Heat pump costs
What a heat pump really costs
Installation, running, servicing and the hidden extras a cheap quote leaves out — plus exactly how the £7,500 grant changes the figure. Honest ranges, not one tidy number.
Heat pump cost is the question everyone starts with — and it deserves an honest, complete answer, not just one headline number. This page covers installation, running, servicing and repair costs, the hidden extras a cheap quote might hide, and how the grant changes the figure. For a number tailored to your home, use the free calculator.
Heat pump installation cost
Most air source heat pump installations cost roughly £9,000 to £19,000 before the grant, depending on the size of system your home needs. After the £7,500 Boiler Upgrade Scheme grant, typical net costs land between about £2,000 and £12,000. Larger homes and those needing radiator upgrades sit at the higher end.
Air source heat pump running cost
Running cost depends on your home's heat demand, your electricity tariff and the system's efficiency (SCOP). As a rough guide, a typical home might spend somewhere around £850 to £1,500 a year on heating and hot water with a heat pump, though this varies widely. A heat-pump-friendly electricity tariff can lower this noticeably.
Electricity cost of a heat pump
A heat pump uses electricity to move heat, delivering around 3–4 units of heat per unit of electricity (a SCOP of 3–4). So a home needing 12,000 kWh of heat a year might draw roughly 3,000–4,000 kWh of electricity. Your actual usage depends on insulation, how warm you keep the home, and the weather.
Heat pump servicing costs
An annual service typically costs around £150 to £300, similar to or a little more than a gas boiler service. It keeps the system efficient and protects the manufacturer warranty. There's no separate gas safety check because nothing is burned.
Heat pump repair costs
Heat pumps are reliable with few moving parts, so repairs are uncommon. When needed, minor repairs might run from around £150 to £500; major component replacement is rarer and more, but most issues are covered by warranty in the early years (often 5–7 years, sometimes longer).
Heat pump maintenance costs
Day-to-day maintenance is minimal — an annual service (above) plus keeping the outdoor unit clear of leaves and snow. Budget roughly £150–£300 a year all-in for servicing. There are no fuel deliveries to arrange as with oil or LPG, and no chimney or flue servicing.
Hidden costs of installing a heat pump
The honest list: possible radiator upgrades (some rooms may need larger radiators), a new hot water cylinder if you don't have a suitable one, occasional pipework changes, and electrical work. A good installer includes these in the quote after a heat-loss survey, so 'hidden' costs are really just costs a cheap quote left out. Always get an itemised, fixed-price quote.
Heat pump vs boiler lifetime cost
Upfront, a heat pump costs more than a new gas boiler even after the grant. Over its longer life (15–20 years vs 10–15 for a boiler), the gap narrows, especially against oil and LPG where running-cost savings add up. Against mains gas, lifetime cost is closer to level — the deciding factors become comfort, carbon and grant timing rather than pure pounds.
Cost by house size and bedrooms
Yes — size is the biggest cost driver. A 1–2 bed flat might need a 4–5 kW system at the lower end of the range; a large 4–5 bed detached house could need 11–14 kW and sit near the top. More bedrooms usually means more heat demand and a larger, more expensive system. The calculator estimates this for your property.
| Home | Typical size | Before grant |
|---|---|---|
| 1–2 bed flat | 4–5 kW | £9,000–£12,000 |
| 2–3 bed terrace | 5–7 kW | £11,000–£14,000 |
| 3–4 bed semi | 8–10 kW | £13,000–£19,000 |
| 4–5 bed detached | 11–14 kW | £15,000–£23,000 |
Cost by EPC rating
Indirectly. A poor EPC usually signals weaker insulation, which means higher heat loss, a larger system and higher running costs — so a low EPC tends to push cost up. Improving insulation first can shrink the system you need. You also need a valid EPC (within 10 years, no outstanding insulation recommendations) to qualify for the grant.
Cost with the government grant
The £7,500 Boiler Upgrade Scheme grant (or £9,000 for off-gas-grid oil and LPG homes) is deducted by your installer from the invoice before you pay. So a £14,000 installation becomes about £6,500 out of pocket. Off-grid oil and LPG homes get the larger deduction. There's also 0% VAT on installation.
Related guides
- The £7,500 grant explained — eligibility and how it's deducted.
- Heat pump vs gas boiler — honest running-cost comparison.
- Can I get a heat pump? — is your home suitable.
- Heat pumps explained — how they work and how efficient they are.