UK Heat Pump Cost Calculator
What an air source heat pump would cost YOUR home after the Boiler Upgrade Scheme grant — and how running costs compare to your boiler.
How this is calculated: system size from property type adjusted for insulation; installed costs at typical UK rates (~£1,150–£1,300 per kW installed) plus radiator work; £7,500 Boiler Upgrade Scheme deducted (England & Wales, eligibility confirmed by your installer). Running costs assume ~10,000–18,000kWh heat demand by home size, heat pump SCOP 3.4 at 27p/kWh vs gas 90% efficiency at 6.5p/kWh, oil at ~7.5p/kWh eq., LPG ~10p/kWh, electric resistive at 27p/kWh. Estimates only.
How the heat pump calculator works
The calculator sizes a typical air source heat pump for your property type, adjusts for insulation level and radiator upgrades, prices installation at current UK rates, then deducts the £7,500 Boiler Upgrade Scheme grant to show what you’d actually pay. It also compares estimated annual running costs against your current heating so you can see the whole picture, not just the sticker price.
The assumptions we use (July 2026)
| Input | Value used |
|---|---|
| Installed cost before grant | ~£1,150–£1,300 per kW + radiator works |
| Boiler Upgrade Scheme grant | £7,500 (England & Wales, paid to installer) |
| Heat pump efficiency (SCOP) | 3.4 — i.e. 340% efficient |
| Electricity / gas prices | 27p/kWh · 6.5p/kWh equivalent |
| Heat demand by home size | ~10,000–18,000 kWh/year |
Why the grant changes everything
Pre-grant, a typical installation runs £11,000–£14,000 — genuinely more than a boiler swap. With £7,500 deducted at source, most homes land between £4,500 and £6,500 installed, which overlaps with a premium gas boiler replacement. The difference is what happens next: a heat pump converts each unit of electricity into 3–4 units of heat and typically outlasts two boilers. The scheme is confirmed until 2028, replacing a working gas, oil, LPG or electric system qualifies, and your MCS installer files all the paperwork.
What a survey will check that we can’t
A proper heat-loss survey — free from any credible installer — measures your actual rooms, insulation and radiators rather than using averages. Expect it to confirm the kW size (oversizing wastes money, undersizing wastes comfort), identify the handful of radiators that might need upsizing, and model running costs on a real heat-pump tariff, where off-peak rates can beat our standard-tariff assumptions comfortably.
Common questions
Does a heat pump work in a UK winter?
Yes — heat pumps are the standard heating in Norway, Sweden and Finland. Modern units hold full output at well below −10°C, which the UK rarely reaches.
Do I need underfloor heating?
No. Most UK installs run on radiators — sometimes a few sized up. The survey identifies exactly which, before you commit.
Will my bills really be similar to gas?
On a standard tariff, running costs land close to gas for a well-installed system; on a dedicated heat-pump tariff they usually beat it. The calculator shows the honest standard-tariff case.
Is the £7,500 means-tested?
No — it’s available to owner-occupiers in England and Wales regardless of income, when replacing a fossil-fuel or electric system with an MCS-installed heat pump.