Personal Finance

Stop pushing heat pumps or face major backlash, green energy magnate tells Labour


The government risks a huge political backlash if it keeps pushing the public to install heat pumps to replace their boilers, one of Britain’s leading green entrepreneurs has warned.

Dale Vince, a major Labour donor and renewable energy advocate, called on Keir Starmer to rethink national programmes, championed by Boris Johnson, pushing the technology. Vince argued that Whitehall should explore alternatives to the devices, which he said were expensive, caused serious disruption and could end up increasing energy bills for some people.

Vince, whose criticism of heat pumps has proved divisive among environmentalists, said mass use could bring a bigger political backlash than London’s expanded ultra-low emission zone (Ulez), which led to a surprise byelection defeat for Labour last year in Uxbridge and South Ruislip.

“It’s a Johnson-era policy, and like most Johnson ideas, it wasn’t thought through,” Vince said. “It wasn’t meant for the real world, if you look at the amount of money committed. Electricity energy bills overall in our households will go up unless you assume heroic levels of performance.

Green magnate Dale Vince has criticised the government’s heat pump programme. Photograph: Simon Marper/PA

“You’ve got this incredible disruption of home life for tens of millions of people – the need to change heating systems for a lot of people, not just the boiler – and substandard outcomes in a lot of cases.”

He added: “It’s politically threatening for any government to have a heat-pump programme. If you look back at the Ulez byelection and the fuss made about it in elements of the press, imagine a heat-pump programme where a household has just spent thousands of pounds on some technology that doesn’t do the job.” In June, Vince tweeted that heat pumps were like “Ulez on steroids”.

The entrepreneur’s latest comments expose divides even among environmentalists about the best way to move home heating away from the burning of fossil fuels via a regular gas boiler. Critics such as Vince state that heat pumps could increase bills because the electricity used to run them costs far more than gas. A study by the independent Energy Saving Trust put the cost at £20 a year more than using a new A-rated gas boiler. However, new specialist heat pump tariffs could make them cheaper to run.

Johnson’s government was an advocate of the technology, setting a goal of 600,000 new heat pumps a year by 2028. While installations in the UK have hit a record number this year, they have still only reached about 42,000 since January.

Air-source heat pumps cost just over £12,500 to buy and install on average, about four to five times more than a gas boiler. But the government currently offers a £7,500 grant for households installing the technology.

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Vince claimed that he was speaking in the “national interest” in criticising heat pumps. He proposes an alternative – green gas, or biomethane, made from organic material, which his company Ecotricity develops.

Other environmentalists claim that the amount of land needed to produce enough green gas would be unrealistic, lead to food insecurity and damage biodiversity.

The Heat Pump Association, an industry body, insisted that the devices are a “proven, efficient, low-carbon heating solution which are readily available and scalable with the potential to reduce carbon emissions from heating by over 75% relative to fossil fuel heating systems”.

“Electricity prices are higher than gas prices in the UK,” it said. “However, heat pumps use three to five times less energy. Well-installed heat pumps that operate efficiently and make use of flexible electricity tariffs will in the vast majority of cases save the consumer money in comparison to their existing heating system.”

A Department for Energy Security and Net Zero spokesperson said of Vince’s concerns: “We do not recognise these claims. The energy shocks of recent years have shown the urgent need to upgrade British homes, and heat pumps are a critical technology for decarbonising heating.

“Biomethane also has an important role in the transition to net zero as a green gas that can decarbonise gas supply, reduce our reliance on fossil fuels and increase energy security.”

Vince also revealed plans to take advantage of the government’s decision to end the effective ban on onshore wind by “dusting off” a plan for 100 turbines in Gloucestershire, where his company is based, to power the county’s homes.

He said they could ultimately be transferred to the council’s ownership, handing it both an asset and long-term income. “If they were owned by the local authority, the windmills would bring £7m a year into local authority coffers,” he said.

“We will take the lead on this. We will find the sites, take them through planning and at some point in the future hope to work with local authorities to hand them over for public ownership.”



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