Heat Pumps: The Complete UK Guide 2026
Air source and ground source heat pumps explained – costs, savings, grants, and whether a heat pump is right for your home.
Air Source vs Ground Source Heat Pumps
Both extract renewable heat from the environment, but they work differently and suit different properties:
| Feature | Air Source (ASHP) | Ground Source (GSHP) |
|---|---|---|
| How it works | Extracts heat from outside air | Extracts heat from underground via buried loops |
| Installation cost | £8,000–£14,000 | £15,000–£35,000 |
| After BUS grant | £0–£6,500 | £7,500–£27,500 |
| Efficiency (COP) | 2.8–3.5 | 3.5–4.5 |
| Space needed | External wall space (outdoor unit) | Large garden for ground loops or borehole |
| Planning permission | Usually not needed | Usually not needed |
| Noise | 40–50 dB (outdoor unit) | Silent (underground loops) |
| Best for | Most homes, especially retrofits | New builds, rural homes with land |
| Lifespan | 20–25 years | 25–30 years (loops last 50+) |
Heat Pump Running Costs
Heat pumps are cheaper to run than gas boilers in most scenarios, especially with good insulation:
| Heating System | Fuel Cost (p/kWh) | Efficiency | Cost per kWh of Heat | Annual Cost (3-bed semi) |
|---|---|---|---|---|
| Air Source Heat Pump | 24.5p (electricity) | 300% (COP 3.0) | 8.2p | £950–£1,200 |
| Ground Source Heat Pump | 24.5p (electricity) | 400% (COP 4.0) | 6.1p | £750–£950 |
| Gas Boiler (new) | 6.8p (gas) | 92% | 7.4p | £900–£1,100 |
| Oil Boiler | 7.5p (oil) | 90% | 8.3p | £1,000–£1,250 |
| Direct Electric | 24.5p (electricity) | 100% | 24.5p | £2,800–£3,500 |
| LPG Boiler | 10.5p (LPG) | 90% | 11.7p | £1,400–£1,700 |
Boiler Upgrade Scheme (BUS) Grant
Get £7,500 Off Your Heat Pump
The UK Government’s Boiler Upgrade Scheme provides grants to help homeowners switch from fossil fuel heating to heat pumps:
| Detail | Information |
|---|---|
| Grant amount | £7,500 for air source or ground source heat pumps |
| Available until | 2030 (grant rises to £9,000 for off-gas-grid homes from 21 July 2026) |
| Who can apply | Homeowners in England and Wales replacing fossil fuel heating |
| EPC requirement | Valid EPC with no outstanding loft/cavity wall recommendations (or evidence they’re unsuitable) |
| How to apply | Your MCS-certified installer applies on your behalf |
| Processing time | Typically 3–6 weeks |
Which heat pump brands are installed in the UK?
The UK domestic market is dominated by a handful of manufacturers: Daikin, Mitsubishi Ecodan, Vaillant aroTHERM, Samsung EHS, Grant Aerona and Nibe, alongside ground source specialists such as Kensa. Which of them you can actually have fitted depends less on the brand and more on which MCS-certified installers work in your area, because most installers specialise in one or two ranges and will quote on those.
Brand matters less than sizing and installation quality. A well-specified 8kW unit from a mid-market manufacturer, installed by someone who has done a proper heat-loss survey, will outperform a premium unit that has been oversized or paired with undersized radiators. Judge the installer first and the badge second.
For a ranked comparison of the six air source models worth considering in 2026, including efficiency, noise, warranty and what each one suits, see Look Into’s guide to the best air source heat pumps in the UK.
