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Published: 29 May 2024
Thought piece
Dr Nicholas Harrington, from the UK Collaborative Centre for Housing Evidence, looks at achieving net zero in homes, the worry consumers have about investing in costly, potentially unreliable technology, and how businesses are hesitant because the heat pump market is still developing.
Dr Nicholas Harrington is involved in research investigating the decarbonisation of the UK's domestic heating with the UK Collaborative Centre for Housing Evidence (CaCHE).
Achieving net zero and decarbonising homes is challenging due to uncertainty. Consumers are hesitant to invest in expensive new technologies like heat pumps, fearing they might be unreliable. Businesses also hesitate because the market for heat pumps is still developing.
Policymakers are conflicted about how to legislate clean heat solutions, adding to the uncertainty. Past issues with heat pump installations, such as undersized pumps and incorrect fittings, have made consumers skeptical.
However, heat pump technology and system design have improved significantly over the years. The Scottish Government’s New Build Heat Standard, which mandates clean heat systems in new homes, is a positive step. It ensures a market for 20,000 heat pumps next year, boosting demand and consumer confidence.
To further progress, clear policies and funding strategies for existing homes are essential. The Heat in Buildings Standard, which aims to replace gas and oil boilers with heat pumps by 2028, is a step in the right direction. However, the financial support for homeowners to make these changes is still unclear. Most homeowners will need access to capital through loans or subsidies to afford the switch.
Policymakers must provide clear guidance on these funding options. Transparency around costs and funding will allow consumers to make informed decisions and send clear signals to the market. This, in turn, will encourage the private sector to innovate and respond to consumer needs.
To support this transition, new financial products and government-backed low or zero-interest loans may be needed. The government should ensure that those who can afford to pay for clean heat technologies can do so, while those who need financial assistance are supported without additional financial burdens.
The Scottish Government’s mandate for new homes was an important first step, but motivating the owners of the other 2.7 million homes in Scotland is a greater challenge. Clear guidance on funding and subsidies will enable the private sector to step in, innovate, and meet consumer needs.
First published: 29 May 2024