The costs associated to purchase and install a heat pump for a UK property, including details on potential government grants to offset some of the outlay and other key points and recommendations.
Working out the cost of a UK heat pump fitting
Heat pumps are quickly becoming the go-to heating solution for eco-conscious households across the UK, with a 63% increase in hydronic heat pump sales reported by PHAM News over the course of the last complete calendar year. But with all the buzz comes the question everyone really wants to know: how much does it cost to install a heat pump?
Well, we’ve fired up the calculator, dug into installer quotes, and ploughed through enough government documentation to make a civil servant wince, all so we can provide you with the full lowdown. Whether you’re eyeing an air source heat pump (ASHP), a ground source heat pump (GSHP), or still just wondering exactly what a heat pump is from the adverts you’ve heard on the radio, this guide covers the lot. From average prices and hidden costs to government grants, surveys, servicing and snags, you’ll find it all here.
Average cost to install a heat pump UK
Typically, on an all-inclusive purchase and installation basis, an air source heat pump in the UK will cost anywhere between £7000 and £13000 on average, with a ground source heat pump typically setting you back anything from £14000 to £24000.
That said, The more you dig (literally, in ground source heat pumps), the more you’ll pay. But the long-term savings can offset the cost over time, especially so if you qualify for a government grant.
There’s some more nuanced headline figures below – the numbers most often quoted by heating engineers, suppliers, and government grant applications:
Installation Type | Average Cost (UK, 2025) | What’s Included |
Air source heat pump | £7,000 – £13,000 | Outdoor unit, labour, pipework, commissioning |
Ground source heat pump | £14,000 – £24,000 | Digging, heat collector loops, internal manifold |
Labour only (standard install) | £1,500 – £4,000 | Tools, time, site preparation |
Home Energy Survey | £150 – £300 | Required for most grants & system planning |
Boiler Upgrade Scheme Grant | Up to £7,500 off | Government-funded heat pump subsidy (see below) |
Types of heat pumps and their cost
Air source heat pump (ASHP) costs
Air source heat pumps are the most common type to be installed in the UK, largely on account of their lower up-front purchase price and less disruptive installation process in comparison with ground source heat pumps. ASHPs are also more flexible from a fitting perspective – they can be positioned outdoors on the ground close to an exterior wall, or be mounted to a flat roof, wall or balcony.
They absorb heat from the air outside and compress it to transport warmth to the radiators or other devices such as heated towel rails in your home. Essentially, they work like a fridge in reverse.
Different sized air source heat pumps will cost different amounts, and prices can be estimated based on the size of ASHP you need to adequately power your property. Heatable explains that air source heat pumps typically range from power outputs of 3.5kW to 16kW, and the size of a house, its insulation properties and preferred temperature levels will all influence what size air source heat pump you require.
What’s more, lower flow temperatures mean you might need to upgrade your radiators or underfloor heating system to maintain toasty toes.
Typical costs:
Property Type | Install Price Estimate |
Small flat | £6,500 – £9,000 |
3-bed semi | £9,000 – £11,000 |
4-bed detached | £11,000 – £13,000+ |
Types of air source heat pumps
- Monobloc systems – Compact, all-in-one outdoor units. These are typically easier to install and by far the most common type of air source heat pump installation in the UK.
- Split systems – Separate indoor and outdoor components. Slightly more efficient, but their more nuanced installation process makes them understandably pricier to fit. They are the percentage call for more complex installations, as they can be fitted up to 75 metres away from the home.
Ground source heat pump (GSHP) costs
Ground source heat pumps utilise buried pipes for heat extraction from the ground. Because underground temperatures are more stable than UK weather (which, let’s face it, swings like a Championship table), they’re incredibly efficient (Thermal Earth estimates they operate at 400% efficiency, compared with 300% for air source heat pumps – or, they deliver 4kW of energy for every 1kW of electricity used). That said, they are more expensive and disruptive to install.
Typical costs:
Property Type | Install Price Estimate |
3-bed with trenches | £14,000 – £18,000 |
4-bed with boreholes | £18,000 – £24,000+ |
Types of ground loops
- Horizontal trenching – Cheaper in line with a more simple installation and the requirement for less equipment, but requires plenty of space.
- Vertical boreholes – Compact but involves specialist drilling equipment and perhaps a charitable explanation (or apology) to the neighbours.
Heads-up: You’ll also need to commence with a geological survey and keep a contingency budget in reserve. Digging can often deviate from the plan leading to an unwanted extra outlay.
What affects heat pump installation costs?