Pros and Cons
Advantages
- 300–400% efficient – far more than gas or oil boilers
- £7,500 BUS grant slashes upfront cost
- Lower running costs than most heating systems
- Significantly reduces your carbon footprint
- Can provide heating and hot water year-round
- 20–25 year lifespan (longer than boilers)
- Works even at -15°C outside temperature
- Can reverse to provide cooling in summer
Disadvantages
- High upfront cost (even with grant)
- Requires good home insulation to be effective
- May need larger radiators or underfloor heating
- Lower flow temperatures than gas boilers (45–55°C vs 60–80°C)
- Air source units produce some outdoor noise
- Ground source needs garden space for loops
- Electricity costs must stay reasonable for savings to hold
- Installation takes 2–5 days (more disruptive than boiler swap)
Is Your Home Suitable?
Suitability Checklist
Heat pumps work best in well-insulated homes. Check these factors:
| Factor | Ideal | May Need Work |
|---|---|---|
| Wall insulation | Cavity or solid wall insulation fitted | Uninsulated solid walls – consider EWI |
| Loft insulation | 270mm+ mineral wool or equivalent | Less than 100mm |
| Windows | Double or triple glazed | Single glazed throughout |
| Radiators | Correctly sized or underfloor heating | Very small radiators need upgrading |
| Space | Wall space for outdoor unit (ASHP) or garden (GSHP) | No suitable external wall or garden |
| Current heating | Gas, oil, LPG, or electric (replacing fossil fuel) | Already on mains gas with new boiler |
Frequently Asked Questions
Do heat pumps work in cold UK winters?
Yes. Modern air source heat pumps work efficiently down to -15°C or even -25°C. The UK rarely drops below -5°C, so heat pumps perform well year-round. In very cold snaps, the COP drops slightly but the system still heats your home effectively.
Can a heat pump replace my gas boiler?
Absolutely. A properly sized heat pump provides all the heating and hot water a gas boiler does. You may need to upgrade some radiators to larger ones or add underfloor heating to work with the lower flow temperatures. Your installer will assess this during the survey.
How noisy are heat pumps?
Modern air source heat pumps produce 40–50 dB at 1 metre – similar to a fridge or quiet conversation. Planning rules require noise below 42 dB at your nearest neighbour’s window. Most premium models are well within this. Ground source heat pumps are virtually silent.
How long does installation take?
An air source heat pump typically takes 2–3 days to install. Ground source takes 3–5 days (longer if drilling boreholes). If radiator upgrades or underfloor heating are needed, add 1–3 days. The BUS grant application adds 3–6 weeks before work begins.
Will I still need a boiler as backup?
No. A correctly designed heat pump system is your sole heating source. However, some hybrid systems pair a heat pump with a gas boiler for peak demand. This is more common in poorly insulated homes where a full heat pump solution isn’t yet cost-effective.
What’s the payback period?
With the £7,500 BUS grant, an air source heat pump replacing an oil or LPG boiler can pay back in 5–8 years. Replacing gas is longer (8–12 years) due to cheaper gas prices, but this improves as the gas price gap narrows and electricity costs fall with more renewables.
Heat Pump Buyer’s Checklist
- Get a valid EPC for your property (needed for BUS grant)
- Address any loft/cavity wall insulation recommendations on your EPC
- Get at least 3 quotes from MCS-certified heat pump installers
- Ask each installer about expected COP for your specific home
- Check if radiator upgrades or underfloor heating is recommended
- Confirm the installer will handle BUS grant application
- Ask about smart controls and weather compensation
- Check noise levels and placement options for the outdoor unit
- Understand the warranty terms (unit, compressor, labour)
- Plan for the 3–6 week BUS grant processing time
Ready to Switch to a Heat Pump?
The Boiler Upgrade Scheme grant is claimed by your installer, so who you pick matters. Here is what to ask for.
How to compare heat pump quotes →Could you get help with the cost? See our guide to heat pump grants (£7,500 Boiler Upgrade Scheme).
Last updated: June 2026.
How to choose a good heat pump installer
Use an MCS-certified installer, it is required to claim the £7,500 Boiler Upgrade Scheme grant. Always get the quote in writing, ask about guarantees, and compare at least three installers before deciding.
