Households have installed a record number of heat pumps with 39,268 put into people’s homes last year.
The figure beats the previous high set in 2022 with an increase of nearly 20 per cent, figures from the MCS Foundation – which certifies renewable products – showed.
David Cowdrey, director of external affairs at the MCS Foundation, said: “It is very encouraging to see the growth in all renewable energy, and particularly heat pumps.
“More households than ever are opting for these carbon-free and highly efficient heating systems that are zero emissions at point of use.”
Around 190,000 solar panels were installed on homes and businesses in 2023, the highest number since the Government cut subsidies in 2011 that meant people were paid for generating electricity on their roof.
Energy Secretary Claire Coutinho met with boiler manufacturers before Christmas following announcements they would increase prices of gas boilers by up to £120 to offset fines for missed heat pump sales targets.
Ms Coutinho is understood to have instructed officials in her department to have individual conversations with manufacturers about their figures.
A Department for Energy Security and Net Zero spokesman said: “We have looked into the figures from manufacturers and do not recognise their reason for imposing these costs onto hardworking families.
“Targets under the Clean Heat Market Mechanism are realistic and achievable, and manufacturers have failed to recognise they can carry over up to 35 per cent of their heat pump targets under the scheme into the subsequent year.
“We’ve also made it easier to get a heat pump by increasing the Boiler Upgrade Scheme grant by 50 per cent to £7,500 – tripling applications in the week after it was rolled out.”
Heat pump installations need to increase by more than 10-fold over the next four years if the Government is to meet its target of 600,000 a year by 2028, MCS Foundation figures suggested.
To meet the target of 600,000 by 2028, heat pump installations would have to increase by more than 10-fold over the next four years.
Mr Cowdrey added: “But while we can expect a continued upward trend in heat pump installations, thanks to the introduction of higher grants, we will still need additional policies to achieve the exponential growth that is required now.
“Such policies should include reducing electricity costs to encourage heat pump uptake while tackling fuel poverty.
“This could be achieved by moving social and environmental tariffs from electricity bills into general taxation, and would make running heat pumps substantially cheaper than a gas boiler.”
A spokeswoman for Vaillant manufacturer said: “There are multiple factors announced by the Government that will impact Vaillant. The Clean Heat Market Mechanism (CHMM) will be calculated based on MCS registered heat pumps, however the current process does not allow manufacturers the full visibility of how many heat pumps sold are MCS registered.
“In addition, there is a UK GAAP requirement to accrue for the fine in the year in which it is incurred rather than when it is paid. Given this, the changing market dynamics and push for heat pump installations generated by CHMM, we in the current circumstances are left with no option but to act.
“We communicated with our merchant partners in December that from January 1st 2024, Vaillant will pass on the cost of this mechanism on all boiler sales under 70kW.”
