey was commissioned by Ecotricity, a company dedicated to supplying green electricity and carbon-neutral green gas to homes and businesses.
The report insists that heat pumps typically deliver much lower real-world performance than their designer’s claim. And, because electricity remains far more expensive than gas, it maintains that running an air-source heat pump currently costs around 24% more than heating a home with a modern gas boiler.
Upfront costs are an even bigger barrier. Ignoring subsidies, the average cost of replacing a gas boiler with an air source heat pump — including necessary changes to the heating system — is around four times higher than fitting a new gas boiler.
The findings also underline that heat pumps work best only in well-insulated homes with low heat demand. Around six million homes in Britain will never be suitable for a heat pump.
The report does recognise, however, a clear upside on carbon. Air source heat pumps can cut emissions by around 70% compared with a modern gas boiler, with ground-source systems delivering even higher savings. But the report notes that the embodied carbon from home upgrades and grid reinforcement must be included to understand the full climate impact.
Ecotricity’s founder Dale Vince OBE said: “I’m an environmentalist — I’ve used heat pumps for nearly 20 years — but I’m also a realist. I know what heat pumps can and can’t do, and they are not a national solution.
“Because electricity costs four times as much as gas, heat pumps need to deliver a COP of 4 for heating bills to remain the same — no savings, but no increased cost either. And while many manufacturers claim figures like this, in the real world performance is far lower. The average COP of all heat pumps in use in Britain today is less than 3. At that level of performance, heating bills rise by around one third,” he said.
Vince insists that heat pumps can cut carbon — but it comes at a cost. “Our research shows that, in the real world, heat pumps mean higher bills, high upfront costs, and around six million homes that can never have one.”
“Heat pumps have a role to play — in modern, well-insulated homes and for people who can afford them — but we need honesty in this debate and a practical approach. Replacing gas in home heating is a big challenge. For that, we need a joined-up plan. A heat pump in every home is simply not possible — or desirable. So we need a Plan B.”
The report – Cold Hard Facts About Heat Pumps – is available for download here.
