Heat Pump Cost UK 2026 — The Full Price Breakdown
Supply, installation & running costs by home size — and how the £7,500 grant cuts the price.
This guide breaks down every line of a heat pump quote, shows the price by home size, and works through the £7,500 Boiler Upgrade Scheme grant so you know exactly what you’ll pay before you sign. For running costs versus a gas boiler, see our heat pump running costs guide.
Cost & Price — What a Heat Pump Costs by Home Size
The table below shows typical fully installed prices (supply plus labour) in 2026, then the cost after the £7,500 grant. Running costs assume 8p–10p of electricity per kWh of heat delivered at a SCOP of 4, on a standard domestic electricity tariff.
| Home size | Output | Supply + install | After £7,500 grant | Running / year |
|---|---|---|---|---|
| Small flat / 1-2 bed (up to 60m²) | 5 kW | £9,000 – £13,000 | £1,500 – £5,500 | £650 – £900 / year |
| 3-bed semi / terrace (60–90m²) | 7–9 kW | £11,000 – £16,000 | £3,500 – £8,500 | £900 – £1,250 / year |
| 4-5 bed detached (90–140m²) | 10–14 kW | £14,000 – £20,000 | £6,500 – £12,500 | £1,200 – £1,700 / year |
| Large/draughty home (140m²+) | 14–16 kW | £16,000 – £24,000 | £8,500 – £16,500 | £1,600 – £2,400 / year |
Figures are guide ranges from MCS-certified installers in 2026. Always get a site-specific quote — your installer confirms the grant and exact cost.
What you’re actually paying for
The biggest single line. Premium brands (Vaillant, Nibe) and higher kW outputs sit at the top.
Includes survey, siting, pipework, electrical connection and commissioning by an MCS engineer.
Many homes switching from a combi boiler need a new hot water cylinder for the heat pump.
Bigger radiators or new emitters needed if your home runs at a low flow temperature. Partly grant-eligible.
Often required to fix EPC recommendations before the grant is confirmed.
The grant wipes out most of the cost for most homes
Because the Boiler Upgrade Scheme pays £7,500 off, a heat pump that would cost £12,000 drops to around £4,500 for the homeowner. For smaller homes the after-grant price can fall below the cost of replacing a gas boiler. See our full grant guide for who qualifies.
Check if you qualify for the £7,500 grant
Answer 3 quick questions to see whether you’re on track for the Boiler Upgrade Scheme before you budget.
Answer all 3 questions to see your result.
Versus & Comparisons — Heat Pump vs Gas Boiler vs Alternatives
| Option | Install cost | After grant | Running / year | Lifespan |
|---|---|---|---|---|
| Air source heat pump (3-bed) | £11k–£16k | £3.5k–£8.5k | £900–£1,250 | 15–20 yrs |
| Ground source heat pump (3-bed) | £19k–£30k | £11.5k–£22.5k | £750–£1,050 | 25+ yrs |
| New gas boiler (like-for-like) | £2,500–£4,500 | — | £1,050–£1,400 | 10–15 yrs |
| Electric storage heaters (existing) | £0 (already in place) | — | £1,500–£2,200 | — |
Running costs at Ofgem cap rates (~24p/kWh electricity, ~6p/kWh gas) and a heat pump SCOP of 3.5–4. Storage heater figure assumes old or standard-efficiency units.
Who a Heat Pump Is Worth the Cost For
Worth it — replacing an old electric or oil system
If you heat with electric storage heaters, electric radiators, or an oil/LPG boiler, a heat pump is likely cheaper to run from day one on typical UK tariffs, and the £7,500 grant makes the upfront cost manageable. This is the clearest case for switching.
Worth it — if you want to future-proof against gas phase-out
With gas boilers being discouraged in new builds and the long-term direction of UK policy, a heat pump protects your investment. The grant covers a large share of a 3-bed install today.
Defer — if you have a young working gas boiler in a well-insulated home
If your 5–10 year old gas boiler runs efficiently and your home needs radiator upgrades anyway, the payback can be long. Wait until the boiler is nearer end-of-life and heat pump prices have fallen further.
Verdict — Budget Realistic
The honest takeaway:
With the £7,500 grant, an air source heat pump is genuinely competitive with replacing a gas boiler for a typical 3-bed home — often within a few hundred pounds of the boiler’s fitted cost. Budget £4,000–£9,000 after grantfor the install and don’t forget the hot water cylinder or radiator upgrades most homes need. Get 3 quotes so you can compare how each installer prices those extra lines — they vary more than the unit price.
More on heat pumps
Get 3 free quotes with the grant applied
MCS-certified installers price the full job, including the cylinder and radiator upgrades — with £7,500 already deducted.
Heat Pump Cost — Frequently Asked Questions
Heat pump cost FAQs
- How much does an air source heat pump cost in the UK in 2026?
- A typical air source heat pump costs £11,000–£16,000 fully installed before any grant. After the £7,500 Boiler Upgrade Scheme grant, the typical homeowner pays around £4,000–£9,000. Costs vary by property size, insulation, and whether you need a new hot water cylinder or upgraded radiators.
- What does the £7,500 heat pump grant cover?
- The Boiler Upgrade Scheme pays £7,500 toward the cost of an air source heat pump (or £7,500 toward a ground source heat pump), including the unit, installation and reasonable associated work such as a new hot water cylinder or upgraded radiators. It's a grant to your MCS-certified installer, so it comes straight off your quote — you never handle the cash.
- How much does a heat pump cost after the grant?
- After the £7,500 grant, a typical air source heat pump for a 3-bedroom home costs around £4,000–£9,000. For a small flat you might pay £2,500–£5,000 after grant, while a large detached house needing radiator upgrades could reach £10,000–£15,000 after grant.
- How long does a heat pump last?
- A well-maintained air source heat pump typically lasts 15–20 years — comparable to or better than a modern gas boiler's 10–15 year design life. Manufacturers commonly offer 5–7 year warranties on the unit, and some (like Octopus Cosy 6) extend to 8 years.
- Are heat pump running costs cheaper than gas?
- Not automatically — it depends on your heat pump's efficiency (SCOP) and your electricity tariff. Because electricity costs around 24p/kWh (roughly 3x gas), a heat pump needs a SCOP of 3.5–4+ to beat a gas boiler on running cost. High-efficiency models (SCOP 4.5+) and discounted heat-pump tariffs like Octopus Cosy generally make heat pumps cheaper to run.
- Boiler Upgrade Scheme — GOV.UK / Energy Security & Net Zero — https://www.gov.uk/apply-boiler-upgrade-scheme
- Heat Pumps — Energy Saving Trust — https://energysavingtrust.org.uk/advice/heat-pumps/
- MCS Heat Pump Standards & Certification — https://mcscertified.com/products-and-schemes/heat-pumps/
- Ofgem Electricity Price Cap Unit Rates — https://www.ofgem.gov.uk/energy-price-cap
Prices are 2026 guide ranges from MCS-certified installers and should be confirmed with a site-specific quote. Grant figures reflect the current Boiler Upgrade Scheme.