£7,500 Grant Available

Heat Pump Costs & Grants

Complete breakdown of heat pump installation costs and how to access the Boiler Upgrade Scheme grant.

Air Source Heat Pump Costs

Heat Pump Unit

£4,000 - £8,000

Outdoor unit that extracts heat from air. Price varies by output (kW) and brand.

Hot Water Cylinder

£800 - £2,000

Heat pumps work at lower temperatures, so need a larger cylinder than a boiler.

Installation Labour

£3,000 - £5,000

Typically 2-3 days work including pipework, electrics, and commissioning.

Radiator Upgrades

£1,000 - £4,000

Some radiators may need upsizing. Not always required - installer will assess.

Boiler Upgrade Scheme Grant

-£7,500

Most homeowners qualify for the full £7,500 grant, applied automatically by your installer.

Before Grant
£10,000 - £18,000
After Grant
£2,500 - £10,500

Ground Source Heat Pump Costs

Heat Pump Unit

£5,000 - £12,000

Indoor unit that converts ground heat. Generally more compact than air source.

Ground Works (Trenches)

£5,000 - £10,000

Horizontal trenches at 1.2m deep. Needs 100-150m² of garden per 5kW output.

Ground Works (Borehole)

£10,000 - £20,000

Vertical boreholes 90-150m deep. Required if garden space is limited.

Installation & Cylinder

£4,000 - £8,000

Including hot water cylinder, connections, and commissioning.

Boiler Upgrade Scheme Grant

-£7,500

Ground source heat pumps qualify for the same £7,500 grant as air source.

Before Grant (trenches)
£20,000 - £35,000
After Grant
£12,500 - £27,500

Boiler Upgrade Scheme (BUS)

The government's Boiler Upgrade Scheme provides £7,500 towards heat pump installation. It's available until March 2028 and is applied automatically by your MCS certified installer.

Who's Eligible?

  • Homeowners in England and Wales - Must own the property being upgraded
  • Replacing fossil fuel heating - Gas, oil, or LPG boilers qualify
  • Valid EPC - No outstanding loft or cavity wall insulation recommendations
  • Using an MCS certified installer - All installers in our directory are MCS certified

Note: The grant increased from £5,000 to £7,500 in October 2023. New builds and properties that never had fossil fuel heating don't qualify.

Frequently Asked Questions

Is a heat pump worth it?

Yes, especially with the £7,500 grant. You'll save money vs oil/LPG immediately, and be protected from gas price rises. With a 20+ year lifespan, it's a solid investment.

Do heat pumps work in cold weather?

Yes! Modern air source heat pumps work efficiently down to -20°C. They're used extensively in Scandinavia where winters are much colder than the UK.

Do I need to upgrade my radiators?

Not always. Many homes work fine with existing radiators. An MCS installer will do a room-by-room heat loss calculation to check. Underfloor heating is ideal but not required.

How long does installation take?

Air source: 2-3 days typically. Ground source: 3-5 days plus ground works (1-3 days for trenches, 2-5 days for boreholes).

What maintenance is needed?

Annual service recommended (£100-200). Heat pumps have fewer moving parts than boilers, so maintenance needs are lower.

Ready to Get Quotes?

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