Labour’s biggest individual donor Dale Vince has urged the Government to scrap its flagship heat pump subsidy scheme and redirect billions towards rooftop solar. The Ecotricity founder says the move could cut household energy bills while delivering a return for taxpayers. Vince takes aim at Labour’s flagship scheme Vince wants the £2.7bn allocated to the Boiler Upgrade Scheme through 2029-30 used to “solarise a million rooftops”. Most air-to-water and ground-source heat pumps currently attract grants of £7,500, while air-to-air systems receive £2,500. He told the i Paper that the scheme offered poor value, arguing heat pumps provided “no return ever” and claiming 30% of recipients would have installed one anyway. He said solar could instead save families around £500 a year while generating an 8% return for the public purse. The 30% figure was a Government assumption used when the scheme was designed. Heat pump industry hits back The Heat Pump Association UK rejected Vince’s claims. Chief executive Charlotte Lee said more than 90,000 people had benefited from the scheme and independent monitoring showed a 94% satisfaction rate. The Government says a heat pump can save a typical gas-heated household around £250 a year. Lee argued that properly installed systems, particularly when combined with solar and batteries, can deliver meaningful savings. Vince opens a second front over North Sea oil The green entrepreneur is also pressing Labour to rethink its approach to domestic oil and gas. He has proposed guaranteed North Sea prices based on production costs plus a profit margin, arguing Britain could capture more value from its own resources. Vince said he had presented the idea directly to Prime Minister Andy Burnham, who responded “positively”. He insists his priority is cutting bills, rather than simply securing approval for new drilling. Net zero faces a political pressure test The intervention comes as the Government considers whether to approve fresh development at Rosebank and Jackdaw in the North Sea. Vince argues Labour needs a practical energy strategy that lowers household costs without abandoning its climate ambitions. The Government says its Warm Homes Plan will expand access to both solar and heat pumps, with plug-in solar panels also due to go on sale this week. ‘Heat pumps are a waste of money’, says Labour’s mega eco-donor Dale Vince
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