The UK has set an ambitious target to cut its greenhouse gas emissions by at least 80% by 2050, relative to 1990 levels. Currently, heat accounts for nearly half of the energy consumption in the UK and a third of the nation's carbon emissions. To achieve the UK's carbon reduction target, the residential heating sector has to be substantially decarbonised. A wide range of technologies are at different stage of developments but their energy efficiencies are not all satisfactory. There is clearly a big gap between the demand and supply of cost-effective heating technologies in the UK. There is a urgent need for innovation of low-carbon heating technologies in the UK. This project develops a novel, gas-powered heat pump that integrates a small-scale Rankine Cycle power generator using organic working fluids (i.e. refrigerants) with a vapour-compression heat pump by means of a novel coupling technology. Both the heat rejected by the Rankine Cycle power generator and the heat provided by the heat pump are fully utilised for heating. The novel design allows the condensing temperature of the heat pump to be much lower than that of a single electrically-powered heat pump leading to much higher energy performance. The compact heat exchangers are used to enable the heat pump much small in size. The novel design of the combustion heat exchanger enables efficient and clean combustion processes. The novel heating technology developed through this project is much more efficient than traditional heating technologies, and therefore can significantly reduce the carbon emissions from the residential heating sector in the UK, if widely installed.