Ed Miliband's plan for 9.3 million heat pumps could cost taxpayers around £25bn

Ed Miliband's plans for 9.3 million heat pumps in homes by 2035 could lead to taxpayers forking out millions of pounds, it has emerged.

The Energy Secretary unveiled the ambitious target for the installation of the low-carbon heating system despite just over 310,000 heat pumps currently installed.

In a document released as part of a Labour plan to reduce UK emissions over the next ten years, the Department for Energy Security and Net Zero said: "Heat pump sales have more than tripled since 2019 to over 84,000 in 2024. We aim to grow the UK heat pump market to cumulative 9.3 million domestic installations by 2035."

Reform UK's deputy leader Richard Tice said: "Given the direction the country is headed, you'd think the government would have more pressing priorities than heat pumps. As with every Labour policy, this will come at the expense of the hard-working British public. This is a government still bogged down by ludicrous net-zero dogma - refusing to do the real, practical job of improving the quality of life, reducing crime, and keeping Britons safe."

The Government's Boiler Upgrade Scheme, which contributes £7,500 towards each heat pump installed, means lending this support towards the 9.3 million target would cost as much as £67 billion.

But the BUS was used for roughly 38% of total heat pump installations in 2024, meaning the likely estimated heat pump bill to the taxpayer could be around £25billion.

The Government said new build homes, which would not be eligible for the £7,500 grants, are also included in the 9.3 million figure but it does not know how many homes will be new builds. Despite this, taxpayers are still likely to face millions in costs for older homes switching from boilers.

Ministers have pledged to build 300,000 new homes a year, the majority of which will have heat pumps.

Claire Coutinho MP, Shadow Energy Secretary, said: "Labour bribing, banning, and taxing people to change the way they heat their homes just to meet Ed Miliband's reckless net zero targets is completely mad.

"We should focus on making electricity cheap and then let people choose the technologies they want to use. If Ed wants people to use electric heating, he needs to make electricity cheap by backing our cheap power plan to cut electricity bills by 20% for everyone."

Boris Johnson's Government had set a target of 600,000 heat pump installations a year by 2028.

The Government's independent advisors, the Climate Change Committee, said earlier this year that the UK has to get to 1.5 million heat pumps a year by 2035.

But just over 58,000 heat pumps were installed last year, with nearly 52,000 installations from January to October so far this year.

David Cowdrey, director of external affairs at The MCS Foundation, said: "The UK has seen record growth in heat pump uptake in recent years, with annual installations nearly quadrupling since 2020 according to MCS data. Government grants and funding to install heat pumps in low-income households have helped drive up numbers, and the market is set to grow further thanks to the requirement for virtually all new homes to have a heat pump from 2027.

"However, while this growth is encouraging, Britain's high electricity costs are likely to impact the growth we need to see. Action is needed from the Government to reduce electricity prices and ensure that it's always cheaper to run a heat pump than a gas boiler. The fairest way to do this is by moving social and environmental levies off electricity bills and into general taxation. Our research has shown that not only would this boost heat pump uptake, but it could reduce bills by as much as £300 a year."

Mr Miliband said in his Carbon Budget Delivery Plan that homeowners will not be forced to ditch their gas boiler for a heat pump.

Under past Conservative government plans, the sale of new gas boilers was to be banned from 2035 and homes made to install a heat pump instead.

But the move was opposed by a majority of voters due to concerns that the new technology could prove more expensive.

Mr Miliband confirmed that the boiler ban was being ditched in favour of an incentivised approach to the green transition.

Instead of a ban, there will be a series of incentives for homes to switch to heat pumps including possibly extending the £7,500 grants for the next five years.

The Government has been contacted for comment