Quick Summary:
Total cost: £8,000 - £14,000 (before grant)
With BUS grant: £500 - £6,500 (you pay)
Includes equipment, labour, Heat Loss Survey, and installation. VAT at 0%.
| Item | Cost Range | Notes |
|---|---|---|
| Heat Pump Unit | £4,000 - £7,000 | Size: 5-12 kW typical |
| Installation Labour | £2,000 - £4,000 | 2-3 day job, 2 installers |
| Heat Loss Survey | £300 - £600 | Required for BUS grant |
| Hot Water Cylinder | £800 - £1,500 | If replacing combi boiler |
| Controls & Thermostat | £200 - £500 | Smart controls recommended |
| Pipework & Fittings | £300 - £800 | Depends on system |
| Electrical Work | £200 - £500 | Dedicated circuit |
| TOTAL (before grant) | £8,000 - £14,000 | |
| BUS Grant | - £7,500 | Automatic deduction |
| YOU PAY | £500 - £6,500 |
Replacing combi boiler, EPC C
£3,800
after grant
Replacing system boiler, EPC B
£1,200
after grant
Replacing oil boiler, EPC D, radiator upgrades
£6,200
after grant
⚠️ Not all quotes are equal!
Some installers quote low, then add extras. Make sure your quote includes ALL of these:
Required for BUS grant. Should be in main quote, not separate.
Combi boiler replacement NEEDS a cylinder. Don't accept "we'll add that later."
Pipework, electrical, commissioning, handover training. All included?
Some charge extra for this. Should be included.
Installer handles this. Free. If they charge, walk away.
5-10 year warranty on unit. Installer should register this for you.
Gas Boiler (2026 prices)
10p/kWh gas, 85% efficiency
£1,200/yr
Heat Pump (standard tariff)
24p/kWh electricity, 320% efficiency
£900/yr
Heat Pump (Economy 7 / Octopus Cosy)
12p/kWh off-peak, 320% efficiency
£450/yr
Savings vary by property size, insulation, and tariff. Calculator based on 10,000 kWh annual heat demand.
Calculate your specific savings →Based on examples above:
Best case: £1,200 install, £750/yr savings
1.6 years
Average: £3,800 install, £300/yr savings
12.7 years
Worst case: £6,200 install, £150/yr savings
41 years
💡 Key Point:
Payback improves dramatically with:
- Better insulation (lower heat demand)
- Economy 7 or heat pump tariff
- Rising gas prices (projected to rise faster than electricity)
- Property value increase (heat pump = higher EPC rating)
£500 - £6,500 one-time payment. No interest. Lowest total cost.
Interest-free over 12-36 months. Installer pays financing cost.
Example: £3,600 = £100/month for 36 months
Some banks offer 3-7% APR for energy upgrades. Longer terms available.
Check Barclays, NatWest, Nationwide for current rates