UPDATED OCTOBER 2026

Air Source Heat Pump Cost UK: 2026 Prices & Grants

Our planning range for typical 3- and 4-bed homes is £9,000–£18,000 before grants. The Energy Saving Trust puts a typical installation at around £12,000, and MCS data shows an average of about £13,300 in 2025.

£ Typical cost
around £12,000
✓ £7,500 standard
BUS grant
↑ Up to £9,000 for
eligible oil/LPG homes
David Tooth, author at Heat Pump Guide UK
Written by David Tooth • Independent UK heat pump researcher • Updated October 2026

QUICK ANSWER

How Much Does an Air Source Heat Pump Cost?

Energy Saving Trust currently puts the typical cost of installing an air source heat pump at around £12,000. In practice, quotations can vary substantially because the heat pump itself is only one part of the heating system. MCS Data Dashboard figures put the 2025 average at around £13,300.

£

Typical Installation

Around £12,000
A useful national benchmark before grants, although individual projects can be materially lower or higher.

✓

Standard Grant

£7,500
Available towards eligible air-to-water heat-pump installations through the Boiler Upgrade Scheme in England and Wales.

↑

Oil & LPG Homes

Up to £9,000
Available until 31 March 2027 for qualifying off-gas-grid homes replacing oil or LPG heating.

What could you actually pay?

A £12,000 installation could leave around £4,500 to pay after the standard £7,500 grant, or around £3,000 where the £9,000 oil/LPG grant applies.

These figures are examples rather than quotations. Radiator upgrades, electrical work, pipework, a hot-water cylinder and other system changes can alter the final cost.

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AFTER THE GRANT

Heat Pump Cost After the Boiler Upgrade Scheme

The headline installation price is not necessarily what an eligible homeowner ultimately pays. The Boiler Upgrade Scheme can reduce the upfront cost significantly.

Example Installed Cost After £7,500 Grant After £9,000 Oil/LPG Grant
£9,000 £1,500 £0 before non-eligible extras
£10,500 £3,000 £1,500
£12,000 £4,500 £3,000
£15,000 £7,500 £6,000
Important: These are simple grant deductions, not guaranteed final prices. A quotation may also include work such as radiator upgrades, a new hot-water cylinder, electrical alterations, pipework or other improvements.
PROPERTY SIZE

Typical Heat Pump Costs by Type of Home

Property size gives a useful starting point, but heat loss and the amount of work required are more important than bedroom count alone.

Property Indicative Installed Cost What Usually Affects the Price
2-bed house Often lower end of the market Smaller heat load and potentially fewer radiator changes
3-bed house £9,000–£14,000 (3-bed guide) Radiators, cylinder, controls and system design
4-bed house £10,000–£18,000 (4-bed guide) Larger heat load and greater likelihood of system upgrades
Large / complex property Can be substantially higher Heat loss, multiple zones, pipework and installation complexity

For more detailed examples, see our guides to heat pump costs for a 3-bed house and heat pump costs for a 4-bed house.

WHY QUOTES CAN DIFFER SO MUCH

The Heat Pump Is Only Part of the Installation Cost

Two installers can recommend similar outdoor units and still produce quotations thousands of pounds apart.

The difference may be legitimate if one design includes more work to the heating system, better controls, larger radiators or a more complete hot-water solution.

✓
Room-by-room heat-loss calculation Establishes how much heat your property actually needs rather than sizing from floor area alone.
✓
Radiator and emitter assessment Existing radiators may need upgrading to deliver enough heat at lower water temperatures.
✓
Hot water, controls and electrics A cylinder, electrical work and better controls can all affect the final quotation.
Heat pump engineer inspecting an air source heat pump installation at a UK home
✓ Compare the specification behind the quotation, not just the headline price.
WHAT YOU ARE PAYING FOR

What Is Usually Included in a Heat Pump Installation?

For a step-by-step look at what happens from survey to handover, see our air source heat pump installation process guide.

Heat Pump & Core Equipment

Outdoor heat-pump unit, indoor hydraulic equipment, valves, controls and associated system components.

System Design

Heat-loss calculations, heat-pump sizing, radiator assessment and specification of the heating system.

Installation Labour

Plumbing, mounting, electrical connections, controls, system flushing and installation of new components.

Commissioning & Handover

System setup, weather compensation where applicable, testing and explanation of how to operate the system.

Check every quote carefully. Some installers include radiator changes, cylinders, electrical work and controls in the headline price, while others price them separately.
COMMON EXTRAS

What Can Increase the Cost?

These are some of the most common reasons a real installation costs more than a simple advertised headline price.

Radiator Upgrades

Larger or additional radiators may be required so rooms can stay warm while the heat pump operates at efficient flow temperatures.

Radiator guide →

Hot-Water Cylinder

Homes replacing a combi boiler will normally need to make provision for stored hot water.

Combi to heat pump guide →

Electrical Work

The existing consumer unit, isolators, cabling or electrical supply may require work depending on the installation.

Pipework & System Changes

Older or more complicated heating systems may require larger pipework, altered layouts or additional components.

Controls

Weather compensation, smart controls and zoning can influence both the quotation and how the finished system performs.

Smart thermostat guide →

Insulation Improvements

Insulation is not automatically required for every heat pump, but reducing heat loss can lower the output the system needs to provide.

OFF-GAS HOMES

The £9,000 Heat Pump Grant for Oil and LPG Properties

Until 31 March 2027, qualifying off-gas-grid properties in England and Wales replacing oil or LPG heating can receive £9,000 towards an eligible air-to-water or ground source heat pump.

This is £1,500 more than the standard £7,500 BUS grant and can make a significant difference to the remaining installation cost.

