Europe Space Heating Boilers Market By Type (Non-condensing Space Heating Boiler, Condensing Space Heating Boiler); By Application (Residential, Commercial, Industrial); By Operation (Gas-fired Space Heating Boilers, Electric Space Heating Boilers, Oil-fired Space Heating Boilers, Coal, Others) – Growth, Share, Opportunities & Competitive Analysis, 2024 – 2032
Europe Space Heating Boilers Market size was valued at USD 3,999.05 million in 2018 to USD 5,133.38 million in 2024 and is anticipated to reach USD 7,073.02 million by 2032, at a CAGR of 3.7% during the forecast period.
REPORT ATTRIBUTE
DETAILS
Historical Period
2020-2023
Base Year
2024
Forecast Period
2025-2032
Europe Space Heating Boilers Market Size 2024
USD 5,133.38 million
Europe Space Heating Boilers Market, CAGR
3.7%
Europe Space Heating Boilers Market Size 2032
USD 7,073.02 million
The Europe Space Heating Boilers Market is shaped by strong competition among leading players, including Viessmann Group, Bosch Thermotechnology, Vaillant Group, Worcester Bosch, Ideal Boilers, Baxi Heating, Ariston Thermo Group, Ferroli, Atlantic Group, and De Dietrich Thermique. These companies emphasize condensing technology, hybrid solutions, and smart-connected systems to meet stringent EU energy efficiency regulations and evolving consumer demand. Strategic investments in product innovation, regional expansion, and partnerships strengthen their positions across residential, commercial, and industrial segments. Among regional markets, Germany leads with a 21% share in 2024, driven by strict efficiency laws, extensive renovation programs, and the presence of top domestic manufacturers such as Viessmann and Vaillant, making it the central hub for boiler adoption and innovation in Europe.
Market Insights
The Europe Space Heating Boilers Market grew from USD 3,999.05 million in 2018 to USD 5,133.38 million in 2024 and will reach USD 7,073.02 million by 2032.
Condensing boilers held 68% share in 2024, driven by EU efficiency rules, government incentives, and strong adoption, while non-condensing boilers declined to 32% share.
Residential applications led with 59% share in 2024, followed by commercial at 27% and industrial at 14%, supported by renovation and performance standards.
Gas-fired boilers dominated operations with 71% share in 2024, while electric held 13%, oil-fired 9%, and coal and others together contributed 7%.
Germany led the regional landscape with 21% share in 2024, followed by the UK at 19%, France at 15%, Russia at 14%, Italy at 12%, Spain at 9%, and Rest of Europe at 10%.
Access crucial information at unmatched prices!
Request your sample report today & start making informed decisions powered by Credence Research Inc.!
Condensing space heating boilers dominate the Europe market with nearly 68% share in 2024. Their leadership is driven by strict EU energy efficiency directives, widespread adoption of condensing technology, and government incentives promoting low-emission systems. Non-condensing boilers, holding around 32% share, continue to decline due to regulatory restrictions but remain relevant in replacement demand for older systems.
For instance, BDR Thermea has highlighted government-backed replacement schemes in the Netherlands and the UK as key drivers for the adoption of alternative heating solutions like heat pumps and hydrogen boilers, not condensing boilers.
By Application
The residential segment accounts for the largest share at 59% in 2024, reflecting strong household adoption supported by renovation programs and energy performance standards in housing. Commercial applications capture about 27% share, with demand rising in offices, retail, and institutional buildings seeking cost savings. Industrial usage represents nearly 14% share, primarily in process heating but faces slower growth due to higher adoption of alternative energy systems.
For intance, in 2022, Svea Solar partnered with EV charging manufacturer Wallbox to add EV charging options to its solar packages in multiple countries.
By Operation
Gas-fired space heating boilers dominate operations with 71% share in 2024, supported by Europe’s advanced gas infrastructure, stable supply, and competitive costs. Electric boilers hold close to 13% share, gaining traction in markets with renewable power integration. Oil-fired boilers contribute around 9% share, concentrated in rural areas without gas connectivity. Coal and other fuels combined account for nearly 7% share, showing a steady decline due to decarbonization policies and fuel transition initiatives.
