European Heat Pump Sales Rebound 17% in Q1 2026 as Dual Heating-Cooling Demand Grows

European heat pump sales grew 17% year-on-year in the first quarter of 2026, according to the European Heat Pump Association, reversing a two-year decline in which installations fell from 2.8 million units in 2022 to 2.11 million in 2024 [2]. Preliminary data from thirteen EU member states showed that the market had already recovered in 2025, with sales rising to 2.34 million units [1].

Recovery gains momentum in 2026

In France, sales of air-to-water heat pumps increased by 6.6% in the first quarter of 2026, while air-to-air models saw a 25% rise [4]. At the global level, installed heat pump capacity grew by around 29% between 2019 and 2023, with China (32%), the European Union (25%), and the United States (24%) accounting for the largest shares. Within Europe, Sweden and Finland continue to lead in adoption relative to population size [3].

Rising fossil fuel prices following geopolitical instability in the Middle East have further encouraged consumers to move away from gas heating systems [5].

A dual role in heating and cooling

The European Commission notes that heat pumps are roughly three to five times more energy efficient than gas boilers and are crucial to achieving the EU's carbon-neutrality goals by 2050 [1]. The heating and cooling sector accounts for around 50% of all energy consumed in the EU [2], underlining the importance of efficient technologies in the energy transition.

Beyond heating, reversible heat pumps can also cool homes during the increasingly intense European heatwaves. Europe is the fastest-warming continent on Earth, with record-breaking temperatures reported every year [4]. Heat pumps therefore offer a dual solution: supporting the electrification of heating while meeting the rapidly growing demand for space cooling.

Challenges and the Heat Pump Accelerator Platform

Despite the positive momentum, several obstacles remain. High upfront investment costs continue to be a major barrier for households and small businesses [1]. Fragmented policy frameworks across member states create regulatory complexity, and shortages of trained installers and technicians slow deployment.

To address these issues, the European Commission launched the Heat Pump Accelerator Platform in 2025, bringing together policymakers, researchers, and industry leaders to accelerate deployment across Europe [3]. The initiative stresses the need for better consumer awareness, installer training, and sustainable long-term policy support [2]. Policy measures such as tax incentives, green financing instruments, and improved regulatory alignment are increasingly identified as key enablers of faster adoption.

Sources

[1] European Commission. "Heat Pumps." Accessed 27 May 2026. https://energy.ec.europa.eu/topics/energy-efficiency/heat-pumps_en.

[2] Eurostat. "Heating and cooling from renewables gradually increasing." 3 February 2023. https://ec.europa.eu/eurostat/web/products-eurostat-news/w/ddn-20230203-1#:~:text=Energy%20for%20heating%20and%20cooling,of%20biomass%20and%20heat%20pumps.

[3] European Commission. "The Heat Pump Accelerator Platform." Accessed 27 May 2026. https://energy.ec.europa.eu/topics/energy-efficiency/heat-pumps/heat-pump-accelerator-platform_en.

[4] European Commission. "Europe's warming accelerates beyond global trend, new Copernicus data shows." https://wmo.int/media/news/western-europe-has-hottest-june-record.

[5] Liam Gilliver. "Can Heat Pumps Cool Down Your Home and How Do They Compare to Air Conditioning Units?" Euronews. Accessed May 27, 2026. https://www.euronews.com/2026/05/26/can-heat-pumps-cool-down-your-home-and-how-do-they-compare-to-air-conditioning-units.