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• House prices fell in ten out of 13 UK regions
Each quarter we will bring in the fourth quarter
you an update on the • East Anglia saw the largest price gains in
2010
heating market, with a focus
• Oxford and St. Albans are best performing

UPDATE
on boiler sales. This update regional cities
replaces the quarterly Boiler • Northern Ireland worst performing region for
Sales Update which HHIC third year running
used to distribute as a Source: Nationwide

separate publication.
New Build Homes
An encouragingly consistent number of new
home registrations during November signifies
a return of hope among house builders at the
Highlights end of 2010, according to NHBC.
Registrations for September to November
• Boiler sales finish year on 2010 were up seven per cent on the same
a high period last year (28,910, up from 27,124).
Figures look set to end the year with an
• Solar Thermal end the improvement of more than 30 per cent from
year sluggishly with RHI an increase of 0.6 per cent. % -6.2 -0.5 +24.1 the previous year overall.
on the horizon The most significant upward contributions comparison NHBC statistics for the rolling quarter
to the 1-month change in the CPI between Source: Bank of England September - November 2010 show that:
November and December 2010 came from: * Private sector registrations were up 7 per
• Transport: prices, overall, rose by 3.6 per Domestic Fuel Prices cent (to 19,909) when compared with the

T
he boiler market ended the year cent, the largest ever monthly increase on The most recent figures available from the same period last year (18,617)
strongly, posting 5.3 per cent growth record. By far the largest upward effect came Department for Energy & Climate Change * Public sector registrations were 9,001 - 6 per
year on year. These extra sales are from air transport where fares rose by 41.8 (DECC) are for Q3 2010and these are cent higher than the same period a year ago
principally due to the boiler scrappage per cent (such an increase is not unusual compared with Q3 2009. (8,507)
scheme. The fear had been that sales in for a November to December period). The Q3 2010 data shows that the prices paid • Registrations in the combined private and
February and March would be in place of next largest upward effect came from fuels for all fuel and light have fallen by 5.1 per public sectors were 7 per cent up on the
sales later in the year. This has proven to be and lubricants where prices rose by 2.8 per cent in real terms between Q3 2009 and Q3 same period in 2009 (28,910, up from
unfounded and backs up industry claims Gas Boiler Sales Q4 2010 v Q4 2009 cent, the largest increase for a November to 2010. Prices fell by 0.6 per cent in real terms 27,124).
about the success of the scheme. With boiler December period since 1996 between Q2 2010 and Q3 2010. Source NHBC
sales hitting almost record sales (only 2007 Q4 2010 Q4 2009 Annual Comparison • Housing and household services: prices, Domestic electricity prices, including VAT, Housing and Property
saw higher sales) 2011 may be a more overall, rose by 1.4 per cent; the largest fell by 3.5 per cent in real terms in the year to Transactions
conservative year. Oct Nov Dec Oct Nov Dec Q4 09- Q4 08- % ever increase for a November to December Q3 2010. Domestic gas prices, including VAT, The total number of property transactions was
Solar Thermal sales dropped off in Quarter Q3 10 Q3 09 change period. The largest upward effect came fell by 9.0 per cent in real terms in the year down to 73,000 in October 2010, a drop of 11%.
4 based on previous quarters sales numbers. Total boiler sales 159.4 168.4 119.1 170.8 150.9 114.9 1599.3 1518.1 +5.3 from gas where average bills rose due to Q3 2010. Source Construction Products Association
However there is now a pattern that shows (000’s) to some of the major energy suppliers The price of coal and smokeless fuels
that Quarter 4 is typically a slower period. % condensing 99.2 99.1 99.0 99.0 99.0 98.7 99.0 98.9 +0.1 increasing their tariffs in December 2010. decreased in real terms by 3.6 per cent, and
Sales were still up based on last year and The next largest upward effect came from the price of heating oils increased by 20.4 per
2010 ended the year 35 per cent higher. This liquid fuels, where prices rose sharply cent between Q3 2009 and Q3 2010.
demonstration that Solar Thermal is now a
Solar Thermal Heating Sales by m2 Q4 2010 v Q4 2009 reflecting the increase in the price of oil Source: DECC
popular and almost mainstream low carbon Q4 2010 Q4 2009 % change Q1 2010 Q1 2009 % change between November and December.
technology means that the Renewable Heat - Q4 2010 - Q4 2009 Source: Office for National Statistics House Prices
Incentive (RHI) introduction later in 2011 will 2009 2010
see sales rise to unprecedented levels. Flat Plate 16786 12192.72 +37.7% 69640.34 48716.81 +42.9% Interest Rates Oct £158,871 £169,347
The Bank of England’s Monetary Policy Nov £160,224 £166,507
ECOMOMIC OVERVIEW Vacuum tube 3666.6 3651.88 +0.4% 18621.26 16787.95 +10.9% Committee voted to maintain the official Dec £161,816 £166,757
The heating market is influenced by a range Bank Rate paid on commercial bank reserves Average £163,244 £167,354
of factors many of which involve decisions Total 20452.6 15844.6 +29.1% 88261.6 65504.76 +34.7% at 0.5%. Source: Nationwide
based on economic factors. Some of these are
outlined below. Oct 10 Nov 10 Dec 10 with a rise of 0.6 per cent a year ago. The Domestic Fuel Prices Indices: “The final quarter of 2010 saw house
CPI change (%) 3.2 3.3 3.7 1.0 per cent 1-month change this year is a Gas Electricity Heating prices fall in ten out of 13 UK regions.
Inflation RPI change (%) 4.5 4.7 4.8 record increase for a November to December oils For the UK as a whole, prices fell by
Recent changes in RPI and CPI annual rates period. Between 1996 and 2008, the 1-month Q3 2010 179.4 154.7 154.4 1.3% in the quarter, leading to a fall
were as follows: The CPI rose by 1.0 per cent between change between November and December Q3 2009 191.2 155.5 124.4 in the annual growth rate from 4.5%
November and December this year compared has varied between a fall of 0.4 per cent and to 0.7%

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