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Replace a Gas Boiler with a Heat Pump: Costs & Pros + Cons
Gas boilers have been the go-to heating system for many UK homes for decades. Yet with the UK government’s most recent update of the Boiler Upgrade Scheme, the grant level for air source heat pumps and ground source heat pumps jumped from £5,000 and £6,000 to £7,500. This makes it a more affordable time than ever to replace a boiler with a heat pump.
This article will shed some light on the benefits of heat pumps as a gas boiler alternative, factors to consider when choosing a heat pump, as well as government incentives available to help with the cost of installation.
Yet even if you’re sure about the prices, finding a reliable installer is a daunting chore. Searching for the best engineer and deals might stretch for days and weeks. What if you don’t have that much time to spare? It’s highly unlikely you’re keen on spending your whole weekend searching for installers instead of having quality family time.
Thankfully, GreenMatch is here to help you avoid unnecessary stress. Fill out our 30-second form and we’ll connect you with up to 4 heating engineers near you. Compare the boiler quotes with no obligations to place any orders and pick the one that best fits your situation. Our service is free and non-binding, just click below to begin.
- Quotes from local engineers
- Payment by finance available
- Save up to £1100 per year
- Key differences between heat pumps vs gas boilers
- Advantages of heat pumps instead of gas boilers
- Considerations when replacing a gas boiler for a heat pump
- Costs to replace a gas boiler with a heat pump in the UK
- Government incentives to reduce heat pump costs
- Savings when replacing a gas boiler with an air source heat pump
- Should you replace a gas boiler with a heat pump?
- Receive free non-binding heat pump quotes for your UK household
- FAQ
Key differences between heat pumps vs gas boilers
Heat pumps and gas boilers are two popular ways to heat homes. However, unlike heat pumps, boilers don’t have cooling capabilities which presents a key difference between the two systems.
Let’s compare other cruical differences between heat pumps and gas boilers.
| Feature | Heat pump | Gas boiler |
|---|---|---|
| Efficiency | More efficient | Less efficient |
| Fuel | Uses electricity to transfer the outside heat to the inside | Burns natural gas to produce heat |
| Space | Requires space for an outdoor unit | Might require extra indoor space for a hot water cylinder |
| Environmental impact | More environmentally friendly | Produces carbon emissions |
| Versatility | Can heat and cool your home | Can only heat your home |
| Longevity | Up to 25 years | Up to 15 years |
Speaking of efficiency, heat pumps show a coefficient of performance (CoP) between 3 and 5 meaning that heat pumps generate between 3 and 5 units of heat for every electricity unit they use. Whereas gas boilers achieve a CoP of around 0.9 making heat pumps a more efficient heating solution.
In terms of costs, heat pumps require a bigger upfront investment. For example, ground-source heat pumps, apart from the heat pump itself, need underground loops or boreholes which definitely contribute to the installation total.
Yet, even though the cost to replace a gas boiler with a heat pump seems like a major disadvantage, switching a heat pump for a boiler brings multiple benefits.
Advantages of heat pumps instead of gas boilers
In general, heat pumps are a more efficient, environmentally friendly, and versatile way to heat and cool your home than gas boilers. If you are considering replacing your old boiler, consider installing a heat pump.
Heat pumps have a number of advantages over gas boilers, including:
- Efficiency. Heat pumps are more efficient than gas boilers, meaning that they can produce more heat using less energy. This can lead to significant savings on your energy bills.
- Environmental impact. Heat pumps are a more environmentally friendly way to heat your home than gas boilers. They produce little to no carbon emissions, which helps to reduce your carbon footprint.
- Versatility. Heat pumps can be used to both heat and cool your home, making them a one-stop solution for your climate control needs.
- Longevity. Heat pumps have a longer lifespan than gas boilers, typically lasting up to 25 years.
- Enhanced comfort. Air source heat pumps provide more consistent and evenly distributed heat than gas boilers.
