Aira, the Manchester energy-tech company, hosted its first heat pump event of 2025 in parliament to highlight outdated policy barriers hindering the UK’s transition to low-carbon heating.
The event brought together around 100 stakeholders including Miatta Fahnbulleh, minister for Energy Consumers, Bill Esterson MP, government officials, industry leaders and policymakers.
According to the latest data from MCS, 2024 was a record year with nearly 60,000 heat pump installations across the UK.
However, this is only 10% of the UK’s annual target of 600,000 installations per year by 2028, highlighting the urgent need for change, commitment and action.
Aira explored solutions for accelerating the adoption of sustainable heating technologies amidst the global climate crisis, cost-of-living pressures and increasing need for energy security in the UK.
Currently, 25 million fossil fuel boilers in the UK account for 16% of the nation’s total CO2 emissions, a stark contrast to Sweden where 1% of the country’s carbon emissions are from residential heating and 92% of all new heating systems sold are heat pumps.
As the UK’s North Sea gas fields decline, Britain is heavily reliant on imported gas, leaving British people increasingly vulnerable to volatile international markets and soaring prices; however, as event delegates heard from Aira, heat pumps offer a significant opportunity to reduce CO2 emissions, save people money, balance the electricity grid and achieve net zero by 2050.
By switching from a gas boiler to an Aira Heat Pump and clean electricity tariff, Aira Zero, households will save approximately £525 per year on their energy bills, making the transition to heat pumps even more financially appealing.
Collaboration with government and industry
While applauding initiatives such as the Boiler Upgrade Scheme (BUS), Aira emphasised the need for further collaboration. The company outlined three key policy asks to accelerate the UK’s transition:
- Timeline for planning reform: Aira urged the government to set an implementation date for planning regulation changes by the end of this month to avoid delays.
- Reduce electricity costs: Aira called for rebalancing levies on electricity bills to unlock electrification across the country, while enhancing the cost saving benefits even further.
- Expand subsidy schemes: Adapting schemes like the Boiler Upgrade Scheme to support third-party ownership models would make heat pumps even more accessible to households.
Daniel Särefjord, Aira UK CEO (speaking in picture) said: “The UK heat pump market has just achieved another record-breaking year, with sales doubling in the past 24 months, yet there is much to be done. Aira already increases heat pump accessibility for homeowners with an all-inclusive plan, monthly payment solutions, and a 15-year Aira Guarantee; but we can’t do it alone.
“It is imperative that the government works to establish a market that recognises advancements in heat pump technology and supports a growing network of installers, manufacturers and businesses. Outdated policy barriers that hinder the nation’s transition to low-carbon heating need to be reformed, helping more people to access cleaner, money-saving heating solutions and cementing the UK a global leader in sustainable innovation, driven by British-made renewable energy.”
Bill Esterson MP, chair of the Energy Security and Net Zero Committee said: “We recently launched the Green Skills Inquiry on how to build the workforce to meet the UK’s clean energy mission, so it is hugely encouraging that Aira is looking to hire 20,000 Clean Energy Experts across the UK and Europe to meet the demand for decarbonised homes. Aira’s mission to deliver low-cost, clean, sustainable energy aligns superbly with the ambition of the Government to make Britain a clean energy superpower.”
