How much will an air source heat pump cost you? Here we explore average installation and running costs.
Air source heat pumps (ASHP) continue to receive large amounts of attention since they emit zero carbon emissions and so are in line with the UK government's carbon-neutral goals. Eating fewer beans will help there, too.
As a result, grants have been made available that subsidise their installation by as much as £5,000 via the Boiler Upgrade Scheme (BUS).
But does zero carbon mean heat pumps cost less to run? Are they actually cheaper than gas boilers? And are they reliable? And who’s going to win next year’s Eurovision?
Excellent questions, and we can answer the first three, and many more related ones.
In this guide, we'll explore the average costs of air source heat pumps, installation costs and potential running costs.
Ready to make your home more energy-efficient and cut down on your heating bills? Get a heat pump quote today from our trusted partners at Heat Geek here.
Air Source Heat Pump Costs Key Points:
Air source heat pumps typically cost between £7,000 and £10,000 to buy and have professionally installed.
You can reduce the final cost by £5,000 via the Boiler Upgrade Scheme (BUS).
On average, it currently costs more to run a heat pump than a gas boiler for the average UK household.
At present gas boilers are still cheaper to install and run.
We fit and install gas boilers and hybrid heat pumps nationwide, get your quote here.
How Much Do Air Source Heat Pumps Cost?
Quotes from different brands and companies show that an air source heat pump unit can cost anywhere from £1,500 to £10,000 (not including installation costs). So when it comes to budget, it’s like shopping for a decent second-hand car. This is also where the similarities end.
The most powerful units will cost more, but other features also influence the price, including efficiency, brand reputation and warranty lengths. On second thought, these criteria also apply to second-hand cars.
The type of air source heat pump can also influence the cost.
Air source heat pumps can be air-to-water or air-to-air, where one heats the air in your rooms while the other heats the water in your central heating system. The fire and earth elements are not involved in these heaters.
Air-to-air heat pumps are considerably cheaper than air-to-water heat pumps, with some units costing less than £1,000.
However, air-to-air heat pumps are incompatible with traditional heating systems and cannot heat the water in your property.
The table below shows how the unit costs of air source heat pumps from different brands compare:
Heat Pump Model | Heat Pump Cost | Efficiency | Power | Min Temp. |
Samsung EHC Monobloc | £3,000-£7,000 | A++ | 16kW | -25oC |
Hitachi Yutaki M | £4,000-£7,000 | A+++ | 11kW | -20oC |
Vaillant flexoTHERM 400V + aroCOLLECT | £7,000-£10,000 | A+++ | 19kW | -10oC |
Daikin Altherma | £6,000-£10,000 | A++ | 16kW | -20oC |
Table prices updated on July 2024
Heat Pump Installation Costs UK
According to the Energy Saving Trust (EST), installing an air source heat pump in your home costs between £7,000 to £13,000 on average.
Check out the video below to see a hybrid heat pump installation case study in the UK:
The costs can vary depending on a variety of factors, including the following:
Your Current Heating System
The type of heating system you have can affect the total cost of installing an air-source heat pump.
Most heat pumps require a separate storage tank for hot running water.
If you have a system or regular boiler, you can easily replace the existing tank with a compatible one.
However, if you have a combi boiler, the installation process can be more complicated, and the cost increases.
You’ll likely need new piping fitted to include the tank and must find a suitable place to store it.
Your Property’s Energy Efficiency
Your home must be energy-efficient and have minimal heat loss to allow your heat pump to run more efficiently.
If your house doesn’t have good insulation, glazing, or other energy efficiency measures, you may need to put them in place when installing the heat pump.
Cavity wall or loft insulation costs can range from £580 – £1800, depending on the property type, and you may also need draught-proofing.
Type of Air Source Heat Pump
Air source heat pumps can be monobloc or split units, affecting the installation’s complexity.
Monobloc units are usually easier and quicker to install, translating to lower installation costs.
Split units have separate indoor and outdoor units and are more complicated to install, increasing the costs.
Radiator Replacements
It may be necessary to upgrade your radiators to ensure you get good heat distribution throughout your house.
Single-panel radiators often need to be swapped with double or triple-panel radiators to increase the surface area and improve heat output from the air source heat pump.
Radiator costs can range from £170 and £370 depending on size and output.
Heat Pump Running Costs UK
The Energy Saving Trust highlights that currently running a heat pump is likely to cost more than a gas boiler, however, they do also make the important point that this is likely to change in the future.
Electricity is more than three times more expensive than gas, so in order for the likes of heat pumps to be cost-effective the cost of electricity must be less than 3.2 times the cost of gas.
Currently, the cost of electricity is much higher than gas meaning it has an extremely high running economy, for example, electricity costs 34p per kWh compared to gas’ 10.3p per kWh.
This means that an air source heat pump may not be cheaper to run than a gas boiler, especially in a property with poor thermal efficiency.
Factors that impact the running costs of a heat pump include the following:
Your Heat Demand
You must determine your household heat demand to calculate the cost of running a heat pump.
It refers to the amount of heating power needed to keep a property at the optimal temperature and can be influenced by factors like how many rooms you have or your desired temperature.
The cost of running your heat pump will be higher if you have a high heat demand because it will translate to more electricity use.