Market Overview
Key Growth Drivers
Regulatory Push for Energy Efficiency
The Europe Space Heating Boilers Market benefits from strong policy support targeting energy efficiency. EU directives, such as the Energy Performance of Buildings Directive, mandate high-efficiency heating systems. Subsidies and tax incentives encourage households and businesses to replace outdated boilers with modern condensing models. This regulatory push drives consistent market demand while phasing out non-compliant technologies. Rising consumer awareness of energy savings further strengthens adoption, ensuring sustained growth across both residential and commercial sectors.
For instance, in the UK, the government’s Boiler Upgrade Scheme has already supported installations of efficient heat appliances from manufacturers like Worcester Bosch, providing grants of up to £5,000 toward replacements.
Modernization of Residential Infrastructure
A large portion of Europe’s housing stock remains outdated, creating demand for heating system upgrades. Renovation programs in Germany, the UK, and France emphasize boiler replacement as part of energy transition goals. Residential consumers increasingly choose condensing gas boilers for cost savings and efficiency. Government-backed renovation schemes and low-interest loans make upgrades more affordable, fueling market penetration. As consumers prioritize comfort and lower utility bills, modernization of housing infrastructure continues to drive robust demand for new boilers.
For instance, Vaillant reported in 2023 that its ecoTEC plus condensing boiler achieved up to 94% efficiency, with sales growth in France and Germany attributed to households lowering gas consumption during high energy price periods.
Gas Infrastructure and Supply Stability
Europe maintains an extensive gas distribution network, particularly in Western and Central regions. This infrastructure supports the dominance of gas-fired boilers, which account for the majority of installations. Despite rising interest in electrification, stable natural gas supply ensures affordability and reliability in heating. Countries like Italy and the Netherlands rely heavily on gas systems, reinforcing their market share. The established network lowers transition barriers, making gas-fired condensing boilers the preferred choice for both replacement and new installations across Europe.
Key Trends & Opportunities
Shift Toward Low-Carbon Heating Solutions
The market shows a growing trend toward low-carbon and hybrid heating technologies. Integration of boilers with renewable systems such as solar thermal panels and heat pumps is rising. Manufacturers are investing in hybrid boilers that combine gas with renewable electricity to reduce emissions. This trend opens opportunities for companies to offer innovative, eco-friendly solutions aligned with Europe’s decarbonization goals. Strong environmental policies create fertile ground for hybrid and next-generation condensing technologies, appealing to both policymakers and sustainability-conscious consumers.
For instance, HKB Boiler Solutions offers hybrid boilers capable of converting up to 5 MW of excess electrical power into usable steam or hot water, significantly reducing CO2 emissions by optimizing fuel use.
Expansion of Smart and Connected Boilers
Smart boilers equipped with IoT-enabled controls and digital integration present strong growth potential. These systems allow users to monitor energy use, reduce consumption, and optimize heating schedules remotely. Growing consumer preference for smart homes and energy management tools accelerates demand. Manufacturers such as Vaillant and Bosch are investing in connected solutions to differentiate offerings. The trend opens opportunities in value-added services, predictive maintenance, and efficiency optimization, positioning connected boilers as an emerging driver in the European market landscape.
For instance, Bosch’s EasyControl is an internet-connected thermostat that uses a ‘Home Presence Detection’ feature to learn user behavior and location via connected smartphones. It automatically adjusts the heating by turning it down when the last person leaves and turning it up when someone returns home.
Key Challenges
Rising Competition from Alternative Heating Systems
The market faces pressure from competing technologies such as heat pumps and district heating systems. EU decarbonization strategies prioritize electrification, gradually reducing reliance on fossil fuel-based boilers. Governments in Nordic countries are actively phasing out oil-fired boilers, while subsidies for heat pumps increase adoption. This shift poses a long-term threat to boiler demand. To remain competitive, boiler manufacturers must innovate hybrid or renewable-compatible systems that align with policy trends and consumer expectations for sustainable heating.
