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Heat Pumps Set to Increase Home Heating Costs by 400%

Microwave boilers offer a cheaper alternative as gas boilers are phased out

UNITED KINGDOM, 25 JUNE 2021; Heat pumps will be unaffordable for many consumers, warns a new report commissioned by Heat Wayv, a UK energy technology company.

With gas boilers due to be banned in new homes from 2025 to help cut CO2 emissions, the proposed introduction of heat pumps as a low-carbon alternative will be too costly, according to the company’s Home Heating Total Cost of Ownership (TCO) analysis. This concludes that the installation and use of heat pumps would cause a 400% increase in home heating costs for the average consumer. The promised reductions in annual fuel costs are overwhelmed by high acquisition and installation costs, with the total consumer expenditure set to be in excess of £45,000 over a ten-year period.

The cost of installing heat pumps, at between £10,000 and £14,000, would severely impact the budgets of local authorities, housing trusts and other housing stock providers. New house builders, who will legally be forced to install zero-carbon alternatives to gas boilers from 2025 will face major cost increases if using heat pumps.

The Home Heating TCO report has been published by Heat Wayv, a UK engineering company that is developing a cheaper and more environmentally-friendly microwave boiler. The cost analysis report examines annual operating costs and amortised capital costs over 10- and 20- year periods, and includes costings based on standard electricity tariffs, off-peak tariffs and a blended tariff rate that reflects typical usage.

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