In addition to the advantages listed above, there are multiple heat pump grants, which can help to reduce the upfront cost of installation.
Considerations when replacing a gas boiler for a heat pump
There are a number of considerations to keep in mind when replacing a gas boiler with a heat pump, including:
- Cost. Heat pumps are typically more expensive to install than gas boilers. However, the upfront cost can be offset by government incentives and long-term savings on energy bills.
As of October 23, 2023, the UK government grants eligible homeowners £7,500 off an air source and ground source heat pump installation within the Boiler Upgrade Scheme.
- Efficiency. Heat pumps are more efficient than gas boilers, meaning that they can produce more heat with less energy. This can lead to significant savings on energy bills over time.
- Climate. Heat pumps are less effective at heating homes in cold weather. If you live in a cold climate, you may need to supplement your heat pump with another heating system, such as a wood stove or electric heater.
- Space. Since heat pumps require space for an outdoor unit, you may not be able to install a heat pump in case of limited outdoor space.
- Home compatibility. Heat pumps work best with well-insulated homes. If your home isn’t well-insulated, heating your home with a heat pump might cost you 40% more than with a traditional gas boiler.
- Type of heat pump. There are two main types of heat pumps: air source heat pumps (ASHP) and ground source heat pumps (GSHP). Air source heat pumps are more common and less expensive to install, but they are less efficient than ground source heat pumps.
- Size of heat pump. The size of the heat pump you need will depend on the size of your home and the climate you live in. It is important to have a qualified installer who’ll assess your needs and recommend the right size heat pump for your home.
- Features. Heat pumps come with a variety of features, such as smart thermostats and zoning capabilities. Consider which features are important to you and choose a heat pump that has them.
These are the crucial topics to discuss with the heat pump installer as they are a deciding factor while choosing the right heat pump solution for your home and calculating the bottom line.
If you are considering replacing your gas boiler with a heat pump, it’s recommended to do your research and get quotes from multiple heat pump installers. This will help you to make the best decision for your needs and budget.
However, how long does it take to find an installer you can trust? This process can march on for weeks until you find an experienced engineer in your area. Thankfully, GreenMatch offers a less stressful alternative.
Answer a few basic questions about your home in our 30-second form and we’ll connect you with up to 4 heat pump installers near you. Compare their free, non-binding quotes to find the best deal for your situation. Click below to get started.
- Quotes from local engineers
- Payment by finance available
- Save up to £1100 per year
Costs to replace a gas boiler with a heat pump in the UK
The cost to replace a gas boiler with a heat pump depends on the heat pump type, the size of your property, and the existing pipework.
Let’s compare current average prices installed for gas boilers, GSHP and ASHP solutions.
| Type of heating system | Upfront cost range | Installation cost range | Costs granted by the Boiler Upgrade Scheme |
|---|---|---|---|
| Gas boiler | £500–£4,000 | £400–£2,000 | – |
| Air source heat pump | £8,000–£18,000 | £350–£1,700 | £7,500 |
| Ground source heat pump | £14,500–£45,000 | £700–£2,450 | £7,500 |
As you see, the Boiler Upgrade Scheme can significantly reduce the cost of air source heat pumps, for example. So don’t neglect getting information on existing grants and government incentives is essential for your project.
Government incentives to reduce heat pump costs
As of 2023, the UK government offers several incentives to reduce costs while replacing a gas boiler with a heat pump. Here are some key schemes for you to consider:
- Boiler Upgrade Scheme (BUS): In England and Wales, eligible homeowners can receive grants to assist with the cost of adopting low-carbon heating systems like heat pumps. Starting from October 23, 2023, the grants for air source and ground source heat pumps will increase to £7,500.
For example, if you choose a £10,000 air source heat pump for your home, the Boiler Upgrade Scheme grant reduces the ASHP cost to an average boiler installation of £2,500.
