How much does a heat pump cost in the UK? (2026)
Verified UK heat pump costs in 2026 by type (air-source, ground-source, hybrid) and system size, the £7,500 Boiler Upgrade Scheme grant, what a fair quote should include (cylinder, radiator survey, MCS), and the scope gaps that catch homeowners out.
An air-source heat pump for a typical UK home in 2026 costs £8,000 to £14,000 gross installed, with the average around £12,500 (HomeOwners Alliance). After the £7,500 Boiler Upgrade Scheme grant, the net cost to the homeowner is roughly £500 to £6,500, comparable to a premium gas boiler. Ground-source heat pumps run much higher at £20,000 to £35,000 gross because of the groundworks. VAT is 0% on heat pump installs until 31 March 2027.
Quick answer
Air-source heat pump installed in the UK in 2026: £8,000 to £14,000 gross for a typical 3-bed home, average £12,500 (HOA). After the £7,500 BUS grant: £500 to £6,500 net. Ground-source: £20,000 to £35,000+ gross because of boreholes or trenches. VAT is 0% on installation until 31 March 2027. Install time: 2 to 5 days for air-source, 1 to 3 weeks for ground-source.
How to read this guide#
Two kinds of figures appear below:
- Headline price ranges (system-size bands, the BUS grant, cylinder and radiator upgrade costs): cross-referenced against HomeOwners Alliance, Energy Saving Trust, and GOV.UK. The £7,500 grant figure is statutory.
- Practical guidance (sizing, radiator survey, MCS requirements, what the price should include, red flags): drawn from standard UK heat pump installation practice. Useful for context but not cross-referenced figure-by-figure.
Where a figure could not be verified across multiple sources, we have either flagged the single source or described it qualitatively.
Headline ranges (verified)#
Heat pump installation cost by type#
| Type | Range installed (gross) | After £7,500 BUS grant |
|---|---|---|
| Air-source (ASHP), typical 3-bed (5 to 8 kW) | £8,000 – £14,000 | £500 – £6,500 |
| Air-source, larger 4-bed or poorly insulated (12 to 16 kW) | £12,000 – £18,000 | £4,500 – £10,500 |
| Ground-source (GSHP) | £20,000 – £35,000+ | £12,500 – £27,500+ |
| Hybrid (heat pump + existing boiler) | £6,000 – £10,000 | not BUS-eligible in most cases |
(HomeOwners Alliance, Energy Saving Trust, 2026.)
Boiler Upgrade Scheme grant#
- £7,500 for air-source heat pumps and biomass boilers in England and Wales (GOV.UK, Ofgem-administered, statutory)
- Applied directly by the MCS-certified installer off the quoted price
- Requires a valid EPC with no outstanding loft or cavity-wall insulation recommendations
- Scotland: equivalent Home Energy Scotland grant and interest-free loan
Ancillary costs#
| Item | Range |
|---|---|
| Hot water cylinder (180 to 250 litres) | £1,500 – £3,000 |
| Radiator upgrades (typical 3-bed) | £1,500 – £4,000 |
| Electrical supply upgrade (if required) | £500 – £1,500 |
| Buffer tank (if specified) | £400 – £800 |
| Smart thermostat / heat pump controls | £200 – £500 |
VAT#
- 0% VAT on heat pump installations until 31 March 2027 (GOV.UK energy-saving materials relief)
Practical guidance (industry standard)#
Air-source vs ground-source vs hybrid#
Air-source (ASHP) is the default choice for most UK homes. The outdoor unit looks like a large air-conditioner and sits against an external wall. Cheaper to install than ground-source and easier to retrofit. Less efficient in very cold weather (mid-winter COP of around 2.5 to 3.5 vs 4+ for ground- source) but still meaningfully more efficient than a gas boiler.
Ground-source (GSHP) extracts heat from boreholes (vertical, 50 to 150 m deep) or trenches (horizontal, large garden required). More efficient and longer-lived, but the groundworks add £10,000 to £20,000 over an ASHP. Suits properties with the land, the budget, and the long-term horizon to amortise the upfront cost.
Hybrid keeps your existing gas boiler and pairs it with a smaller heat pump that handles most of the heating load, with the boiler kicking in on the coldest days. Cheaper upfront but not generally eligible for the BUS grant, and a long-term compromise that delays a full transition.
