Government policy makes air source heat pumps accessible.

On 21 November, the government announced a number of key policy updates on heat pump funding and planning regulations, which make it easier for people to install their own heat pump without planning permission. These changes are a big step forward, creating more flexibility for people who want to install a heat pump and helping more people secure funding for their installation.

These announcements are part of the government’s plan to grow the heat pump market and reach its target of 600,000 installations per year by 20281. Lowering the carbon emissions produced by homes across the country is an important step towards helping the UK to reach net zero carbon emissions by 20502.

What are the government changes to funding for heat pumps?

Through the Boiler Upgrade Scheme, homeowners can apply for a £7,500 grant to replace their gas boilers with renewable heating technology like heat pumps. This significantly lowers the cost of installing a heat pump, making them a more affordable and increasingly popular option with the public.

In January 2026 as part of the Warm Homes Plan, the government announced that the Boiler Upgrade Scheme would be extended until 2030 with up to £30 million in funding available between 2026 and 20303.

This continued funding and extension of the grant means that more people can take advantage of the Boiler Upgrade Scheme and enjoy the benefits of an air source heat pump in their homes.

What are the government changes to planning regulations for heat pumps?

The 1-metre rule for heat pumps is being scrapped.

Firstly, what is the 1-metre rule for heat pumps? The current regulations say that an air source heat pump (ASHP) cannot be placed within 1 meter of a property’s boundary. This means that many homes can’t install a heat pump as they have limited outdoor space, or the only permitted installation location isn’t desired by the homeowner.

The 1-metre rule was implemented due to noise concerns about heat pumps and how this might affect neighbouring properties. However, thanks to advances in ASHP technology, modern heat pumps are typically as quiet as a standard fridge freezer.

As modern heat pumps are considerably quieter, the government has decided to scrap the 1-metre rule3. While a degree of clear space is still needed around the heat pump unit itself, this regulation change creates more flexibility for homeowners and means that many more properties will be able to install a heat pump.

If you were previously advised you couldn’t have a heat pump due to the 1-metre rule, get in touch with us to discuss how we may be able to install one when the regulation changes are introduced.

Bigger heat pumps can be installed without planning permission.

Under the current regulations, if the size of your heat pump exceeds 0.6m3, you would need to get planning permission before a unit can be installed. This can delay the installation process, and in some cases, result in the application being declined.

However, the size limit will increase. The government has said you will be able to install a heat pump up to 1.5m3 without planning permission.₃ This rule change again gives more freedom and flexibility to homeowners, who have more options on which heat pump to install.

Two heat pumps will be allowed for detached homes.

In some cases, larger properties might not be suitably heated using a single heat pump. In these circumstances, we would typically install multiple heat pumps on a single property, which is known as a ‘cascaded heat pump system’. These heat pumps can be designed to perform different tasks at the same time, such as one unit for heating and another for hot water. They can also share the demand for heating and hot water simultaneously.

Under current regulations, home owners would need planning permission to install two heat pumps on the same property. However, the government’s rule change means that detached homes can now install two heat pumps without prior approval, making it easier to meet the overall heating demand of the property3.

When is the new heat pump plan coming into effect?

All these policy changes are expected to come into effect from mid-2025. Whilst the regulation and requirements changes go live on this date, you can still proceed with getting a quote and installation preparations ahead of this date. It’s only the physical system installation and sign-off that cannot be completed prior to this date.

What are the benefits of buying heat pumps?

These government announcements means that more UK homeowners will be able to enjoy all the perks of heat pumps, including:

Better energy efficiency.

A-rated gas boilers convert fuel to heat with around 90-95% efficiency, while air source heat pumps can achieve efficiencies around 300-400%. Heat pumps are therefore around 3 to 4 times more efficient than traditional heaters4, which means they could help to lower your bills and they’re less strain on the planet. Win-win.

Smart heating at your fingertips.

Many heat pumps connect to smart apps so you can control the temperature from anywhere, plan your heating schedule around your day, and save even more energy.

Building your complete green-home solution.

Although many people will install an air source heat pump as a standalone solution, when paired with solar and/or battery storage systems, you can use the power of the sun to generate the electricity needed to run your heat pump.

Heat pump grants.

As mentioned, you could get a government grant worth £7,500 to significantly cut the cost of installing your heat pump5.

Eco-friendly energy.

Since they're not burning fuel to create heat, heat pumps release far less carbon emissions than gas heaters. A big thumbs up for the environment.

A tariff that helps you save.

Once you have your heat pump, you can take advantage of Next Pumped, the energy tariff for air source heat pumps. You’ll get cheaper electricity for two periods every day, helping you save around £43 a year6. The tariff also comes with 100% renewable electricity and no exit fees.

If you’re considering a heat pump, the latest government announcements mean that now is a great time to make the switch. And if you’re already an E.ON Next customer, you could also get a further discount of up to £200. Get a quote today.

• 1. Energy Security Bill factsheet: Low-carbon heat scheme (GOV.UK, 2023)
• 2. Net Zero Strategy: Build Back Greener (GOV.UK, 2021)
• 3. Warm Homes Plan (Department for Energy Security and Net Zero, UK Government, 2026)
• 4. Potential annual savings are based on the installation of a standard air source heat pump in an average sized three-bedroom detached home. Savings are dependent on your property size, your household electricity usage, the current of any existing electric storage heater used and its age. Savings are dependent on the current oil/LPG system used, and their age. Figures are sourced from the Energy Saving Trust.
• 5. The Government’s Boiler Upgrade Scheme is valid for heat pumps that are commissioned from April 1 2022. To be eligible for the grant, a valid Energy Performance Certificate (EPC) from the last 10 years. Unfortunately new build homes are ineligible for the Boiler Upgrade Scheme. Owner and property eligibility apply. To see the full eligibility criteria and exclusions, visit the Government Boiler Upgrade Scheme website.
• 6. Next Pumped tariff saving calculations assume an electric consumption of 5,766.67 kWh, charging 21% of electric consumption during Next Pumped Fixed 12m V10 super off-peak hours (10pm-6am), 60% of consumption during off-peak (7pm to 10pm and 6am to 4pm) and 19% of consumption during peak hours (4pm to 7pm); compared to charging at 24.674p/kWh (national average rate and will vary by region) standard variable rate from 1 April 2026, which is equivalent to £43.44 saved compared to our standard tariff. Actual savings may vary depending on individual usage patterns. T&Cs apply. Pricing may vary by region. Please check your quote.