- Energy Company Obligation (ECO4) scheme: This scheme encompasses a range of initiatives across Great Britain, including boiler repairs, insulation, and the substitution of inefficient heating systems with low-carbon solutions such as air source heat pumps and biomass boilers. Eligible homeowners can apply for this grant until March 31, 2026.
- Home Energy Scotland: This scheme provides interest-free loans of up to £17,500 to help Scottish homeowners install renewable heating systems such as heat pumps.
- Nest Scheme Wales: This scheme covers costs to replace a boiler with a heat pump for all eligible households.
A local heat pump installer could walk you through the application process and provide you with tailored calculations of how those grants can help you with the initial investment.
Savings when replacing a gas boiler with an air source heat pump
As mentioned above, air source heat pump installation requires a way higher initial investment than what’s needed for a gas boiler. Also, it’s crucial to remember that gas boilers provide heating options only.
So if you involve an air conditioning unit to cool your home in summer, consider switching to an air source heat pump. Ultimately, you’d spend less on air source heat pump costs than on both a gas boiler and an air conditioning unit combined.
A typical UK 3-bedroom household could expect the following yearly costs to run a gas boiler, an air-source heat pump, and a conditioning system.
| System | Yearly running cost |
|---|---|
| Gas boiler | £1,250 |
| Air source heat pump | £1,360 |
| Air conditioning unit | £400 |
Yet, these are just rough estimates and the actual running costs will vary on a bunch of factors like energy prices, your property size, energy consumption, the climate you live in and the efficiency of your heat pump. Consider talking to a professional heat pump engineer for more tailored advice.
Should you replace a gas boiler with a heat pump?
When replacing a gas boiler with a heat pump, consider factors like energy efficiency, cost savings, upfront expenses, payback time, long-term investment, environmental impact, and available government incentives.
Heat pumps are generally more energy-efficient and cost-effective in the long run compared to gas boilers, even though electricity is more expensive. The payback period for an air source heat pump varies based on factors like installation costs, efficiency, energy usage, and incentives, typically ranging from 5 to 15 years.
For example, the upfront cost of an air source heat pump installation can be higher, ranging from £8,000 to £18,000 depending on the type and additional expenses. But heat pumps are environmentally friendlier, being 3-4 times more efficient than gas boilers and offering 3 to 5 units of heat for every unit of electricity used.
Government programs, such as the Boiler Upgrade Scheme, will provide £7,500 worth of grants to cover heat pump installation costs and reduce your initial investment.
In the end, the decision to switch from a gas boiler to a heat pump depends on your unique circumstances and priorities. While heat pumps may have higher initial costs, they offer long-term savings and environmental benefits. It’s crucial to carefully consider all these factors and conduct thorough research before making a decision.
Receive free non-binding heat pump quotes for your UK household
If you’re interested in receiving quotes to replace a boiler with a heat pump, you’ll need to:
- Google the installers and read the customer reviews;
- Call the installers to personally vet them;
- Compare the quotes offered by different installers.
In the best-case scenario, you’ll be done in a few hours, but unfortunately, the searches usually drag on for days.
Fortunately, GreenMatch can streamline the process of receiving quotes. All you have to do is fill out our 30-second form and we’ll take it from there. We’ll provide you with up to 4 free, non-binding quotes from heat pump installers in your area. Compare the prices to find the best option for your situation.
Click the button below to get started.
- Quotes from local engineers
- Payment by finance available
- Save up to £1100 per year
FAQ
We strive to connect our customers with the right product and supplier. Would you like to be part of GreenMatch? - Key differences between heat pumps vs gas boilers
- Advantages of heat pumps instead of gas boilers
- Considerations when replacing a gas boiler for a heat pump
- Costs to replace a gas boiler with a heat pump in the UK
- Government incentives to reduce heat pump costs
- Savings when replacing a gas boiler with an air source heat pump
- Should you replace a gas boiler with a heat pump?
- Receive free non-binding heat pump quotes for your UK household
- FAQ