Heat pumps have become central to the debate over the UK’s transition to low-carbon household heating. Supporters view them as a key technology to cut emissions and reduce reliance on fossil fuels. Sceptics question their cost, performance and practicality. What is often overlooked is the quiet but transformative potential of smart heat pumps, not just as efficient heaters, but as powerful tools to support the management of the nation’s electricity system.

New real-world evidence now shows exactly what they can deliver. Smart heat pumps can dramatically reduce electricity demand during peak times, help prevent blackouts, lower household bills and support the UK’s climate goals without compromising comfort. In short, they are not simply a replacement to a gas boiler; they can act as flexible, responsive pieces of energy infrastructure sitting inside ordinary homes.

What we tested, and why it matters
Working with Good Energy, our research team monitored smart air-source heat pumps installed in 30 homes across southern England. The aim was straightforward: to understand how effectively these systems could automatically adjust their operation during periods of high electricity demand.

The study was part of the LATENT project (Residential heat as an energy system service), which is funded by the UKRI Engineering and Physical Sciences Research Council (EPSRC).

For decades, managing peaks in electricity use has required firing up gas-fired power stations or importing power from abroad. These are expensive, emissions-intensive measures that become increasingly unsustainable as we move towards net zero. The central question was whether heat pumps, when paired with smart controls, could in part help to address this problem from inside the home. The study’s key aim was to assess if blind, third-party control of heat pumps would be acceptable to households.

Our findings were conclusive. During controlled blind ‘peakshifting’ events, participating households reduced heat pump electricity use by around 90%, yet indoor comfort was maintained throughout. Crucially, users barely noticed the changes: fewer than 1% of events were manually overridden.

This is flexibility at its best: automated, invisible and designed around people’s everyday lives.

Benefits for households: warm homes, lower bills
For households, the implications are straightforward. Smart heat pumps offer reliable, comfortable heating with the added advantage of the potential of lower energy costs by providing flexibility. By shifting operation outside peak pricing periods – or participating in flexibility schemes that reward reduced usage – consumers can save money without changing their routines or living in colder homes.

During the trial we observed that heat deferral works, households stay warm and third-party control goes predominantly unnoticed. This matters because public perception remains a barrier to heat pump adoption. Many households worry about complexity or the fear of losing control. Our findings counter that narrative directly: smart heat pumps simplify the user experience and maintain comfort.

During controlled blind ‘peakshifting’ events, participating households reduced heat pump electricity use by around 90%, yet indoor comfort was maintained throughout. Crucially, users barely noticed the changes.

Benefits for the grid: a new form of national flexibility
While the household benefits are potentially significant, the implications for the national grid may be even more far reaching.

Heat pumps, when operating smartly, can act as a distributed network of flexible assets. When millions of systems are responding automatically to grid signals, the aggregated effect is transformative. The potential to ease pressure during peak times could:

• reduce the need for costly balancing measures;
• lower reliance on fossil fuel backup generation;
• prevent blackouts during extreme demand events; and
• support the integration of more renewable power.

This vision is not hypothetical. Our work helped catalyse Good Energy’s ‘Flexirewards’ product. This is the UK’s first commercial heat pump flexibility offering. The concept has already moved from experimental trial to market reality.

However, to realise the full national benefits of smart heat pump flexibility, the UK will need coordinated action across the energy system.

Manufacturers must integrate flexibility features directly into next generation devices. Installers should be trained to optimise systems for smart operation from day one. Energy suppliers and distribution operators need to develop and scale the tariffs and incentives that reward households for participation, and policymakers must ensure interoperability and fair consumer compensation.

The technology exists. The challenge now is building the systems and partnerships that allow it to flourish.

Public scepticism thrives in the absence of real-world examples. Our research helps fill that gap. Smart heat pumps aren’t just cleaner heaters. With the right support, they can play an important role in the UK’s journey to a stable, affordable, low-carbon electricity system.

The views and opinions expressed in this article are strictly those of the author only and are not necessarily given or endorsed by or on behalf of the Energy Institute.

• Further reading: ‘Powering up the consumer: UK power networks trial app-controlled off-peak charging with variable success’. Discover more about trials carried out by network companies and utilities that aim to prove it is possible to shift electricity demand by offering incentives to customers.
• Find out how shifting demand for power helps green the grid.