Stricter Emission Regulations
Stricter emission control measures present a challenge for traditional boiler manufacturers. EU regulations continue to set tougher limits on carbon and nitrogen oxide emissions from heating systems. These rules increase compliance costs for producers and force investments in advanced technologies. Non-condensing and oil-fired boilers face steep decline as they fail to meet new standards. Smaller manufacturers with limited R&D budgets struggle to adapt, reducing their competitiveness in the market. The pressure to comply accelerates consolidation among major players.
Volatility in Fuel Prices
Fluctuating prices of natural gas and oil create uncertainty in the Europe Space Heating Boilers Market. Consumers remain sensitive to energy cost fluctuations, which can shift preferences toward alternative heating systems. The Russia–Ukraine conflict heightened concerns about gas supply security and pricing volatility across Europe. Rising costs discourage boiler replacement and delay consumer investments. Manufacturers face demand instability in such conditions, making long-term growth forecasts more complex. Diversification of energy sources becomes critical to address this ongoing challenge.
Regional Analysis
UK
The UK holds 19% share of the Europe Space Heating Boilers Market in 2024. Strong government initiatives such as the Boiler Upgrade Scheme encourage replacement of old systems with condensing models. Residential demand dominates due to a large housing stock requiring modernization. Commercial buildings also contribute steadily, driven by energy efficiency targets. Gas-fired boilers remain the preferred choice, supported by well-developed infrastructure. Growing interest in hybrid and smart systems shapes the UK market outlook, reflecting its commitment to decarbonization.
Germany
Germany accounts for 21% share of the Europe Space Heating Boilers Market in 2024. The country leads in adoption of condensing boilers supported by stringent energy laws. Large-scale renovation programs drive replacement demand, particularly in residential and commercial segments. It benefits from a strong domestic manufacturing base, including companies like Viessmann and Vaillant. Gas-fired boilers dominate, but heat pumps are gaining traction under policy support. Germany’s focus on low-carbon heating accelerates innovation and creates opportunities for advanced boiler systems.
France
France represents 15% share of the Europe Space Heating Boilers Market in 2024. Strong reliance on gas-fired boilers drives sales, supported by favorable infrastructure. The residential sector leads adoption due to ongoing modernization of housing. The government promotes energy transition, encouraging efficient condensing systems through subsidies. It also focuses on reducing carbon emissions, influencing consumer choices. French boiler manufacturers remain competitive in domestic and export markets, leveraging innovation and compliance with environmental standards.
Italy
Italy holds 12% share of the Europe Space Heating Boilers Market in 2024. The market benefits from widespread use of gas-fired boilers due to well-established distribution networks. Residential installations dominate demand, supported by government incentives for energy-efficient upgrades. Italy emphasizes condensing technology adoption, aligning with EU sustainability objectives. It also experiences rising demand for compact and hybrid models suited to urban housing. The Italian market continues to expand under policy-driven replacement cycles and consumer focus on reducing energy bills.
Spain
Spain captures 9% share of the Europe Space Heating Boilers Market in 2024. Demand is centered in residential and commercial buildings with growing focus on efficient systems. Gas-fired boilers lead installations, while condensing models gain traction under EU compliance rules. Government-backed energy efficiency programs stimulate replacement demand. It faces increasing interest in hybrid and electric solutions due to renewable energy integration. Manufacturers expand product offerings tailored to regional climate needs, supporting future market growth.
Russia
Russia contributes 14% share of the Europe Space Heating Boilers Market in 2024. The country relies heavily on oil-fired and coal-based boilers, reflecting its energy mix. Transition toward efficient and low-emission systems is slower compared to Western Europe. Industrial demand remains strong, supported by harsh climate conditions and large-scale facilities. It continues to invest in modernization programs but faces challenges from outdated infrastructure. Gas-fired boilers gain traction where infrastructure improves, creating gradual growth potential.
