Heat Pumps Are Coming: How to Prepare Your Heating Business

Let me be blunt with you. If you’re running a heating business and you haven’t started thinking about heat pumps yet, you’re already behind. Not panicking-behind, but behind enough that you need to start paying attention right now.

The gas boiler phase-out isn’t a rumour or a maybe. It’s government policy, it’s backed by legislation, and it’s happening. The only question is whether you’re going to be one of the businesses that rides this wave or one that gets swallowed by it.

The good news? You’ve got time to prepare. And the businesses that move early on this are going to clean up. Here’s how to make sure you’re one of them.

The Gas Boiler Phase-Out: What’s Actually Happening

There’s a lot of noise around the gas boiler ban, so let’s cut through it with the facts as they stand.

The UK government has committed to phasing out new gas boiler installations in new-build properties from 2035. That’s the hard deadline. But the direction of travel is already clear — heat pumps are being pushed hard through grants, building regulations, and energy efficiency targets.

The Future Homes Standard, which comes into effect for new builds, means that new houses will need to produce significantly less carbon emissions. In practice, that means heat pumps rather than gas boilers in most cases.

For existing homes, no one’s going to rip out your customers’ working gas boilers tomorrow. But when those boilers reach end of life over the next 10–15 years, more and more homeowners are going to be looking at heat pumps as the replacement. Especially when grants are covering a big chunk of the cost.

The important thing to understand is this: the transition isn’t a cliff edge. It’s a slope. And we’re already on it.

The Boiler Upgrade Scheme: Your Biggest Selling Point

If you’re not already talking to customers about the Boiler Upgrade Scheme (BUS), you’re leaving money on the table.

The scheme currently offers homeowners £7,500 towards the cost of an air source heat pump installation. That’s a substantial chunk of a typical install cost, and it makes the conversation with homeowners much easier.

Here’s how it works in practice:

• Typical air source heat pump installation: £10,000–£14,000
• BUS grant: £7,500
• Customer pays: £2,500–£6,500

When you put it that way to a homeowner, suddenly a heat pump isn’t the scary £12,000 expense they’ve read about in the papers. It’s a £4,000–£5,000 investment in a system that’ll slash their energy bills and future-proof their home.

There’s a catch, though. Only MCS-certified installers can apply for BUS grants on behalf of their customers. If you’re not MCS certified, you can’t access this scheme. And that means you’re immediately at a disadvantage compared to installers who are.

Training Routes: How to Get Qualified

This is the bit that puts most heating engineers off. They think it’s going to take years and cost a fortune. The reality is more manageable than you’d expect.

MCS Certification

MCS (Microgeneration Certification Scheme) is the gold standard, and it’s what you need to access government grants. Getting MCS certified involves:

• Completing approved training courses — These typically run over 3–5 days and cover heat pump design, installation, and commissioning. Budget around £1,500–£2,500 for training.
• MCS registration — Annual fees are typically £500–£1,000 depending on the certification body.
• Demonstrating competence — You’ll need to show you can design and install systems to MCS standards, which includes proper heat loss calculations and system sizing.

All in, budget around £2,000–£3,500 to get yourself MCS certified. That’s the cost of a single heat pump installation’s profit margin. One job pays for the whole thing.

Manufacturer Training

On top of MCS, most heat pump manufacturers offer their own training programmes. These are often free or heavily subsidised because the manufacturers want more certified installers out there selling their products.

• Mitsubishi Ecodan — Offers installer training at their academy
• Daikin — Runs regular training courses across the UK
• Vaillant — Their aroTHERM range comes with dedicated installer training
• Samsung — Growing presence in the UK market with training support

Getting trained on specific products means you can offer those brands with confidence, and it gives you another selling point when talking to customers. Speaking of selling points, manufacturer accreditations can make a real difference to winning work — have a read of Winning More Work Through Manufacturer Accreditations for the full picture on how to make accreditations work for you.

Heat Geek

Worth a special mention. Heat Geek has become one of the most respected training and accreditation programmes in the heating industry. Their focus on proper system design and efficiency means that Heat Geek-certified installers are increasingly sought after by homeowners who’ve done their research. It’s a strong badge to have.

The Financial Investment: What It Actually Costs to Pivot

Let’s be honest about what transitioning to heat pump installations requires financially. Here’s a realistic breakdown:

• Training and MCS certification: £2,000–£3,500
• Design software and tools: £500–£1,000 (heat loss calculation software, etc.)
• Additional tools and equipment: £1,000–£2,000 (vacuum pump, manifold gauges, F-gas equipment if needed)
• Marketing and website updates: £500–£1,500
• Initial stock and materials: £1,000–£2,000

Total realistic investment: £5,000–£10,000

Now compare that to the revenue opportunity. A single heat pump installation might generate £10,000–£14,000 in turnover, with margins of 25–35% if you price it right. That’s £2,500–£5,000 gross profit per install. Two or three jobs and you’ve recouped your entire investment.

