Search

06 Sept 2025

Heat pump system bills 'higher than mortgage' frighten Irish homeowners off switch

New SEAI reports show many won't change to environmentally friendly heat pump systems due to concerns over costs and a reluctance to change from existing fossil-fuel boilers which have years left to run

heat pump

Air to water heat pump systems are powered by electricity

Sky-high electricity bills for sustainable heat pump systems remain a considerable barrier for Irish homeowners switching their heating systems, with one Offaly resident saying his heating bills were "higher than my mortgage" during some winter months. 

Running costs are one of the concerns highlighted in a recent report on the environmentally sustainable heating systems. 

One Offaly homeowner told us: "I have an air to water system that we had installed in our A-rated house in 2018. In theory the system sounds great but in practice when you sign up for these modern heating systems you are handing over control of your heating costs.

"Since the installation of the system electricity prices have skyrocketed. This is something out of my control and has resulted in heating bills being higher than my mortgage during more than one winter month. The alternative is to turn the system down and have a cold house but you still need it to heat water when needed. 

"We as a household have had to deal with huge costs due to a heating system which is being promoted as efficient and cost effective, largely because of the rises in electricity costs. It is very cheap in the summer months but if the electricity prices continue as they are, all the summer savings are outweighed by the winter costs," the resident said. 

One new homeowner said: "Our first few bills were very reasonable. Then the Government's energy credit came in and the bill seemed to rise by almost exactly as much as the energy credit was worth. 

"Our last bill was over €1,000 (over two months). We've turned all the thermostats down for the next billing cycle to see if we can bring the bill down that way and we're in our new build now, and a little cold at night due to the soaring cost of the electricity bill.
"Now, it's the only bill we have for the house, but still. We keep hearing that energy prices are coming down but I'm not seeing it in my electricity bill."
High running costs for the sustainable heating systems have also been raised at local authority level. 

Air-to-water heat pump systems installed in some retrofitted Laois council housing are so high that is like a 'double rent' for tenants, a Laois councillor told a recent council meeting. 

Cllr John King said ‘super’ work has been done on houses in Rathdowney to bring them up to date. However, he cautioned about one costly retrofit retrofitting result for tenants due to the air-to-water heat pump systems installed.

“They are now paying a double rent because they are not used to paying for the heating. They have no control over the cost of it because it has to be on constantly...The running cost is quite expensive it is nearly equal to the rent,” he said.

Many Irish homeowners may be willing to switch to electric heat pumps, but only when their current heating system needs to be replaced, according to latest research. 

A new report from the Sustainable Energy Association of Ireland (SEAI) also found the concerns over costs are also an issue. 

Current Government grants are helpful, the report says, but additional supports and promotion would further boost uptake.

Many homeowners remain unaware of grants in the first place, while others are put off by complex grant paperwork and worry over possible unanticipated ancillary costs. The research also showed that both financial and environmental motivations matter for adoption of heat pumps.

The recent SEAI reports on heating pumps includes several recommendations, including targeting interventions at homeowners with older boilers, introducing measures to increase the convenience of heat pumps as an option for emergency replacements, considering offering further grant support, ensuring heat pump running costs remain competitive compared with fossil fuel alternatives, creating stronger signals regarding Ireland’s future trajectory towards fossil fuel phaseout and widespread heat pump deployment, and running a widespread heat pump awareness campaign. 
Recent changes to scheme design have included simplifying the heat pump grant process and including additional supports for ancillary works that may be required when installing a heat pump. Further scheme improvements are being considered.

Report Author, Dr Hannah Julienne, Programme Manager of Behavioural Economics at SEAI said: "We estimate there are about 250,000 homes in Ireland that are already suitable for a heat pump system but are still using oil. This research has shown us that the homeowners in these dwellings are generally positive about heat pumps and are willing to pay for one, but only when their existing heating system has come to the end of its life.

"Given that many of these homes have older boilers that will need replacing in the next few years, it is crucial we support these homeowners and ensure that when the time for replacement comes, they make the switch to a heat pump rather than getting locked into another decade or more of fossil fuel use”.

Ireland has one of the lowest uptake on heat pump systems, in comparison to Norway, which has the highest level in Europe. 

To continue reading this article,
please subscribe and support local journalism!


Subscribing will allow you access to all of our premium content and archived articles.

Subscribe

To continue reading this article for FREE,
please kindly register and/or log in.


Registration is absolutely 100% FREE and will help us personalise your experience on our sites. You can also sign up to our carefully curated newsletter(s) to keep up to date with your latest local news!

Register / Login

Buy the e-paper of the Donegal Democrat, Donegal People's Press, Donegal Post and Inish Times here for instant access to Donegal's premier news titles.

Keep up with the latest news from Donegal with our daily newsletter featuring the most important stories of the day delivered to your inbox every evening at 5pm.