Elite Energy News
Air Source Heat Pump Cost
How much does an air source heat pump cost to install?
Ever wondered what an air source heat pump might cost to install? In the UK today, a typical system for a 3–4 bedroom home (about 4–16 kW) runs roughly £10,500–£13,500 (around £12,000 on average). More broadly, installations fall in the £8,000–£18,000 range, depending on home size and specifics. (For context, the Energy Saving Trust notes a typical ASHP install is about £14,000 energysavingtrust.org.uk, though your own price could be lower or higher.) These costs cover the heat pump unit plus full installation (plumbing, electrical work, and any needed radiator or heating upgrades).
Factors that can affect the final cost include:
Size of the pump: Bigger homes need more powerful (and pricier) pumps.
Your home setup: If you’re swapping out an old boiler, you might need larger radiators or underfloor heating – that adds to the cost.
Model & brand: Top-brand pumps can cost more than budget models.
Installation complexity: Converting from oil or upgrading electrics can bump up labour costs.
Government Grants to Lower the Cost
In England and Wales, the Boiler Upgrade Scheme (BUS) is a game-changer. It offers a £7,500 grant towards an ASHP install ofgem.gov.uk. Basically, you pay £7,500 less upfront.
For example, a £12,000 install could end up costing just £4,500 net after the grant. (We will apply for this grant on your behalf so the discount comes straight off your invoice.) If you’re in Scotland, the Home Energy Scotland scheme provides grants or interest-free loans of up to £7,500 for heat pumps.
For details on eligibility and other funding, check our free air source heat pump grants and government energy grants pages.
What is an Air Source Heat Pump?
An Air Source Heat Pump is an innovative, energy-saving alternative to traditional heating systems, harnessing the power of the air to warm our homes and businesses.
Air source heat pumps (ASHPs) extract heat from the outside air and use it to warm your home. They operate on the principle of heat exchange: heat is absorbed from the ambient air into a refrigerant, which is then compressed to increase its temperature. This heat is then transferred indoors. ASHPs can also work in reverse during warmer months, providing cooling, making them an efficient, year-round climate control solution.
Running Costs and Savings
Once it’s installed, an ASHP can be much cheaper to run than an old oil or LPG boiler. These systems are about 300–400% efficient (producing 3–4 times more heat than the electricity they use), so you usually see lower bills. A typical home might spend around £855–£1,700 per year for heating and hot water with an ASHP, depending on usage. In practice, many households save a few hundred pounds annually on energy bills after switching. For instance, replacing a gas boiler with an ASHP can save about £290 per year on average. Over a decade, that adds up to thousands of pounds. Plus, some energy suppliers now offer special off-peak electricity
Energy Efficiency
Energy Efficiency
ASHPs use a small amount of electricity to transfer heat, making them highly energy-efficient. They can produce up to three times more heat energy than the electricity they consume.
Environmentally Friendly
Environmentally Friendly
With reduced CO2 emissions and the use of renewable energy sources, ASHPs are a greener alternative to traditional heating systems, such as oil or gas boilers.
Reduced Costs
Reduced Costs
By using electricity more efficiently, ASHPs can lower your energy bills, especially when paired with renewable energy sources like solar panels.
Flexible Installation
Flexible Installation
ASHPs can be installed in a variety of settings, including new builds, renovations, or as a supplement to existing heating systems.
Is an Air Source Heat Pump Right for You?
In a nutshell: ASHPs cost more upfront than a boiler, but grants make them a lot more affordable, and they usually save you money (and carbon) over time.
They’re quiet, low-maintenance, and generally last 15+ years. If your home is fairly well insulated and you’re ready to ditch fossil fuels, a heat pump is a solid long-term bet.
Factors we consider when fitting your ASHP
Size: We ensure the ASHP is appropriately sized for your home or building to achieve optimal efficiency.
Energy Efficiency Rating: We only use models with high Seasonal Coefficient of Performance (SCOP) and Energy Efficiency Ratio (EER) to maximise energy savings.
Noise Level: We always opt for quieter models to minimise disturbance to you and your neighbors.
Installation Requirements: We expertly assess the installation location, space constraints, and consider any potential planning permissions needed.
Got questions? Check our government energy grants eligibility checker or give us a call on 0800 246 1676. We can give you a tailored quote and explain how the Boiler Upgrade Scheme works.
Remember, with today’s £7,500 grant on offer, many people are surprised how within reach the air source heat pump cost really is. It could be a great investment for your home and your pocket.