Hidden costs to watch for
- Improving insulation so the system runs efficiently
- Larger radiators or underfloor heating
- A new hot water cylinder
- Electrical supply upgrades
- Occasionally, planning permission
Work out your own heat pump cost
Estimate the cost for your own property from typical 2026 UK prices.
The Boiler Upgrade Scheme pays £7,500 towards an air or ground source heat pump in England & Wales (£9,000 for off-gas-grid homes from 21 July 2026). Ground source costs more upfront but is cheaper to run. See our heat pump cost guide.
How to get heat pump quotes in the UK
A heat pump is one of the few home upgrades where the quote and the grant are tangled together, which makes quotes hard to compare. Here is how to get a set you can line up side by side.
To be clear about what this page is: we are not a quote service and we do not pass your details to installers. We publish the costs so you can judge the quotes yourself.
- Use an MCS-certified installer. The Boiler Upgrade Scheme grant is claimed by the installer on your behalf, and only MCS-certified firms can do it. No certification, no grant.
- Ask whether the price is before or after the grant. This is the single biggest cause of quotes that look thousands apart when they are not.
- Insist on a room-by-room heat loss survey. A quote produced without one is guesswork, and undersizing is what leaves people cold and oversizing is what makes running costs miserable.
- Get the design flow temperature and the predicted SCOP in writing. A system designed to run at 35C to 45C costs far less to run than the same unit designed at 55C. That number, not the brand, decides your bills.
- Check what radiator and cylinder work is included. Radiator upgrades and a new hot water cylinder are the usual hidden extras.
The catch
A heat pump quoted around a high flow temperature will work, but it will run closer to a storage heater than to the efficiency figures in the brochure. If an installer will not commit to a design flow temperature, that is your answer.
Work out the numbers before you call anyone
Heat pump: quick answers
How much does an air source heat pump cost?
Around £8,000–£14,000 installed before grants, about £2,500–£6,500 after the £7,500 Boiler Upgrade Scheme grant in England and Wales. The exact price depends on the size of your home and how much pipework or radiator upgrading the installation needs.
Is a heat pump better than a new gas boiler?
Heat pumps are far more efficient and attract a £7,500 grant, but work best in a well-insulated home. If your home is poorly insulated or budget is tight, a modern boiler may suit you better for now.
How many heat pump quotes should I get?
Get at least three, all from MCS-certified installers, and insist each one is based on a room-by-room heat-loss calculation rather than a floor-area estimate. The £7,500 Boiler Upgrade Scheme grant is claimed by the installer, so check every quote shows the price both before and after the grant.
What else affects the cost of a heat pump?
The cost, grant and suitability questions UK homeowners ask most about heat pumps. For what one costs to run on a real tariff, see our heat pump running costs guide.
What does the £7,500 grant actually cover?
It is a fixed contribution paid through your installer towards an air-source heat pump, deducted from your quote, so you do not claim it back yourself.
Can I get a grant for a heat pump?
Yes. The Boiler Upgrade Scheme gives a £7,500 grant towards an air-source heat pump in England and Wales. Scotland has its own Home Energy Scotland grants and interest-free loans.
Are heat pumps cheaper to run than gas?
It depends on your home’s efficiency and tariff. A well-installed heat pump with a good efficiency (COP) can match or beat gas, and a heat-pump or time-of-use tariff cuts costs further. See our UK Heating Cost Index for the latest comparison.
Will a heat pump work in my home?
Heat pumps work best in reasonably well-insulated homes. Poor insulation lowers efficiency, so loft and cavity insulation and correctly sized radiators make a real difference.
Do I need to replace my radiators?
Not always. Heat pumps run at lower flow temperatures than boilers, so some radiators may need upsizing to deliver the same warmth, a good installer will assess this first.
How long do heat pumps last?
Air-source heat pumps typically last 15–20 years, longer than a gas boiler, with an annual service recommended to keep efficiency up.