Rest of Europe
The Rest of Europe region holds 10% share of the Europe Space Heating Boilers Market in 2024. Demand arises from smaller economies in Central and Eastern Europe. Replacement cycles drive growth, with condensing boilers gaining share under EU regulatory influence. Gas-fired systems remain dominant where infrastructure supports supply, while electric boilers grow in markets integrating renewables. It benefits from EU funding programs that promote sustainable heating adoption. Regional diversity in energy policies shapes market dynamics and adoption levels.
Market Segmentations:
By Type
Non-condensing Space Heating Boiler
Condensing Space Heating Boiler
By Application
Residential
Commercial
Industrial
By Operation
Gas-fired Space Heating Boilers
Electric Space Heating Boilers
Oil-fired Space Heating Boilers
Coal
Others
By Region
UK
France
Germany
Italy
Spain
Russia
Rest of Europe
Competitive Landscape
The Europe Space Heating Boilers Market is highly competitive, with leading players focusing on technological innovation, energy efficiency, and regulatory compliance to strengthen market presence. Companies such as Viessmann Group, Bosch Thermotechnology, and Vaillant Group dominate through advanced condensing boiler portfolios and wide distribution networks. Worcester Bosch, Ideal Boilers, and Baxi Heating maintain strong positions in the UK, supported by well-established brand recognition. Ariston Thermo Group, Ferroli, and De Dietrich Thermique expand their footprint by offering compact, hybrid, and smart-connected boilers tailored for residential and commercial applications. Atlantic Group leverages diversified product offerings and regional presence across France and neighboring countries. Competition centers on meeting EU decarbonization targets, with manufacturers investing in low-emission technologies, hybrid systems, and IoT-enabled solutions. Strategic partnerships, product launches, and government incentive-driven replacements shape the market dynamics. Continuous innovation and adaptation to evolving energy policies remain essential for sustaining leadership in this growing and regulated industry.
Shape Your Report to Specific Countries or Regions & Enjoy 30% Off!
In 2024, Bosch Home Comfort Group completed the acquisition of Johnson Controls’ global residential and light-commercial HVAC business, strengthening its position in the European space heating boilers market.
In January 2024, Carrier Global finalized the acquisition of Viessmann’s heat pump division, a strategic move that reshaped competition in Europe’s heating sector.
In June 2025, LG Electronics agreed to acquire a 100% stake in OSO, a European provider of water heating solutions, to strengthen its HVAC business in Europe and beyond.
In June 2025, Babcock Wanson Group acquired Chr. Møller, a Danish company specializing in industrial boiler services, to expand its decarbonization capabilities and grow operations across over 14 countries in Europe.
Report Coverage
The research report offers an in-depth analysis based on Type, Application, Operation and Region. It details leading market players, providing an overview of their business, product offerings, investments, revenue streams, and key applications. Additionally, the report includes insights into the competitive environment, SWOT analysis, current market trends, as well as the primary drivers and constraints. Furthermore, it discusses various factors that have driven market expansion in recent years. The report also explores market dynamics, regulatory scenarios, and technological advancements that are shaping the industry. It assesses the impact of external factors and global economic changes on market growth. Lastly, it provides strategic recommendations for new entrants and established companies to navigate the complexities of the market.
Future Outlook
Demand for condensing boilers will rise as regulations phase out inefficient systems.
Gas-fired boilers will maintain dominance while hybrid and electric models gain traction.
Renovation programs will drive strong replacement demand in residential housing.
Commercial buildings will increasingly adopt smart and connected boiler technologies.
Industrial usage will gradually decline due to alternative heating solutions.
Policy-driven decarbonization will accelerate adoption of low-emission and hybrid boilers.
Digital integration will enhance predictive maintenance and energy management services.
Rising fuel price volatility will influence consumer preferences toward electric options.
Eastern European countries will see growth supported by EU funding for efficiency upgrades.
