Air Source Heat Pump Cost UK (2026 Guide)

Last updated: June 2026

Thinking about installing a heat pump? Here’s what UK homeowners are really paying in 2026, including typical installation prices, what affects the final quote, common extras, and how much grants can reduce the upfront cost.

Typical cost: £8,000–£15,000 before grants.

David Tooth, author at Heat Pump Guide UK

Written by David Tooth
• Independent UK heat pump researcher
• Reviewed for accuracy
✔ Updated for 2026
✔ Includes £7,500 and £9,000 grant figures
✔ UK installation cost guide

Quick Answer: How Much Does an Air Source Heat Pump Cost?

In the UK, a typical air source heat pump installation usually costs around £11,000, with many real-world projects falling between £8,000 and £15,000 before grants.

The final price depends on property size, heat loss, system design, radiator suitability, hot water requirements, electrical work, installer pricing and whether any upgrades are needed.

For many eligible homes in England and Wales, the standard Boiler Upgrade Scheme grant is £7,500 towards an air-to-water air source heat pump. From 21 July 2026 to 31 March 2027, eligible off-gas-grid homes replacing heating oil or LPG can qualify for a higher £9,000 grant.

This means the real out-of-pocket cost can vary significantly depending on your current heating system, property type and whether you qualify for the standard grant or the temporary oil/LPG uplift.

Simple rule

The cheapest heat pump quote is not always the best value. A poorly designed system can cost less upfront but more over time if it runs inefficiently, needs high flow temperatures or uses poor controls.

Compare Running Costs →

Heat Pump Cost After Grants

The Boiler Upgrade Scheme can make a major difference to the upfront cost. The standard grant for many eligible air-to-water heat pump installations is £7,500, but eligible oil and LPG-heated off-grid properties can get a temporary uplift to £9,000.

Example Installed Cost After £7,500 Grant After £9,000 Oil/LPG Grant
£9,000 £1,500 left £0 left before non-eligible extras
£11,000 £3,500 left £2,000 left
£13,500 £6,000 left £4,500 left
£15,000 £7,500 left £6,000 left

These examples are only a guide. Your real quote may also include radiator upgrades, hot water cylinder changes, electrical work, controls, pipework or insulation improvements.

Read Full Grants Guide →

New £9,000 Grant for Oil and LPG Homes

If your home currently runs on heating oil or LPG, the cost of switching to a heat pump may be lower than before.

From 21 July 2026 to 31 March 2027, eligible off-gas-grid properties in England and Wales can get a £9,000 Boiler Upgrade Scheme grant towards an air-to-water air source heat pump or ground source heat pump.

This is higher than the standard £7,500 grant and is aimed at homes and small businesses that are not connected to the gas grid and currently rely on oil or LPG heating.

Oil-heated homes

Oil-heated homes are often rural or off-grid. The higher £9,000 grant can make the upfront cost of switching to a heat pump more attractive.

Read Oil to Heat Pump Guide →

LPG-heated homes

LPG can be expensive, so the higher grant may strengthen the case for switching where the home is suitable for a heat pump.

Read LPG to Heat Pump Guide →

Good to know: The £9,000 uplift is not the standard grant for every heat pump installation. It is for eligible off-gas-grid oil and LPG properties during the temporary uplift period.

Typical Heat Pump Installation Costs by Property Type

This table gives a broad guide to the kind of total installed cost many UK homeowners might expect before grants. Your quote could be lower or higher depending on the property and the level of work needed.

Property Type Typical Installed Cost Likely Complexity
2-bed house £8,000–£10,000 Usually lower if the existing system is straightforward
3-bed house £9,500–£12,500 Common retrofit bracket for many family homes
4-bed house £11,000–£15,000+ Often needs a larger system and more upgrade work
Larger or complex home £15,000+ More likely to need wider heating system changes

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

What This Means for Your Home

Average prices are useful, but your actual quote depends on how your home compares with a typical UK installation.

  • Modern 2–3 bed homes often sit toward the lower or middle of the price range, especially if the existing heating system is simple.
  • Standard 3-bed semis often sit in the middle range, but radiator upgrades, hot water changes and controls can still affect the final price.
  • Larger or older properties are more likely to sit at the higher end because they may need a larger heat pump, bigger radiators, improved pipework or more detailed system design.
  • Oil or LPG-heated homes may benefit from the higher £9,000 grant if they are off the gas grid and meet the scheme rules.

The biggest cost differences usually come down to insulation, radiator suitability, hot water setup, electrics and overall system design — not just the size of the property.

If you want a clearer picture of long-term value, compare the installation price with expected heat pump running costs before choosing a quote.

Important: Installation cost and running cost should be judged together. A cheaper installation can become expensive if the system needs high flow temperatures, has weak controls or is poorly commissioned.