If you want to make sure you’re pricing these installs properly from day one, The Quote Handbook walks you through exactly how to build profitable quotes that customers say yes to. Getting your pricing right on heat pumps is critical — the margins are there, but only if you quote properly.

Quoting Heat Pump Installs vs Boilers: A Different Game

This is where a lot of heating engineers come unstuck. They try to quote heat pump installations the same way they quote boiler swaps, and it doesn’t work.

A boiler swap is relatively straightforward. Like-for-like replacement, few surprises, most engineers can price them from experience. A heat pump installation is a design project. Every house is different, and getting the sizing wrong means an unhappy customer and a system that doesn’t perform.

What a Heat Pump Quote Needs to Cover

• Full heat loss calculation — Room by room, not a rough estimate. This determines the size of heat pump you need.
• Radiator assessment — Existing radiators may need upgrading to work efficiently at lower flow temperatures.
• Hot water strategy — How you’re going to handle domestic hot water (cylinder sizing, immersion backup, etc.).
• Electrical requirements — Most air source heat pumps need a dedicated electrical supply. Factor in electrician costs.
• External unit placement — Planning considerations, noise regulations, and distance from boundaries.
• Insulation assessment — A heat pump in a poorly insulated house is a disaster. You need to be upfront with customers about this.

This means your quotes are more detailed, take longer to prepare, and need to be presented differently. But the flip side is that the value of each job is much higher. Where a boiler swap might be £2,500–£4,000, a heat pump installation is £8,000–£14,000. Fewer jobs, more revenue per job, better margins if you get the quoting right.

The Early Mover Advantage: Why Now Matters

Here’s the bit that should really get your attention. Right now, there aren’t enough qualified heat pump installers in the UK. Not even close.

The government’s target is 600,000 heat pump installations per year by 2028. Current installation rates are a fraction of that. The training pipeline is growing, but slowly. That means qualified, experienced heat pump installers are in serious demand — and that demand is only going to increase.

What does that mean for you if you move early?

• Less competition — While most heating engineers are still thinking about it, you’ll be doing it.
• Premium pricing — When demand outstrips supply, prices go up. Early movers can charge more because there are fewer alternatives.
• Experience compounds — Every installation you do makes you better, faster, and more profitable. Start now and you’ll have 50+ installs under your belt by the time most engineers are doing their first.
• Customer referrals — Happy heat pump customers tell their neighbours. One installation on a street can lead to three or four more.
• Recurring revenue — Heat pumps need annual servicing. Every installation creates a long-term service customer. If you want to build real recurring revenue, have a look at How to Set Up Boiler Service Plans That Create Recurring Revenue — the same principles apply to heat pump service plans.

Don’t Abandon Gas — Add Heat Pumps Alongside It

I want to be clear about something: this isn’t about dropping gas boiler work overnight. Gas boilers are going to be installed, serviced, and repaired for years to come. Your existing skills and customer base aren’t going anywhere.

The smart move is to add heat pump capability alongside your existing gas work. Think of it as diversifying your business. You’re not replacing one income stream with another — you’re adding a new, higher-value one.

Over time, the balance will naturally shift. More heat pump work, less gas work. But that transition will happen gradually, and if you’re already set up for it, you’ll barely feel it.

Your Heat Pump Preparation Checklist

Here’s a practical, step-by-step plan to get yourself ready:

1. Research MCS certification bodies — Compare costs, support, and what’s included.
2. Book training — Get yourself on an approved course within the next three months.
3. Get MCS certified — Complete the process and get your registration sorted.
4. Choose your manufacturer partnerships — Pick 1–2 brands to specialise in and complete their training.
5. Invest in design software — Proper heat loss calculation tools are non-negotiable.
6. Update your marketing — Website, Google Business Profile, social media — let people know you install heat pumps.
7. Start conversations with existing customers — When you’re servicing boilers, mention that you can now offer heat pump installations.
8. Build your first few case studies — Document your early installations with photos and customer feedback.

The Bigger Picture

Heat pumps aren’t just a product change — they’re a business opportunity. The heating engineers who position themselves now are going to be the ones running thriving businesses in five, ten, fifteen years’ time. The ones who wait and see are going to be scrambling to catch up.

If you’re serious about building a business that grows and adapts, you need the right systems behind you. The Systems Handbook shows you how to put the foundations in place so that when you add services like heat pump installations, your business can handle the growth without everything falling apart.

And if you want hands-on guidance through this transition — someone who’s helped hundreds of heating businesses plan for exactly this kind of change — that’s what we do at Together We Build. From our Business in a Box membership to one-to-one advisory, we’ll help you make this transition with confidence.

Ready to future-proof your heating business? Get in touch and let’s talk about where you are now and where you want to be.