The short version: an air source heat pump installed under the Boiler Upgrade Scheme costs a median £12,900 before the grant (median, April–June 2026, DESNZ). The scheme takes £7,500 off in England and Wales — £9,000 for an air or ground source heat pump if you're replacing oil or LPG in a home with no mains gas connection, until 31 March 2027 — so most households pay the balance themselves or finance it. This page shows what a fair quote looks like and introduces you to one MCS-certified installer who covers your postcode.
How it works
Tell us about your home
Postcode, property type and how you'd pay. Two minutes.
We pass it to one installer
If an accredited (MCS-certified) installer covers your area, we'll pass your enquiry to them, and only them. They can arrange a home survey, including a room-by-room heat-loss calculation.
Judge the quote
Check it against the figures on this page. If it's out of range, you can say no. No obligation at any stage.
What a heat pump costs in 2026
| Air source heat pump | |
|---|---|
| Typical installed price under BUS (median, April–June 2026) | £12,900 |
| Boiler Upgrade Scheme grant | −£7,500 |
| What you would pay | about £5,400 |
Median installed cost of an air-to-water heat pump under the Boiler Upgrade Scheme, April–June 2026 (lower quartile £11,128, upper quartile £15,627): DESNZ BUS Statistics: July 2026, published 27 August 2026. This is the middle figure across all installations — a small, well-insulated house can come in well under it; a large, older house needing new radiators and a cylinder can come in well over it.
The price is driven by the size of heat pump your home needs, whether radiators and the hot water cylinder need replacing, pipework, the electrical supply and access for the outdoor unit. A quote that is far below the average without explanation should make you ask what has been left out — usually the heat-loss survey, radiators or the cylinder. VAT on heat pumps installed in homes is 0% until 31 March 2027.
The Boiler Upgrade Scheme in five lines
- £7,500 off an air source or ground source heat pump (£2,500 for air-to-air). From 21 July 2026 to 31 March 2027, an air source or ground source heat pump replacing oil or LPG heating in a home with no mains gas connection gets £9,000 instead (not air-to-air).
- England and Wales only. Owner-occupiers and private landlords can apply, including for second homes and business premises; most new-build homes and social housing can't.
- The heat pump must replace fossil-fuel heating (gas, oil, LPG, coal) or direct electric heating. Since 28 April 2026 an EPC is no longer mandatory — if the home doesn't have a valid one, the installer provides other evidence.
- The installer applies, not you. An MCS-certified installer requests the voucher and takes it off your price; Ofgem contacts you to confirm. It is a discount on the price, not a free installation — you pay the balance.
- There is no income test and no benefits requirement.
Source: GOV.UK, Apply for the Boiler Upgrade Scheme (updated 16 Sep 2026); DESNZ notice of grant values (effective 21 Jul 2026); Ofgem BUS guidance for property owners v5.1 (2 Jul 2026). Full detail: Boiler Upgrade Scheme guide.
Running costs: heat pump vs gas at today's prices
| Heating | Energy bought a year | Unit rate | Annual running cost |
|---|---|---|---|
| Gas boiler (90% efficient) | 9,500 kWh gas | 7.97p/kWh | £760 |
| Heat pump, efficiency 2.78 (trial median) | 3,080 kWh electricity | 26.32p/kWh | £810 |
| Heat pump, efficiency 3.05 (trial upper quartile) | 2,800 kWh electricity | 26.32p/kWh | £740 |
| Heat pump, efficiency 3.5 (low-temperature design target) | 2,440 kWh electricity | 26.32p/kWh | £640 |
Same 8,550 kWh of heat in every row: Ofgem's typical medium gas use of 9,500 kWh a year, delivered by a 90%-efficient boiler. Unit rates: Great Britain average direct-debit price cap, 1 October to 31 December 2026. Standing charges excluded — if you remove the gas meter entirely you also stop paying the gas standing charge (29.68p a day, about £110 a year here). Heat pump efficiencies: 2.78 is the median measured seasonal performance across 428 homes in the government's Electrification of Heat trial and 3.05 its upper quartile; 3.5 is the kind of figure a system designed to run at 45°C or below is designed to achieve, not a measured average.
At current prices a heat pump at the trial's median efficiency costs about the same to run as a gas boiler; a low-temperature system designed for an efficiency around 3.5, dropping the gas standing charge, or a heat-pump or time-of-use electricity tariff, is where the saving comes from. Against oil and LPG the gap is usually wider — see the full running cost comparison and the area pages below.
What a good heat pump quote must contain
- A room-by-room heat-loss calculation, done at your home, not a size guessed from floor area or your old boiler's rating. It decides the size of the heat pump and whether any radiators need to change.
- The design flow temperature and the expected efficiency (SCOP) at that temperature. A system designed to run at 45°C or below is usually far cheaper to run than one designed at 55°C; the quote should say which.