Who Should and Shouldn’t Get a Heat Pump?

Heat pumps can work well in many UK homes, but they are not automatically the best choice for every property. Suitability depends on the building, the heating system and the quality of the design.

Heat pumps usually work best if you:

  • Have a reasonably well-insulated home
  • Are replacing an older gas, oil, LPG or electric heating system
  • Have space for an outdoor unit
  • Can run the heating at sensible low flow temperatures
  • Plan to stay in the home long enough to benefit from the investment

They may be more challenging if you:

  • Live in a poorly insulated home and do not want to make any upgrades
  • Expect instant high-temperature heating like a traditional boiler
  • Have limited outdoor space
  • Need major radiator, cylinder, pipework or electrical changes

Many homes that seem unsuitable at first can still work well with the right setup. If you are unsure, compare installation costs alongside running costs, grant support and whether you may need new radiators for a heat pump.

What Is Included in the Price?

A full air source heat pump installation often includes much more than just the outdoor unit. A proper quote may include:

  • Outdoor air source heat pump unit
  • Indoor components and controls
  • Hot water cylinder where required
  • Pipework, valves and fittings
  • Installation labour
  • Electrical connections and isolators
  • Commissioning and system setup
  • Handover and basic user guidance

Some quotes also include radiator upgrades, buffer tanks, magnetic filters, smart controls and monitoring equipment, while others price these separately. This is one reason two heat pump quotes can look very different even when the outdoor unit appears similar.

The quality of the controls included can make a real difference to how easy the system is to run. Before choosing a quote, it is worth checking whether the installer includes suitable controls or whether you may want to compare the best smart thermostats for heat pumps.

What Increases the Cost of a Heat Pump Installation?

Many of the things that increase the upfront cost also affect long-term performance. That is why installation cost should always be considered alongside running costs and system efficiency.

1. Property size and heat loss

Larger homes usually need more heat output, which can mean a larger system, more detailed design work and potentially more radiator upgrades. Heat loss matters more than floor area alone.

2. Radiator upgrades

Heat pumps usually work best at lower flow temperatures, so some homes need larger radiators or additional emitters to heat rooms properly. If you are unsure whether your current setup is suitable, read our guide on whether you need new radiators for a heat pump.

3. Hot water cylinder

If you are replacing a combi boiler, you may also need a hot water cylinder and related plumbing work. This is one of the biggest extra costs in many retrofit projects. See our guide to replacing a combi boiler with a heat pump.

4. Electrical work

Some installations need additional electrical work such as an isolator, consumer unit changes or other alterations. The amount depends on the existing electrical setup and the requirements of the heat pump installation.

5. Installation complexity

Older homes, difficult access, awkward layouts, long pipe runs and unusual heating systems can all increase labour time and total cost.

6. Controls and zoning

Controls can affect both comfort and efficiency. A basic control setup may be included in the quote, but some homeowners also choose smart thermostats, smart TRVs or monitoring accessories to improve day-to-day control. See our guides to smart thermostats for heat pumps and smart TRVs for heat pumps.

Typical Extra Costs to Consider

Not every home needs every upgrade, but these are common extras that can affect the final installed price.

Extra Item Typical Cost Range Why It Might Be Needed
Radiator upgrades £500–£2,500+ To improve performance at lower flow temperatures
Hot water cylinder £800–£2,000+ Usually needed when replacing a combi boiler
Electrical upgrades £300–£1,500+ Depends on the current electrical setup
Magnetic filter / system extras £100–£500+ Helps protect the system and improve longevity
Smart controls and accessories Varies Can improve usability, zoning and monitoring
Insulation improvements Varies widely May be needed to get the best performance

If you want to understand which smaller upgrades may help after installation, see our guide to useful heat pump accessories.

How Much Does the Boiler Upgrade Scheme Reduce the Cost?

The Boiler Upgrade Scheme can make a major difference to the real out-of-pocket cost of switching to a heat pump. In England and Wales, eligible homeowners can currently get £7,500 off the cost and installation of an air-to-water air source heat pump.

From 21 July 2026 to 31 March 2027, eligible off-gas-grid homes and small businesses that rely on heating oil or LPG can get a higher £9,000 grant towards an air source or ground source heat pump.

That means a standard £11,000 installation could fall to around £3,500 after the £7,500 grant, or around £2,000 if it qualifies for the £9,000 oil/LPG uplift, before any non-eligible extras.

Good to know: The grant is usually applied through the installer, rather than claimed back later by the homeowner.

Read About Grants →

Heat Pump Cost vs Gas Boiler

Heat pumps usually cost more to install than a gas boiler, but the comparison is not just about upfront price. Heat pumps can offer lower carbon emissions, better long-term efficiency and potentially lower running costs in well-designed systems.