What a typical heat pump installation quote covers#
A complete air-source heat pump install should include:
- The outdoor unit (compressor and heat exchanger)
- Indoor unit, hydraulic separator, and controls
- Hot water cylinder (typically 180 to 250 litres) with the appropriate heat-exchange coil
- Room-by-room heat-loss calculation and system design
- Radiator survey and any upgrades identified
- Pipework, refrigerant work, and electrical connections
- MCS certification and BUS grant administration
- Commissioning, balancing, and a homeowner handover
- Removing the old gas boiler and notifying Building Control through Gas Safe (or equivalent for oil)
It often does not cover:
- Insulation upgrades to bring the EPC up to BUS-eligible standard (loft, cavity wall) if these are outstanding
- A new electrical supply if the existing one is inadequate (£500 to £1,500)
- Decoration and making-good after pipework runs and cylinder installation
- Removal of a redundant hot water cylinder cupboard if you are converting the space
- Underfloor heating retrofit if you want it instead of larger radiators
- Soundproofing or screening around the outdoor unit for noise-sensitive locations
When you compare heat pump quotes, the easy mistake is comparing a £11,000 quote inclusive of cylinder, radiator upgrades, and BUS administration against a £9,000 quote that excludes the radiator survey and assumes the existing cylinder will do. Read the inclusions list line by line.
Why MCS certification is non-negotiable#
You need an MCS-certified installer to qualify for the £7,500 Boiler Upgrade Scheme grant. A non-MCS quote is £7,500 more expensive in practice than an equivalent MCS quote on the same equipment, and points to a less established installer.
MCS also covers the system design standard, the heat-loss calculation, and the radiator survey. A non-MCS install often skips these, which is the single biggest cause of underperforming heat pumps in the UK.
Sizing: heat-loss calculation, not rule of thumb#
A heat pump should be sized to a room-by-room heat-loss calculation, not to match the kW rating of the boiler it is replacing. Boilers are routinely oversized; replicating that with a heat pump means an oversized, less- efficient unit that short-cycles and costs more to run.
A good installer will spend a couple of hours surveying the property, measuring rooms, noting insulation, and producing a heat-loss spreadsheet before quoting. A quote with no survey is a quote with no design behind it.
When a heat pump makes sense#
A heat pump is worth seriously considering if:
- Your existing boiler is at end of life (10+ years) and needs replacing anyway, so you are spending money either way
- Your home has decent loft and wall insulation (or you are willing to fund retrofits at the same time, which BUS eligibility may require)
- Your radiators are reasonably sized, or you accept the cost of upgrading some of them
- You can fund the upfront cost net of the £7,500 BUS grant
It is less suitable when:
- The property is poorly insulated and you cannot or will not retrofit
- Radiators are uniformly small and would all need replacing
- You expect hot-water-on-demand from a combi (heat pumps use a cylinder)
- You are on mains gas and have a near-new condensing boiler with another 10 years of life
Red flags in heat pump quotes specifically#
Beyond the standard quote red flags (covered separately), heat pump quotes have their own:
No MCS certification. Disqualifies you from the £7,500 BUS grant. A non-MCS quote needs to come in £7,500 cheaper than an MCS quote on the same kit to be competitive, and it almost never does.
No heat-loss calculation or radiator survey. The single most common cause of an underperforming heat pump in the UK. A quote produced without a survey is a quote based on guesswork.
20% VAT added. Heat pump installations are zero-rated until 31 March 2027. A quote with 20% VAT is either wrong or the installer is not applying the relief. See does a builder's quote include VAT.
No mention of a hot water cylinder. Heat pumps cannot deliver instant DHW like a combi. A quote that promises combi-style hot water with no cylinder is either wrong or hiding scope you will need to fund later.
"Same install time as a boiler". A proper heat pump install takes 2 to 5 days. A 1-day quote is either a like-for-like ASHP swap or is skipping commissioning steps that affect efficiency for the next 15 years.
Existing radiators "will be fine" with no survey. Sometimes true, often not. The honest answer is "we measured every room and here are the ones that need to change". A blanket assurance with no calculation is the quote-writer hoping for the best.
Oversized output to match the old boiler. Boilers are routinely oversized. A heat pump sized to match an oversized boiler runs less efficiently and short-cycles. The right size comes from the heat-loss calculation, not the boiler label.
