Miliband’s heat pump revolution leaves taxpayers in the cold

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Red Ed Miliband’s heat pump bonanza cost taxpayers and bill-payers an eye-watering £498.6 million in 2025/26, new research shows. So much for the great green consumer revolution – it turns out the heat pump market still needs the state to keep it from freezing over.

Analysis of government data by the Energy and Utilities Alliance found that more than nine out of every ten heat pumps installed in existing UK homes during the year were backed by taxpayer or energy bill-payer subsidies.

Of the 49,880 air-source heat pumps installed in existing homes in 2025/26, 45,397 – 91 per cent – received support through government-backed schemes, including the Boiler Upgrade Scheme, ECO, SHDF and HUG programmes.

Once direct grants, ECO levies and VAT relief are taken into account, the analysis estimates that the total cost to taxpayers and bill-payers reached £498.6 million during the financial year. For a policy meant to save energy, it seems remarkably efficient at burning through public money.