- Named equipment — heat pump make, model and output in kW, the hot water cylinder size, and each radiator being replaced, not "upgraded emitters as required".
- A noise assessment showing the outdoor unit's position meets the planning noise limit at your neighbour's nearest window, and where exactly the unit will sit.
- The Boiler Upgrade Scheme shown as a line: the full price, the grant deducted, and your balance. The installer applies for the voucher; you should never be asked to pay the grant amount upfront.
- What happens to the old system — removing the boiler, and for oil or LPG homes, decommissioning the tank — and whether that is included.
- The installer's MCS certificate number and consumer code (RECC or HIES), warranty terms split by equipment and workmanship, and the deposit and how it is protected.
- If you are financing it: the APR, the term and the total amount repayable next to the cash price.
Ways to pay your share
Upfront, after the grant
Cheapest overall. The grant comes off the invoice; you pay the balance on completion or in stages.
Finance
Many installers offer finance on the balance. Compare the total repayable, not the monthly figure, against the cash price.
Green mortgage or further advance
Some lenders offer lower rates or cashback for energy-efficiency work. Worth asking your lender before taking unsecured finance.
How your enquiry is handled
- One installer introduction, fulfilling your request. If an accredited (MCS-certified) installer covers your area, we'll pass your enquiry to them, and only them — not a list of companies.
- No obligation, at any stage. You can say no at any point, including after the survey or the quote, and owe nothing.
- It costs you nothing. An installer may pay Great British Energy a referral fee if you go ahead, and that fee does not change your price.
- We are an independent guide, not an installer. Great British Energy Guide doesn't install anything and isn't the government body of a similar name. Your consent is recorded with the enquiry, as set out in our privacy policy.
Get your heat pump quote
One MCS-certified heat pump installer who covers your postcode. They apply for the Boiler Upgrade Scheme on your behalf if you're eligible. Nothing is shared until you submit.
Local heat pump pages
Area pages with local electricity and gas prices, housing, planning and Boiler Upgrade Scheme take-up:
- Heat pumps in Birmingham
- Heat pumps in Sheffield
- Heat pumps in Bristol
- Heat pumps in Newcastle
- Heat pumps in Doncaster
- Heat pumps in Nottingham
- Oil to heat pump: Cornwall
- Oil to heat pump: Somerset
- Oil to heat pump: Fens & Peterborough
- Oil to heat pump: Northumberland
- Oil to heat pump: Carmarthenshire & Pembrokeshire
Questions before you request a quote
Is a heat pump free with the grant?
No. The Boiler Upgrade Scheme takes £7,500 (or £9,000 for oil and LPG homes with no mains gas connection until 31 March 2027) off the price; you pay the balance. Fully funded heating upgrades exist only for some lower-income households in less efficient homes, through different schemes.
Why one installer instead of several?
Comparison sites typically pass your details to several companies. If an accredited (MCS-certified) installer covers your area, we'll pass your enquiry to them, and only them, and you can judge their price against the benchmarks on this page.
Does my house need to be well insulated first?
It needs to be reasonably efficient, and the installer's heat-loss calculation will show where heat escapes. Loft and cavity wall insulation are cheap wins that reduce the size of heat pump you need. Since 28 April 2026 you do not even need a valid EPC to apply — the installer can provide other evidence about the property.
What if I live in Scotland or Northern Ireland?
The Boiler Upgrade Scheme doesn't apply. Scotland has its own grant and interest-free loan through Home Energy Scotland; an installer can still quote you, but the grant figures on this page won't apply.
What does the introduction cost?
Nothing. An installer may pay Great British Energy a referral fee if you go ahead, and that fee does not change your price.
Sources
- GOV.UK, Apply for the Boiler Upgrade Scheme (updated 16 September 2026); DESNZ notice of grant categories and values (effective 21 July 2026); Ofgem, BUS guidance for property owners v5.1 (2 July 2026).
- DESNZ, Boiler Upgrade Scheme statistics: July 2026 (27 August 2026) — median installed cost 2026 Q2; redemptions paid by local authority, May 2022 to June 2026.
- Ofgem, Changes to energy price cap between 1 October and 31 December 2026 (26 August 2026) and regional unit rates and standing charges; electricity at 0% VAT from 1 October 2026 to 31 March 2027 (HMRC).
- Ofgem, Typical Domestic Consumption Values decision (27 May 2026): medium gas 9,500 kWh, electricity 2,500 kWh, from 1 July 2026.
- Energy Systems Catapult for DESNZ, Electrification of Heat demonstration project, summary report (December 2024): median measured air source heat pump seasonal performance (SPFH4) 2.78, interquartile range 2.55–3.05, 428 homes.
- HMRC, VAT Notice 708/6: 0% on installing energy-saving materials in homes, 1 May 2023 to 31 March 2027.
- General Permitted Development (England) Order 2015, Schedule 2 Part 14 Class G, as amended by SI 2025/560 from 29 May 2025.