Replacing Heating Oil?

Rural oil-heated properties can vary significantly in age, insulation and radiator design, so grant value should be considered alongside the full system specification.

Oil to Heat Pump Guide →

Replacing LPG?

Eligible off-grid LPG properties can also receive the temporary £9,000 grant where the Boiler Upgrade Scheme conditions are met.

LPG to Heat Pump Guide →
Do not assume every off-grid property qualifies. The property and existing heating system must satisfy the Boiler Upgrade Scheme eligibility rules.
WHERE YOU LIVE

Heat Pump Costs and Grants in England, Wales, Scotland and Northern Ireland

Installation prices vary by property more than by country, but the support available to bring the cost down depends on where you live.

Nation Main heat pump support Key points
England Boiler Upgrade Scheme: £7,500 towards an air source or ground source heat pump, or £2,500 towards an air-to-air heat pump Until March 2027, an extra £1,500 for eligible properties heated by oil or LPG with no mains gas connection.
Wales Boiler Upgrade Scheme, as in England Eligible households may also get free energy efficiency improvements, including heat pumps, through the Welsh Government’s Nest scheme.
Scotland Home Energy Scotland Grant and Loan: grant of up to £7,500, plus an optional interest-free loan of up to £7,500 A £1,500 uplift for rural and island homes. The heat pump must provide all heating and hot water, and the installer and product must be MCS certified.
Northern Ireland The Boiler Upgrade Scheme does not apply GOV.UK states that Northern Ireland’s Boiler Replacement Scheme is now closed. Check current local schemes before budgeting.

Grant rules and amounts change. Check the GOV.UK Boiler Upgrade Scheme pages, Home Energy Scotland or Nest before you apply. Our heat pump grants guide covers eligibility in more detail.

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COMPARE HEATING OPTIONS

Heat Pump Cost vs a Gas Boiler

Gas Boiler

  • Usually lower replacement cost
  • Familiar installation for many UK homes
  • No Boiler Upgrade Scheme heat-pump grant
  • Lower fuel price per kWh than standard-rate electricity

Air Source Heat Pump

  • Higher gross installation cost
  • Eligible installations can receive substantial grant support
  • Uses electricity very efficiently when designed well
  • Performance is particularly sensitive to flow temperature and system design

Upfront price is only one part of the comparison. Read our gas boiler to heat pump guide and compare expected heat pump running costs before deciding.

THE QUOTE MATTERS

How to Compare Heat Pump Installation Quotes

A lower quotation is not automatically poor value and a higher quotation is not automatically better. Compare what each installer has actually designed and included. Our 15 questions to ask when comparing heat-pump quotes give you a more detailed checklist for this assessment.

✓
Heat-loss calculation Ask for the figures used to determine the proposed heat-pump output.
✓
Flow temperature Find out what design flow temperature the quotation assumes and why.
✓
Radiator changes Check exactly which emitters are being retained, replaced or enlarged.
✓
Hot-water specification Compare cylinder size, recovery assumptions and how hot water will be controlled.
✓
Controls and commissioning Confirm what controls are included and how the system will be set up at handover.
✓
Warranty and aftercare Check both manufacturer warranty requirements and installer support after installation.
Simple rule: compare the whole heating system, not merely the outdoor heat-pump model.
INSTALLATION VS OPERATION

Do Not Judge a Heat Pump on Installation Cost Alone

A cheap installation can become poor value if the finished system needs unnecessarily high flow temperatures, has badly sized emitters or is commissioned poorly.

Equally, spending more does not guarantee lower bills. The aim is a properly designed system that suits the property and can operate efficiently.

CHOOSING THE EQUIPMENT

Does the Heat Pump Brand Affect Installation Cost?

Equipment price does vary between manufacturers and product ranges, but the heat pump itself is only one component of the total project.

System design, labour, emitters, hot-water equipment, controls and electrical work can have as much or more influence on the final quotation.

That is why choosing a heat pump solely because one outdoor unit is cheaper can be misleading.

COMPARE LOCAL INSTALLERS

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HEAT PUMP COST QUESTIONS

Frequently Asked Questions

How much does an air source heat pump cost in the UK?

Energy Saving Trust currently gives a typical air source heat-pump installation cost of around £12,000. Your actual price can be lower or higher depending on the property, heating system and work required.

How much is a heat pump after the £7,500 grant?

If an eligible installation costs £12,000, subtracting the standard £7,500 Boiler Upgrade Scheme grant would leave £4,500 before any non-eligible work or extras.

Who can get the £9,000 heat pump grant?

Until 31 March 2027, qualifying off-gas-grid properties in England and Wales replacing oil or LPG heating can receive £9,000 towards an eligible air-to-water or ground source heat pump.

What makes a heat pump installation more expensive?

Common factors include radiator upgrades, a new hot-water cylinder, electrical work, pipework changes, controls, property heat loss and general installation complexity.

Do I need new radiators?

Not necessarily. The installer should calculate the heat required in each room and check whether the existing radiators can deliver enough output at the proposed flow temperature.

Is the cheapest heat pump quote usually the best?

Not automatically. Compare sizing, heat-loss calculations, radiators, cylinder specification, controls, electrical work, commissioning, warranty and aftercare as well as the headline price.

How much does it cost to service an air source heat pump?

Daikin UK puts a typical annual service at £150 to £300, depending on the system and local labour rates. Some manufacturer guarantees require a yearly service. See our heat pump servicing guide.

INDEPENDENT GUIDANCE

About the Author

David Tooth, author at Heat Pump Guide UK
David Tooth
Independent UK heat pump researcher

Practical independent guidance for UK homeowners comparing heat-pump costs, grants, equipment and installers.

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