Competition among key players will intensify through innovation, partnerships, and product diversification.
5.3 Segmental Wealth Flow – Type & Operation Revenue
CHAPTER NO. 6: TRADE & COMMERCE ANALYSIS
6.1. Import Analysis by Region
6.1.1. Europe Space Heating Boilers Import Revenue By Region
6.2. Export Analysis by Region
6.2.1. Europe Space Heating Boilers Export Revenue By Region
CHAPTER NO. 7: COMPETITION ANALYSIS
7.1. Company Market Share Analysis
7.1.1. Europe Space Heating Boilers: Company Market Share
7.2. Europe Space Heating Boilers Company Revenue Market Share
7.3. Strategic Developments
7.3.1. Acquisitions & Mergers
7.3.2. New Product Launch
7.3.3. Regional Expansion
7.4. Competitive Dashboard
7.5. Company Assessment Metrics, 2024
CHAPTER NO. 8: SPACE HEATING BOILERS MARKET – BY TYPE SEGMENT ANALYSIS
8.1. Space Heating Boilers Overview by Type Segment
8.1.1. Space Heating Boilers Revenue Share By Type
8.2. Non-condensing Space Heating Boiler
8.3. Condensing Space Heating Boiler
CHAPTER NO. 9: SPACE HEATING BOILERS MARKET – BY APPLICATION SEGMENT ANALYSIS
9.1. Space Heating Boilers Overview by Application Segment
9.1.1. Space Heating Boilers Revenue Share By Application
9.2. Residential
9.3. Commercial
9.4. Industrial
CHAPTER NO. 10: SPACE HEATING BOILERS MARKET – BY OPERATION SEGMENT ANALYSIS
10.1. Space Heating Boilers Overview by Operation Segment
10.1.1. Space Heating Boilers Revenue Share By Operation
10.2. Gas-fired Space Heating Boilers
10.3. Electric Space Heating Boilers
10.4. Oil-fired Space Heating Boilers
10.5. Coal
10.6. Others
CHAPTER NO. 11: SPACE HEATING BOILERS MARKET – REGIONAL ANALYSIS
11.1. Space Heating Boilers Overview by Region Segment
11.1.1. Europe Space Heating Boilers Revenue Share By Region
11.1.2. Regions
11.1.3. Europe Space Heating Boilers Revenue By Region
11.1.4. Type
11.1.5. Europe Space Heating Boilers Revenue By Type
11.1.6. Application
11.1.7. Europe Space Heating Boilers Revenue By Application
11.1.8. Operation
11.1.9. Europe Space Heating Boilers Revenue By Operation
CHAPTER NO. 12: EUROPE SPACE HEATING BOILERS MARKET – COUNTRY ANALYSIS
12.1. Europe Space Heating Boilers Overview by Country Segment
12.1.1. Europe Space Heating Boilers Revenue Share By Region
12.2. Europe
12.2.1. Europe Space Heating Boilers Revenue By Country
12.2.2. Type
12.2.3. Europe Space Heating Boilers Revenue By Type
12.2.4. Application
12.2.5. Europe Space Heating Boilers Revenue By Application
12.2.6. Operation
12.2.7. Europe Space Heating Boilers Revenue By Operation
12.3. UK
12.4. France
12.5. Germany
12.6. Italy
12.7. Spain
12.8. Russia
12.9. Rest of Europe
CHAPTER NO. 13: COMPANY PROFILES
13.1. Viessmann Group
13.1.1. Company Overview
13.1.2. Product Portfolio
13.1.3. Financial Overview
13.1.4. Recent Developments
13.1.5. Growth Strategy
13.1.6. SWOT Analysis
13.2. Bosch Thermotechnology
13.3. Vaillant Group
13.4. Worcester Bosch
13.5. Ideal Boilers
13.6. Baxi Heating
13.7. Ariston Thermo Group
13.8. Ferroli
13.9. Atlantic Group
13.10. De Dietrich Thermique
Request A Free Sample
We prioritize the confidentiality and security of your data. Our promise: your information remains private.
