Sheffield's Aira convenes key stakeholders at parliamentary event to accelerate the UK’s transition to heat pumps, stating “10% of target is not enough”

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Aira, the Sheffield-based Swedish clean energy-tech company, took centre stage in Parliament this week, hosting the first heat pump event of 2025 to shed light on outdated policy barriers hindering the UK's transition to low-carbon heating.

With the UK aiming to install 600,000 heat pumps annually by 2028, the current pace of nearly 60,000 installations in 2024—a record year according to MCS data—signals the urgent need for policy change, commitment, and action.

The event, hosted by Alistair Strathern MP, drew an audience of around 100 attendees, including members of the government, civil servants, parliamentarians, industry partners, and journalists.

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Keynote speakers included Martin Lewerth, Aira Group CEO; Daniel Särefjord, Aira UK CEO; and Miatta Fahnbulleh, Minister for Energy Consumers. The discussions focused on solutions for accelerating the adoption of sustainable heating technologies amidst a global climate crisis, rising living costs, and the UK's increasing dependence on imported energy.

Bill Esterson MP, Chair of the Energy Security and Net Zero CommitteeBill Esterson MP, Chair of the Energy Security and Net Zero Committee
Bill Esterson MP, Chair of the Energy Security and Net Zero Committee

Currently, the UK's 25 million fossil fuel boilers contribute a staggering 16% of the nation’s total CO2 emissions. This stands in stark contrast to Sweden, where just 1% of the country's carbon emissions stem from residential heating, and 92% of new heating systems sold are heat pumps. With the decline of North Sea gas fields, Britain’s reliance on imported gas makes households vulnerable to volatile international markets and soaring energy prices. However, as Aira highlighted, heat pumps present a transformative opportunity to slash CO2 emissions, lower energy bills, stabilize the electricity grid, and help achieve net zero by 2050.

Aira’s own Aira Heat Pump, coupled with the company’s clean electricity tariff, Aira Zero, offers households potential savings of £525 per year on energy bills, adding financial appeal to the environmental benefits.

While applauding initiatives like the Boiler Upgrade Scheme (BUS), a £7,500 grant to help pay for the installation of a new heat pump, Aira emphasised the need for further collaboration between government and industry. The company outlined three key policy priorities to accelerate the UK's clean heating revolution:

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Timeline for Planning Reform: Aira urged the government to establish an implementation date for planning regulation changes by the end of January to prevent further delays.

Daniel Särefjord, Aira UK CEODaniel Särefjord, Aira UK CEO
Daniel Särefjord, Aira UK CEO

Reduce Electricity Costs: By rebalancing levies on electricity bills, the government could unlock widespread electrification and amplify the cost-saving benefits of heat pumps.

Expand Subsidy Schemes: Adapting existing schemes like BUS to support third-party ownership models would make heat pumps more accessible to households.

“The UK heat pump market has just achieved another record-breaking year, with sales doubling over the past 24 months,” said Daniel Särefjord, Aira UK CEO. “Aira already increases heat pump accessibility for homeowners with all-inclusive plans, monthly payment solutions, and a 15-year Aira Guarantee. But we can’t do it alone. Outdated policy barriers must be reformed to help more people access cleaner, money-saving heating solutions, and to position the UK as a global leader in sustainable innovation driven by British-made renewable energy.”

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Bill Esterson MP, Chair of the Energy Security and Net Zero Committee, praised Aira’s efforts, stating: “It’s wonderful to see companies innovating in this space. The Energy Security and Net Zero Select Committee recently launched the Green Skills Inquiry to build the workforce needed for the UK’s clean energy mission. It’s hugely encouraging that Aira plans to hire 20,000 Clean Energy Experts across the UK and Europe to meet the demand for decarbonised homes.”

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