Legal & General invests £8m more in UK heat pump technology firm

The financial services company bought a stake in Kensa Group in April 2020

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Legal & General Capital (LGC) has made a further investment of £8 million in Kensa Group, a UK manufacturer and installer of ground source heat pumps.

The capital will enable the Cornwall-headquartered company to continue to accelerate the deployment of the technology and networks to meet demand.

The latest investment from LGC brings the UK financial firm’s total investment to £15.7 million over two years since it bought a 36% stake in Kensa Group.

John Bromley, Head of Clean Energy at LGC said: “We invest our capital in clean energy assets, businesses and technologies which will help accelerate the UK’s progress to a low-cost, low carbon economy. Our partnership with Kensa is delivering at pace and this further investment in Kensa will enable the business to continue to scale up, bringing vital capacity to the sector.

“We are delighted to continue to support a business which is playing a major role in the transition to low carbon heating in the UK, whilst supporting significant job creation in the low carbon sector.”

According to Kensa, an estimated eight million tonnes of carbon will be saved per year by its ground source heat pumps that have been installed since April 2020 – equivalent to removing around 2,797 cars from the road.

Dr Matthew Trewhella, Kensa Group CEO added: “The whole heat pump supply chain, including Kensa, will have to expand dramatically to meet the UK’s 2028 heat pump installation target.

“This investment will allow us to significantly step up our efforts in areas such as R&D and operations, as we continue to prepare for further rapid growth.”