Sustainable Installations Cool Down: Heat Pumps Hit a Wall

Fresh data from the European Mechanical Installation Monitor shows it clearly: the demand for sustainable HVAC and plumbing solutions is swaying. We’re seeing a different story to the headlines from just a year or two ago. Heat pumps, a go-to answer in green heating, are hitting somewhat of a wall.

What Gets Installed When Sustainability Is on the Table

When projects call for sustainable installation, the usual shows up: low-flow fixtures, better insulation, smart controls. But the centerpiece, especially in heating, has been heat pumps.

High Hopes, High Demand

After energy prices spiked due to the war in Ukraine – sending oil and gas costs soaring – heat pumps saw a massive uptake. Everyone wanted in, and installers could barely keep up. So big brands like Vaillant, Viessmann and Bosch ramped up production to meet increasing demand.

Come 2024, this all dropped hard. According to the European Heat Pump Association, 2024 saw a slowdown of 21%. Why? Prices for gas and electricity stabilized. Early adopters – those first willing and able to pay for an eco-friendly arrangement – had already made the switch. But the broader market wasn’t as eager. The systems were expensive – they still are. So is the labor, with the sense of public urgency going quiet.

What Installers Are Seeing in 2025

Across Europe, installers report fewer heat pump jobs. The numbers are down in the UK, France, Germany and the Netherlands. Belgium is holding its ground, with Poland showing an increase in usage. Meaning – a green label on the deal is no longer enough to close it.

And in places like the Netherlands, where heat pumps are mandatory in new residential construction, new issues are emerging. The grid can’t handle a fully operational surge. When too many units hit one part of the network, performance drops – and complaints rise. The tech is there and it works, but the infrastructure often doesn’t keep up.

The Takeaway?