Ready to Transform Data into Decisions?
Request Your Sample Report and Start Your Journey of Informed Choices
Providing the strategic compass for industry titans.
Frequently Asked Questions
What is the current market size for Europe Space Heating Boilers Market, and what is its projected size in 2032?
The Europe Space Heating Boilers Market size reached USD 5,133.38 million in 2024 and is expected to achieve USD 7,073.02 million by 2032.
Which Europe Space Heating Boilers Market segment held the largest share in 2024?
The condensing space heating boilers segment dominated with 68% share in 2024, supported by EU regulations, consumer preference for efficiency, and government-backed energy-saving incentive schemes.
What are the primary factors fueling the growth of the Europe Space Heating Boilers Market?
Growth is driven by regulatory efficiency targets, modernization of residential housing, strong gas infrastructure, and increasing adoption of condensing and hybrid boiler technologies across European nations.
Who are the leading companies in the Europe Space Heating Boilers Market?
Key players include Viessmann Group, Bosch Thermotechnology, Vaillant Group, Worcester Bosch, Ideal Boilers, Baxi Heating, Ariston Thermo Group, Ferroli, Atlantic Group, and De Dietrich Thermique.
About Author
Ganesh Chandwade
Senior Industry Consultant
Ganesh is a senior industry consultant specializing in heavy industries and advanced materials.
Semiconductor Laser Market size was valued at USD 8880 million in 2024 and is anticipated to reach USD 18140.3 million by 2032, at a CAGR of 9.34% during the forecast period.
Self-Sensing Nanocomposites Market size was valued at USD 490 million in 2024 and is anticipated to reach USD 1457.7 million by 2032, at a CAGR of 14.6% during the forecast period.
Modular Chillers Market size was valued at USD 3.53 billion in 2024 and is anticipated to reach USD 6.3 billion by 2032, at a CAGR of 7.5% during the forecast period.
High Efficiency Spinning Equipment Market size was valued at USD 2290 million in 2024 and is anticipated to reach USD 3256.6 million by 2032, at a CAGR of 4.5% during the forecast period.
The High Dynamic Range (HDR) market size was valued at USD 24,550 million in 2024 and is expected to reach USD 116,590.1 million by 2032. The market is projected to grow at a CAGR of 21.5% during the forecast period.
Healthcare Quality Management Software Market size was valued at USD 1240 million in 2024 and is anticipated to reach USD 3305.8 million by 2032, at a CAGR of 13.04% during the forecast period.
The High Density Fiberboard (HDF) Market size was valued at USD 7408.5 million in 2024 and is projected to reach USD 12078 million by 2032, growing at a CAGR of 6.3% during the forecast period.
The Hemodialysis Equipment Market size was valued at USD 15,160 million in 2024 and is anticipated to reach USD 28,164.2 million by 2032, at a CAGR of 8.05% during the forecast period.
The Hemodialysis Catheters Market size was valued at USD 1540 million in 2024 and is anticipated to reach USD 2673.8 million by 2032, at a CAGR of 7.14% during the forecast period.
Licence Option
The report comes as a view-only PDF document, optimized for individual clients. This version is recommended for personal digital use and does not allow printing. Use restricted to one purchaser only.
$3999
To meet the needs of modern corporate teams, our report comes in two formats: a printable PDF and a data-rich Excel sheet. This package is optimized for internal analysis. Unlimited users allowed within one corporate location (e.g., regional office).
$5999
The report will be delivered in printable PDF format along with the report’s data Excel sheet. This license offers 100 Free Analyst hours where the client can utilize Credence Research Inc. research team. Permitted for unlimited global use by all users within the purchasing corporation, such as all employees of a single company.
Thank you for the data! The numbers are exactly what we asked for and what we need to build our business case.
Materials Scientist (privacy requested)
The report was an excellent overview of the Industrial Burners market. This report does a great job of breaking everything down into manageable chunks.