Lifetime cost beyond the install price#
Heat pump running cost depends heavily on the Seasonal Coefficient of Performance (SCOP) achieved in your specific home, which depends on insulation, radiator sizing, controls, and how the system is commissioned. A well-designed install in a reasonably insulated 3-bed typically runs slightly cheaper than gas at current 2026 unit prices, and the gap widens as the gas-to-electricity price ratio shifts.
A badly-sized install in a poorly insulated home can run more expensive than gas. The design and commissioning matter more than the brand of unit.
Comparing your heat pump quote#
The quote checker on this site analyses each line against current UK rates, flags missing scope (cylinder, radiator survey, MCS certification, BUS grant administration, electrical upgrade), and runs a Companies House check on the installing company. For a £12,000 install (or a £4,500 net after grant), the £14 cost is small relative to the decision; the information returned is what turns "this quote looks roughly fair" into "every line is accounted for".
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Frequently asked questions
- How much does an air-source heat pump cost in the UK in 2026?
- A typical air-source heat pump for a 3-bed home costs £8,000 to £14,000 gross installed (HomeOwners Alliance reports £12,500 average). After the £7,500 Boiler Upgrade Scheme grant, the net cost to the homeowner is roughly £500 to £6,500, comparable to a premium gas boiler. Larger systems (12 to 16 kW for 4-bed or poorly insulated homes) cost £12,000 to £18,000 gross before grant. VAT is 0% on heat pump installations until 31 March 2027.
- How does the £7,500 Boiler Upgrade Scheme grant work?
- The Boiler Upgrade Scheme (BUS) is a statutory £7,500 grant for air-source heat pump and biomass installations in England and Wales, administered by Ofgem under GOV.UK. The installer must be MCS-certified and applies the grant directly off the quoted price, so you pay the net figure rather than claiming it back. The property must have a valid EPC with no outstanding loft or cavity-wall insulation recommendations. Scotland has an equivalent Home Energy Scotland grant and loan.
- What is the difference between air-source and ground-source heat pumps?
- Air-source heat pumps (ASHP) extract heat from the outside air via a unit that looks like an air-conditioner, and cost £8,000 to £14,000 gross for a typical 3-bed home. Ground-source heat pumps (GSHP) extract heat from boreholes or trenches in your garden and cost £20,000 to £35,000+ gross because of the groundworks. GSHP runs more efficiently in winter and has a longer lifespan, but the upfront cost is more than double. The £7,500 BUS grant applies to both.
- Why do heat pump quotes often include a new hot water cylinder?
- Heat pumps run at a lower flow temperature than gas boilers (45 to 55°C vs 65 to 75°C), so they cannot deliver instant hot water the way a combi does. They need an indirect hot water cylinder, typically 180 to 250 litres for a 3-bed home. If you are coming from a combi, this is a new piece of kit (£1,500 to £3,000) that takes up space (usually an airing cupboard). Coming from a regular boiler with an existing cylinder, the old cylinder is usually replaced because heat pump cylinders have larger heat-exchange coils.
- Do my radiators need upgrading for a heat pump?
- Often yes. Heat pumps run at lower flow temperatures, which means existing radiators sized for an 80°C gas boiler may not put enough heat into the room at 50°C. A good heat pump installer does a room-by-room heat-loss calculation and a radiator survey. Allow £1,500 to £4,000 for radiator upgrades on a typical install. Quotes that skip the radiator survey are skipping the single most likely cause of a heat pump that does not heat the house properly.
- How long does a heat pump installation take?
- A typical air-source heat pump install takes 2 to 5 days, longer than a boiler swap because of the outdoor unit, the cylinder, the controls, and any radiator changes. Ground-source installs take 1 to 3 weeks because of the boreholes or trench works. Anyone quoting a 1-day heat pump install is either replacing a like-for-like ASHP or skipping survey and commissioning steps.
- What VAT applies to heat pump installations?
- Heat pump installations are zero-rated for VAT until 31 March 2027 under the UK energy-saving materials relief (GOV.UK). On a £12,000 install that is roughly £2,000 saved. A quote that adds 20% VAT on a residential heat pump install is either wrong or the installer is not applying the relief. Query it before signing.