Labour government to mandate electric heat pumps in new homes by 2027 as part of net-zero commitment

Sir Keir Starmer’s Labour government is gearing up to make gas boilers a thing of the past for new homes, with plans to enforce electric heat pumps or other non-gas alternatives as standard by 2027.

The initiative, forming part of the ‘Future Homes Standard,’ aims to significantly cut carbon emissions across the UK’s housing sector.

The anticipated announcement could come as early as next May, with the legislation expected to be implemented in 2027, allowing developers time to adapt. The move aligns with Labour’s commitment to reach net-zero emissions, recognising that home heating is a significant contributor to national carbon output.

This shift to electric heat pumps has come despite reports indicating that the adoption rate has been slower than expected, with only 55,000 pumps installed in 2022 against a target of 600,000 by 2028. The National Audit Office (NAO) highlighted that high upfront costs have deterred homeowners from transitioning to heat pumps, which can cost up to four times more than traditional gas boilers.

In addition, a recent analysis by the University of Edinburgh and Imperial College London noted that installation costs for heat pumps have not significantly decreased over the past decade, making government incentives essential for boosting uptake. The Boiler Upgrade Scheme currently offers grants of £7,500 towards a heat pump installation, a crucial support as the government encourages widespread adoption.

Industry experts, however, have raised concerns about whether the supply chain is equipped to meet the government’s ambitious targets. Steve Turner, executive director of the Home Builders Federation, stressed the importance of a robust supply chain capable of meeting the demands for new builds and retrofits alike. Turner also highlighted the potential strain on the National Grid if a rapid switchover occurs, urging government investment in grid resilience to support the increased load from electric heating systems.

Labour’s plan also contributes to its broader vision for tackling the housing crisis by pledging to build 300,000 new homes annually, with each one designed to be highly energy-efficient and low-carbon. Although solar panels are being promoted, they won’t be mandatory at this stage, allowing builders and homeowners flexibility.

While critics argue the government’s targets may be challenging, advocates emphasise the long-term benefits, including greater energy security, improved efficiency, and lower energy bills for homeowners. Nesta, an innovation charity, reported that one in ten UK households would need to adopt low-carbon heating solutions during the current parliament to keep climate goals on track.

The Labour government’s approach acknowledges that the path to decarbonisation must balance upfront investment with realistic policy support. The commitment to electric heat pumps and enhanced home energy standards reflects Labour’s focus on a sustainable future, driving down emissions while supporting economic resilience in the housing and energy sectors.