Residential heat pump sales rose 11 per cent across 12 European countries in the first half of 2026, according to the European Heat Pump Association. Homeowners bought 1.16 million units, up from 1.05 million in the same period of 2025.
The countries covered were Austria, Belgium, Switzerland, Denmark, Finland, France, Germany, Italy, the Netherlands, Norway, Portugal and Sweden. The EHPA linked the increase to higher oil and gas prices after the Iran war and to electricity-tax cuts in some countries.
The Guardian reported that Iran’s de facto closure of the Strait of Hormuz disrupted shipments. After US-Israeli attacks on Iran on 28 February, the European Commission published plans encouraging governments to lower electricity taxes and speed the shift away from oil and gas. Its electrification action plan says electricity tax should be no higher than tax on gas. In Germany, EHPA said subsidies made heat pumps the top heating technology. Paul Kenny, the association’s director general, said: “Europe is ending its addiction to a toxic, costly drug from dodgy suppliers: gas. The sooner electricity becomes the most affordable solution, the quicker we’ll get clean.”
Kenny added: “The fix? Dropping taxes on electricity and shifting them over to fossil fuels. The European Commission has made this clear – but now all EU governments must enact it, following in the footsteps of the Netherlands and Belgium.” EHPA says electricity is often taxed more than gas. In the UK, electricity costs more than four times as much as gas, similar to Belgium. Belgium’s 2026 tax changes cut electricity costs by 3 per cent and raise gas costs by 3 per cent, although uptake remains low.
Separately, the Centre for Net Zero found that solar panels plus a battery save a UK home £681 a year on average; bills fell by 62 per cent after free panels and a battery, the Times first reported. Government figures published in July also showed Great Britain recorded more new solar installations in the first half of this year than in any six-month period since 2011.