Heat pumps aren’t one-size-fits-all. Here are the key factors that can crank the price up (or reduce it, if you’re lucky):
- Size of the property – More rooms require a bigger system
- Insulation levels – Poor insulation necessitates higher heat demand
- Heating system compatibility – Retrofitting into an old system? Brace for extra costs
- Pipework & radiators – May need upgrading for lower-flow temperatures
- Installation complexity – Flat? Bungalow? Basement? Different layouts have different requirements which can have an effect on pricing
- Location – Labour rates are higher in London and the southeast in contrast with other areas of the UK
- Access & space – Limited space in the garden might mean boreholes or creative thinking
What government grants are available?
Installing a heat pump without a grant is like going to IKEA without measuring your hallway dimensions; technically possible, but almost certainly regrettable.
Boiler Upgrade Scheme (BUS)
The Boiler Upgrade Scheme (BUS) provides the opportunity for households to offset some of the cost of switching from fossil fuel heating systems to a heat pump or biomass boiler in the form of a grant.
Applicable to home heating systems or for setups at a building used for your business, the BUS covers upgrades from existing oil, gas, electric or LPG (liquified petroleum gas) systems for properties in England and Wales, with refined measures in place for cases in Scotland.
Read our full guide to heat pump grants to find out more.
Feature | Detail |
Grant amount | Up to £7,500 off air or ground source installs |
Eligibility | Homeowners in England and Wales with no major insulation issues on EPC |
How to apply | Through your MCS-certified installer |
Deadline | Currently open for applications through 2025 |
People also ask: Who qualifies for a heat pump grant?
Money Saving Expert detail that in order to qualify for a heat pump grant, you must be a homeowner in England or Wales, be replacing a fossil fuel-powered heating system, and have a valid Energy Performance Certificate (EPC).
It is also suggested that certain properties in England could gain up to £15,000 for a heat pump installation through their local authority, provided the household is on low income, receiving certain benefits or living in a particular postcode area.
Extra costs: What people forget to budget for
Some installers charge a ‘commissioning fee’ to ensure the heat pump is performing correctly after install. Don’t forget to ask for a full detailed quote before committing to your heat pump purchase and installation.
Add-On | Estimated Cost |
Pipework upgrades | £500 – £1,500 |
Radiator replacements | £100 – £300 per rad |
Smart controls (e.g. Nest) | £150 – £250 |
Buffer tank / thermal store | £500 – £1,500 |
Survey and energy assessment | £150 – £300 |
Old boiler removal | £250 – £500 |
Is a heat pump cheaper than a boiler?
Yes, heat pumps have a more expensive up-front cost, but they’re significantly cheaper to run in the long term.
Whilst it is true that heat pumps generally use a lot of electricity to run successfully in comparison with gas boilers, they also provide a much better heat output for the energy they consume.
The presence of a heat pump can also add between 1.7 and 3% of value to a property, with these figures having the potential to rise given how highly sought after energy efficiency is in the current market.
Comparison | Heat Pump | Gas Boiler |
Typical annual running cost | £500 – £1,000 | £800 – £1,200 |
Annual servicing cost | £150 – £200 | £100 – £150 |
Average lifespan | 15–20 years | 10–15 years |
If you have solar panels fitted or work on a flexible energy tariff, heat pumps become an even more affordable proposition. This is due to the fact that solar panels generate electricity, and heat pumps utilise electricity for energy, so they work in tandem to great effect as it pertains to energy savings and lower running costs.
Do you need new radiators with a heat pump?
Sometimes, you will need to upgrade your old radiators with new versions, especially if you’re replacing a high-temp boiler system. Heat pumps work best with:
- Low-flow temperature radiators (larger surface area)
- Underfloor heating
- Well-insulated rooms
You’ll find plenty of inspiration for modern designer radiators to pair with heat pumps in our radiator buying guide.
Is it worth installing a heat pump in the UK?
Yes, particularly with the government footing a chunk of the bill. You’ll get:
- Lower carbon emissions
- Lower running costs (in most cases)
- Future-proofing for gas boiler bans
- An eco badge for your EPC rating (and potentially your resale value)
However, it’s only worth it if:
- Your home is well insulated
- You’ve got the right size system
- You’ve got a qualified installer (cowboy-free zone)
In-depth heating advice from bestheating
Still unsure if a heat pump is right for your home? The bestheating Advice Centre is packed with helpful tips and in-depth insight in articles such as the ultimate guide to air source heat pumps.
Explore our resources to find out all you need to know about sustainable home heating solutions, and let us know how you upgraded to heat pumps in the comments section, or through Instagram, Facebook or X.
John is a Research Specialist for the Best Heating Advice Centre, where for over nine years he has dedicated himself to demystifying home heating for our customers. He specialises in creating clear, data-driven guides and how-to articles by collaborating directly with our team of certified heating experts and product engineers.
His work, built on a foundation of journalistic research, has helped millions of readers make confident and informed decisions about their home heating. When he’s not breaking down the heat output differentials from radiators to heated towel rails, John fancies himself as a fine football and music connoisseur.
