Domestic air conditioning market expected to lift
Written by admin on December 1, 2025
Last week the Department for Energy Security & Net Zero expanded the boiler upgrade scheme (BUS) to offer a £2,500 discount off the cost of installing an air-to-air heat pump, in addition to the existing offer of £7,500 grant for an air source or ground source heat pump.
Air source or ground source heat pumps provide heating; air-to-air heat pumps also provide cooling as well.
This is the first time air-conditioning units have been eligible for government funding.
Carrier Solutions UK, which distributes the Toshiba air-conditioning range, said that the £2,500 offer could be just enough to provide a major catalyst for a residential air-conditioning market in the UK.
“This update has the potential to kick-start a new residential air-conditioning market in the UK,” said David Dunn, managing director, UK & Ireland for Carrier CSE-R Europe. “Air-to-air systems have often been seen as specialist products chosen for summer cooling, but they also provide efficient heating and therefore year-round comfort. Recognising them under BUS brings greater choice for homeowners and supports the UK’s direction of travel towards decarbonisation.”
He said that the expansion of the scheme was particularly significant for properties that have historically struggled to adopt traditional air-to-water heat pumps, such as apartments and flats. Many of these homes rely on older direct-electric or storage heating with lower efficiency. Multi-split systems, which allow one outdoor unit to serve multiple rooms, offer a practical upgrade path.
“Much of the UK housing stock needs solutions beyond conventional heat-pump configurations,” Dunn added. “Air-to-air systems, along with emerging electric technologies, offer flexibility and efficiency where other approaches may not be suitable. Seeing the government recognise this range of solutions is very positive for the industry.”
Got a story? Email news@theconstructionindex.co.uk
