MCS: 2024 To Be 'Record-Breaking' For Heat Pump Installations

There were 26,797 heat pump installations in first six months of 2024
There have been 81,000 solar panel installations so far in 2024
Battery storage installations have reached almost 8,000 in 2024

Boiler Upgrade Scheme grants of up to £7,500 are helping heat pump uptake

This year is set to be a record-breaking year for heat pump installations, with a 45% increase from the first six months of 2023, at 26,797 installations from January to June 2024, new data from the Microgeneration Certification Scheme (MCS) has found.

Predictions from the International Energy Agency (IEA), suggest that heat pump sales will grow by more than 10% in 2024 alone.

Charlotte Lee, Chief Executive at the Heat Pump Association, said: “It is fantastic to see the continuing growth in heat pump installations within the UK, underscoring the progress and commitment from the sector in supporting the decarbonisation of heat.

“Clarity and confidence from the new Labour Government on the direction of travel for the electrification of heat will be crucial to continue the momentum and ensure we stay on track for a record year.”

The installation of heat pumps is facilitated by the recently-updated Boiler Upgrade Scheme (BUS), which provides up to £7,500 for those looking to install a heat pump. Eligibility is determined by two criteria – owning the property you’re applying for and intent to replace a fossil fuel heating system.

In 2022, the global heat pump market was at an estimated £59.68bn, and it is expected to grow at a compounded annual growth rate of 9.3% from 2023 to 2030.

Ian Rippin, CEO at MCS, said: “As the decarbonisation of UK homes gathers pace, it’s vital that homeowner confidence in renewables continues to grow alongside that to sustain demand.”

As well as a successful year for heat pumps, the number of solar panel installations this year has taken the total number of installations in the UK past the 1.5 million mark. The successful growth of battery storage installations has been attributed to the Battery Storage Installation Standard, introduced in 2021.

Chris Hewett, CEO at Solar Energy UK and guest on episode three of the Positive Energy podcast, said: “I am glad that consumer demand for solar energy has remained both substantial and stable over the first half of the year, buoyed both by high energy bills and undoubtedly by environmental concerns too.

“This should provide installers with the confidence to invest in their staff, particularly in recruiting the new people we need to grow the sector.”

Solar panels have also experienced an increase, with 81,000 installed so far in 2024 and 7,900 battery storage installations, a record six months, marking a significant turning point in the clean energy transition and the 2050 net zero target.

“We have reached the milestone of 1.5 million MCS-scale solar installations this spring, which we should celebrate, not to mention battery storage systems, the natural partner to solar PV, hitting a new record last month. It’s safe to say that now is something of a golden era for smaller-scale sustainable energy.”

The launch of Great British Energy by the new Labour government and target to use 100% clean energy by 2030 has also inspired a new lease of life in the sustainable energy movement.

Rippin continued: “High-quality installations are key to this because we want everyone to enjoy the benefits of home-grown energy, so it’s fantastic to see these record numbers for certified installations.

“We also know that alongside consumer trust in the effectiveness of renewable technology, ongoing government support can make a significant difference in helping to make the transition.

“It is no coincidence that the record number of certified heat pump installations has coincided with a record number of BUS applications in 2024, which is ensuring more homeowners have access to low-carbon technology. It’s something that we hope the government will continue to support as home-grown energy becomes more mainstream in UK homes.”