District heating or heat pump?
District heating – also known as a heat network – is gaining attention in the UK as towns and cities look for cleaner, smarter ways to supply heat.
Meanwhile, heat pumps are becoming the go-to option for individual homeowners keen to cut energy bills and carbon emissions. Both are part of the UK’s low-carbon future – but they work in very different ways, and not every home is suited to both.
If you’re thinking ahead to your next heating upgrade, understanding the difference between these two solutions is a smart move. In this guide, we explain how each system works, where they’re most suitable, and why getting to know your own home is the essential first step before making any decision.
So what is district heating, exactly – and how does it compare to having your own heat pump?
District heating: shared energy, local impact
District heating – sometimes called a heat network – is a low-carbon way to warm homes by connecting them to a central energy source, rather than heating each one individually. It’s widely used in countries like Denmark and Sweden, where entire towns are served by underground networks that deliver hot water directly to homes.
In the UK, this approach is still emerging, but interest is growing as local authorities set net-zero targets and develop area-wide energy plans. For the right settings – especially new developments, apartment blocks, or dense urban housing – district heating can offer a simpler, more collective way to decarbonise.
How does district heating work?
A central source – such as a large heat pump, a waste heat plant, or geothermal system – heats water at a single location. That hot water is then circulated through insulated underground pipes to nearby homes and buildings, where it’s used for heating and hot water.
Instead of each home having its own boiler or heat pump, the whole neighbourhood shares one efficient, professionally maintained system.
District heating can offer:
- Lower running costs over time
- Reduced reliance on fossil fuels
- Less maintenance for individual households
- Scalable infrastructure that supports long-term decarbonisation
That said, heat networks aren’t suited to every area – and rollout in the UK is still limited. Fewer than 3% of homes are connected today, compared with over 60% in Denmark. Building a heat network takes coordination, investment, and careful planning – and it’s most viable where there’s enough density to make shared infrastructure efficient.
To see where heat networks may be planned near you, visit:
UK Government: Heat network zoning
Heat pumps: personalised, proven, and available now
While district heating may be on the horizon for some, heat pumps are available to homeowners today. They’re a tried and tested low-carbon option, particularly for homes that are already well-insulated or are undergoing energy upgrades.
A heat pump works by extracting warmth from the air or ground outside your home – even in cold weather – and using it to heat your space and hot water. It’s a clean, quiet, highly efficient system that replaces the need for a gas boiler entirely.
Key benefits include:
- Available now with government support and grants
- Ideal for individual homes – especially detached or semi-detached ones
- Highly efficient, especially when paired with good insulation
- Provides full control over heating and usage
Because they operate on a household-by-household basis, heat pumps can be installed without waiting for wider infrastructure. They’re also well suited to rural homes, retrofit projects, and anyone wanting more independence over their energy choices.
So what’s right for your home?
For most people, the question isn’t whether to choose district heating or a heat pump – it’s how to make their home ready for a low-carbon future, whatever form that takes.
That might mean preparing for a local heat network, installing a heat pump now, or starting with insulation, ventilation and smart controls to improve energy performance first. Either way, understanding your home’s current condition – how it uses and loses energy – is the foundation for any successful upgrade.
Why start with a whole house assessment?
A Whole House Plan is exactly what it sounds like – a complete, expert-led assessment of your home, tailored to your goals, your budget, and your property.
It gives you a clear roadmap for improving comfort, cutting bills, and preparing for technologies like heat pumps or heat networks. It also helps you plan the right upgrades in the right order – so you don’t waste time or money on measures that won’t deliver.
Final thought
The best decision is an informed one
You don’t have to decide everything today. But the earlier you understand your options – and your home – the better placed you’ll be when the time comes.
Whether you eventually connect to a shared system or go all-electric with a heat pump, the journey starts the same way: get to know your home, plan ahead, and make decisions that serve you well into the future.
Getting started
Have questions? Call our team on 0330 223 2742 (Monday to Friday), or send us a message. We’ll help you start your journey to a warmer, quieter, more energy-efficient home.