Still using a gas boiler? Read our guide to replacing a gas boiler with a heat pump, including radiator upgrades, hot water changes and installation costs.

Gas Boiler

  • Lower upfront replacement cost
  • Usually simpler installation
  • Familiar for most homeowners
  • Gas is often cheaper per kWh than electricity

Heat Pump

  • Higher upfront installation cost
  • Eligible for grants
  • Potentially better long-term efficiency
  • More sensitive to design, controls and setup

For a more detailed breakdown, see our comparison of heat pump vs gas boiler costs.

Are Heat Pumps Worth It? →

Heat Pump Cost vs Oil, LPG and Electric Heating

The financial case for a heat pump often depends on what you are replacing. The installation cost may be similar, but the long-term value can look very different depending on your current heating fuel.

For a side-by-side comparison of annual energy use, see our full heat pump running costs guide.

How to Get Better Value from a Heat Pump Installation

If you want the best return from your investment, focus on the whole system rather than choosing the lowest headline quote.

  • Make sure the system is correctly sized for the property
  • Do not choose on brand alone
  • Check whether radiators are suitable for lower flow temperatures
  • Ask what controls are included in the quote
  • Improve insulation where it makes sense
  • Compare installation cost with expected running cost
  • Check whether the standard £7,500 grant or £9,000 oil/LPG uplift applies
  • Look carefully at what is and is not included in each quote

Good controls can make the system easier to live with and may help avoid wasted heating. If your quote only includes basic controls, compare the best smart thermostats for heat pumps before deciding what to add.

Compare Smart Thermostats →

Should You Spend More Upfront?

Sometimes a higher quote is justified, especially if it includes better design work, radiator upgrades, controls, commissioning and a clearer handover. But a higher price is not automatically better either.

When comparing quotes, check whether each installer has allowed for:

  • Heat loss calculations
  • Radiator and emitter sizing
  • Hot water cylinder requirements
  • Weather compensation setup
  • Controls and zoning
  • Commissioning and aftercare
  • The correct Boiler Upgrade Scheme grant value

A system that is designed to run at lower flow temperatures is usually more likely to perform well. If your quote includes radiator upgrades, see our guide on whether new radiators are needed for a heat pump.

Before You Choose a System

Cost is only one part of the decision. The heat pump brand, installer, controls, noise level, system design and aftercare can all affect long-term satisfaction.

Many homeowners compare brands first, then look more closely at total installation cost once they understand the trade-offs between efficiency, reliability, support and suitability.

Compare the Best Heat Pumps →

Important:

A lower-priced installation can cost more in the long run if the system is undersized, badly commissioned or paired with poor controls. Always compare installation cost, grant value and running cost together, not in isolation.

Frequently Asked Questions

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

For many homes, a typical full installation lands around £11,000, though real projects often fall somewhere between about £8,000 and £15,000 depending on property size, system design and complexity.

How much does a heat pump cost after the grant?

After the standard £7,500 Boiler Upgrade Scheme grant, a £11,000 installation could fall to around £3,500 before any non-eligible extras. Eligible oil and LPG-heated off-grid homes may qualify for a higher £9,000 grant from 21 July 2026 to 31 March 2027.

What is the £9,000 heat pump grant?

The £9,000 grant is a temporary Boiler Upgrade Scheme uplift for eligible off-gas-grid properties in England and Wales that currently use heating oil or LPG and are switching to an eligible air source or ground source heat pump.

Does a heat pump always cost more than a boiler?

Upfront installation is usually higher than a gas boiler replacement, but grants can reduce the difference significantly. Long-term value depends on running costs, system design and how well the heat pump suits the home.

What adds most to the cost?

The biggest extras are usually radiator upgrades, a hot water cylinder, electrical work, insulation improvements and any added complexity in the installation.

Are smart controls included in the installation cost?

Some installers include suitable controls as part of the quote, while others provide a more basic setup or charge separately. It is worth checking exactly what controls are included before comparing quotes.

Is the cheapest heat pump quote the best option?

Not always. A cheap quote may be good value, but only if the system is properly sized, well designed and correctly commissioned. Poor design can lead to higher running costs and reduced comfort.

David Tooth, author at Heat Pump Guide UK
Written by
Reviewed for accuracy
Updated for 2026

David Tooth

Independent UK heat pump researcher focused on helping homeowners compare systems, understand costs, grants and real-world performance.

UK homeowner advice
Independent comparisons
No installer sales pressure

All guides on Heat Pump Guide UK are independently written and based on practical research into efficiency, installation costs, running costs, grants, controls and suitability for UK homes.

Sources & Further Reading

This guide uses official UK government, Ofgem and independent energy advice sources for heat pump costs, Boiler Upgrade Scheme rules and grant values.

Next Step

Once you understand installation costs, the next step is checking which grant you may qualify for and comparing long-term running costs.