New figures from the Heat Pump Association (HPA) show that 32,920 of the 98,345 heat pumps sold in the UK in 2024 were manufactured domestically, accounting for a third of the total factory gate sales. This represents a 40% increase from 2023.

This growth highlights the increasing role of UK manufacturing in the clean heating transition. The government’s Clean Energy Industries Sector Plan, published in June this year, identifies heat pumps as a frontier industry and estimates that the heating and cooling sector could generate £4.8 billion annually by 2050, including £900 million from exports.

The Institute for Public Policy Research highlights that the UK’s established strengths in boiler and HVAC manufacturing provide a strong base for expanding heat pump production. Many of the same skills, supply chains and components are shared, offering potential to increase domestic capacity and create high-value jobs in the sector.

The HPA has welcomed measures such as the Heat Pump Investment Accelerator, a £30 million programme supporting major investments in UK heat pump and component manufacturing. Two projects have so far received a combined total of nearly £10 million, and the HPA awaits the detail of the expected phase 2 of the competition as promised in the Industrial Strategy. However, growth in the UK heat pump manufacturing industry depends on market confidence, which could be heightened by the timely implementation of the Future Homes and Buildings Standard, and addressing the high price of electricity relative to gas.

This data is published to mark Heat Pump Day, which highlights the role of heat pumps in Europe’s energy transition. The European Heat Pump Association (EHPA) continues to call for clearer, longer term and structural policy changes that drive the demand for heat pumps. 

“As the heat pump market in the UK matures, it’s great to see the sector investing in on-shoring supply chains to increase resilience and responsiveness,” says Charlotte Lee, Chief Executive of the HPA. “Confidence in the market is crucial to secure further investment, and we call on the Government to publish the Future Homes and Building Standard without delay. This no-regrets step clearly sets the direction for the heating transition, and shouldn’t be underestimated in its importance to strengthen the supply chain.”

Minister for Energy Consumers Martin McCluskey adds: “These figures show the clean power mission in action, with skilled, homegrown jobs in the clean technologies of the future. The British public have shown record demand for heat pumps as more and more families take up our offer of a £7,500 grant. Which is why, to help meet the growing demand, we have already committed almost £10 million to boost homegrown heat pump production in the UK.”

Paul Kenny, director general of EHPA, comments: “This new UK data is yet more proof that confidence and a stable market are crucial to ensure the local demand that drives local production. Europe has 300 heat pump manufacturing sites and 433,000 jobs in the sector, and this great base can be strengthened further with steady subsidy schemes and energy taxation that reassure consumers”

To view the HPA’s UK Factory Gate Sales Data visit: https://www.heatpumps.org.uk/resources/statistics/