How have heat pump subsidies changed in the last two years?
In 2023, we produced an analysis of the subsidies on offer for residential heat pumps in countries across Europe. Now, we’ve updated it.
The overall trend is clear: many countries have adjusted or tightened their subsidy schemes rather than expanded them. Several (notably Wallonia, Italy and Switzerland) reduced grant levels or ended programmes.
A clear shift toward targeted aid is emerging: schemes in France and Germany increasingly focus on low-income households, and eligibility is being linked to energy performance or approved equipment lists (as in Poland).
Administrative changes are also common — many programmes were temporarily suspended, delayed, or restructured (e.g. Brussels, Poland, France) — reflecting political transitions and fiscal constraints.
Milagros Garcia, policy officer at the European Heat Pump Association said: “These are self-defeating moves. They disempower citizens from investing in a sector which primarily manufactures in Europe, producing clean technology that boosts Europe’s energy independence and path to decarbonisation.”
Overall, the trend is toward rationalisation and tighter control of public spending, rather than large-scale expansion of subsidies.
The opposite is needed: clear, long-term subsidy schemes and supportive policies are crucial. They boost investor, manufacturer and consumer confidence in heat pumps, allowing the sector to deliver for Europe.