The Efficiency of the Heat Pump
A heat pump’s efficiency refers to its ability to heat a property using as little electricity as possible. It’s also called the coefficient of performance (COP).
The COP measures the ratio of electricity used to the heat extracted from the environment.
The higher the COP, the more heat energy the heat pump can generate from each unit of electricity, translating to lower running costs.
The COP is usually denoted at the back of the heat pump unit and can even exceed 300%, usually denoted as 3.
Various factors like insulation and heat distribution can affect efficiency, so it’s important to make the necessary changes to reduce running costs.
Current Electricity Prices
This refers to the unit price you pay for electricity and can vary depending on where you live in the UK, as each supplier can get different charges from the regional distributor.
The Energy Price Guarantee (EPG) limits the amount suppliers can charge per unit and is currently at 33.2p/kWh for electricity until 30th June 2023.
The factors affecting running costs can vary from one property to another, but you can calculate how much it could cost to run a heat pump using the following formula:
Running costs = (heat demand ÷ 1/efficiency of heat pump) x electricity price
For example, let’s assume you have a four-bedroom house with a heating demand of 12,000 kWh per year, and your air source heat pump has an efficiency of 300%.
To calculate the running costs:
Running costs = (12,000 ÷ 1/300) x 33.2
= £1328 per year.
Heat Pump Funding & Grants
What funding is available for the installation of air-source heat pumps in the UK?
At present, the following schemes are in operation:
The Boiler Upgrade Scheme (BUS)
The Boiler Upgrade Scheme is a government initiative to encourage more people to install low-carbon heating systems like heat pumps.
£450 million of grant funding is available until 2025, and it can enable you to get up to £5000 to reduce the upfront cost of installing an air source heat pump.
The BUS is an installer-led scheme, meaning you’ll need an installer to apply for the grant on your behalf.
Your installer will advise on the suitable heating system for your property and help you understand the options available.
You must own your property to apply and have a valid Energy Performance Certificate (EPC).
Funding is unavailable for social housing, rentals, or properties already supported by the government for a heat pump or biomass boiler.
Energy Company Obligation Scheme (ECO4)
The ECO4 scheme provides grants to fund energy-efficient upgrades to help reduce emissions and energy bills.
You can qualify for a free grant to install an air source heat pump, provided you meet the eligibility criteria.
You can also qualify for a first-time central heating grant for a heat pump under the scheme if your property has no existing gas connection or the meter was installed before 31st March 2021.
You can also get funding for insulation under the scheme, including cavity walls, solid walls, roof, and loft insulation.
The scheme is available to homeowners or private tenants, individuals receiving income-related benefits, and properties with inefficient electric heating.
Qualifying benefits include:
Jobseekers Allowance (JSA) – Income-based.
Employment and Support Allowance (ESA) – Income-related.
Housing Benefit.
Pension Credit.
Income Support (IS).
Universal Credit (UC).
Work Tax Credit (WTC).
Warm House Discount Scheme Rebate.
Child Tax Credits.
Child Benefits – depending on the income threshold.
Social housing properties with EPC ratings of E, F, or G can also qualify for insulation and heat pumps regardless of the benefit eligibility of residents.
The LA Flex Funding Scheme
The LA Flex funding scheme is part of the ECO4 scheme, but it allows local councils to expand the eligibility criteria for people not receiving any benefits.
It’s designed to help homeowners who are not getting any aid but are grappling with a tight budget to access ECO4 funding.
The scheme targets households in fuel poverty which spend at least 10% of their net income heating their home, and people who are vulnerable and at risk during the cold weather.
Heat Pump Service Costs
The service costs will depend on your location and the technician’s hourly rate.
You can expect to pay around £150-£300 for the service costs of an air source heat pump, but you can also check with your manufacturer or installer to get cheaper regular maintenance costs with your purchase agreement.
Getting your heat pump serviced by a qualified professional at least once a year can ensure it’s working at its best for many years.
Servicing can include a general visual inspection, electrical safety checks, thermostat checks, filter and coil cleaning, lubrication of moving parts, or replacement of small parts.
Air Source Heat Pump Costs UK Conclusion
Air-source heat pumps are an excellent choice for those who want to reduce their household's carbon footprint and although they aren't currently as cheap as gas boilers, this could well change in the future.
You can expect to pay around £7,000 to £13,000 for an air source heat pump, including installation costs.
Grants like the Boiler Upgrade Scheme and ECO4 can help you get financing to offset the upfront costs.
With proper servicing and maintenance, an air-source heat pump can keep your home warm and comfortable for 15 to 20 years.
Get Quotes for a Hybrid Heat Pump
Without boasting, get your new hybrid heat pump or boiler quote and buy from us, here’s why:
Gas Safe installation within 24 hours.
Thousands of satisfied customers with an average score of 4.9 on Trustpilot, surpassing the market leader.
Which? Trusted Trader: Heatable is proudly recognised as a Which? Trusted Trader.
Price match guarantee: We will match any like-for-like cheaper quote.
Flexible payment options, including interest-free finance.
Up to 12-year guarantee on selected boilers.
Fixed price guarantee: No hidden costs.
Save your quote and decide later.
Get an instant fixed price on a new boiler, here.
To learn more about boilers, visit our advice section, check out our YouTube channel, or read customer testimonials here.
