Heat pump sales soar across Europe after states cut electricity taxes, data shows
Summary
Sales of residential heat pumps increased across 12 European countries in the first half of 2026. This rise is linked to higher oil and gas prices caused by the Iran war and some countries lowering taxes on electricity to encourage cleaner energy use.Key Facts
- Homeowners bought 1.16 million heat pumps in early 2026, up from 1.05 million in 2025.
- The Iran war disrupted oil and gas shipments, pushing crude oil prices to $126 a barrel in April 2026.
- The European Commission urged countries to reduce electricity taxes and shift away from fossil fuels.
- Heat pumps transfer heat from one place to another and can both heat and cool homes without burning fuel.
- Countries cutting electricity taxes, like Germany, saw faster growth in heat pump sales.
- Electricity taxes are often higher than gas taxes in Europe, which slows heat pump adoption and keeps fossil fuel use high.
- Belgium plans to lower electricity taxes by 3% and increase gas taxes by 3% starting in 2026.
- Solar panel installations and battery use also helped UK families cut energy bills by 62%, showing wider clean energy trends.
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